Bosnia and Herzegovina, RiTE Stanari recorded 24 million euros profit in 2021

, SEE Energy News

Coalmine and thermal power plant (RiTE) Stanari, operated by UK-based EFT Group, achieved record revenues and profit in 2021, due to rising electricity prices. The company’s net profit in 2021 amounted to 23.9 million euros.

The company’s revenues in 2021 amounted to 107.6 million euros, which is by 8.5 million euros more than in the previous year, while its net profit increased by some 1.5 million euros compared to 2020.

Unlike other two coal-fired TPPs (Gacko and Ugljevik) in the RS, which are operated by state-owned ERS and sell most produced electricity on the domestic market to cover the consumption, TPP Stanari exports all the electricity it generates.

TPP Stanari is the first private investment in large conventional power production facility in former Yugoslavia. The project started in 2004, when UK- based EFT Group was selected as the best bidder on the international tender for the selection of strategic partner for coalmine Stanari. Since the demand of lignite in the region was in decline, EFT decided to build a thermal power plant near the coalmine. Initial plans envisaged the construction of 400 MW unit that was supposed to produce some 3 TWh of electricity per year, project was financially supported by the European Bank for Reconstruction and Development (EBRD) and the equipment was to be delivered by French Alstom. However, the final agreement was not reached, EFT turned to Chinese company Dongfang and reduced the output of the plant to 300 MW, planned production to 2 TWh of electricity per year and gross efficiency from 43 % to 38.5 %. TPP Stanari was officially commissioned on 20 September 2016, the cost of the project totaled some 550 million euros, while most of the funds were provided by China Development Bank.