Bosnia: Comsar concessions for new TPP Ugljevik 3 and HPP may be revised by Gov

, SEE Energy News

Swiss based energy investment company which is developing two energy projects in Bosnia and Hercegovina, the power plant Ugljevik 3 and HPP Mrsovo is challenged by announcements that its concession contracts may be revised by relevant ministry of energy.

Government of Republika Srpska officially confirmed that Minister of Industry, Energy and Mining Petar Djokic has requested amendments to recently signed annex to the contract with the company “Comsar Energy”, according to which the Government is committed to a numerous compromises and undertook the obligations that exceed its jurisdiction.

As a result of the huge public attention these Annexes caused, Minister initiated negotiation regarding the amendment of the Annexes. He pointed out that this amendment is proposed in order to prevent RS from bearing any consequences due to some disputable items in these Annexes which may be interpreted as a possible support to any concessionaire. Also, he wants to review deadlines extension, all assumed obligations that could have harmful effects on concessionaire or the Government of Republika Srpska and all additional activites that will be foreseen in order to implement the project.

He stated that due to the nature of projects and changed conditions, most importantly the price of kwH that is decreasing, amendment of Annexes was expected and that is why he initiated negotiations.

Minister emphasized that Commission for Concessions of RS is the one that approves or does not approve, propose or suggest specific annexes and that they gave consent to the disputable Annexes.

President of the Commission for Concessions RS Radenko Đurica declined commenting allegations by the minister and his party leader Petar Djokic.

The company “Comsar Energy” did not provide us the answer to a request to comment on the initiative to amend recently signed annexes, transmits