Bosnia: Power utility ERS Elektroprivreda Republika Srpska plans 182MEUR investment cycle

, SEE Energy News

Electric Power Industry of Republika Srpska (ERS) will transfer in 2016 production plan by 10%, distribution losses have been reduced, while the total investments for 2017 are planned in the amount of EUR 182.5 million, said in an interview with Srna ERS General Manager, Zeljko Kovacevic.

When it comes to operation of individual companies, Kovacevic said that their financial statements are expected at the end of February, and it is too early to talk about figures, while the consolidated financial statement of the Mixed Holding “Elektroprivreda RS” will be on April 30, 2017.

Kovacevic points out that the most important investments for the next year are related to production companies – three hydro power plants and two thermal power plants, and notes that in the coming year ERS will invest in equipment and new facilities of production companies, mainly from its own resources.

– EUR 127 million is planned for this purpose, and it could be rightfully said that 2017 will be the investment year – said Kovacevic. The construction of headrace tunnel with an entrance building and access tunnels for the hydropower plant Dabar, the commencement of construction works on the construction of SHPP Bocac 2 and preparatory activities on the project Buk Bijela are listed as the most important investment projects.

Most investments, he says, will be in TPP Ugljevik – EUR 62 million is planned.

– We have reserved EUR 15.3 million for the desulphurization project, and general overhaul of generator, reconstruction of electrostatic precipitators and purchase of mining machinery, dumper and excavator will also be carried out – specified Kovacevic.

As for the Gacko Mine and Gacko thermal power plant, the investment in coal overburden is planned in the amount of EUR 3.6 million and the procurement of mining equipment.

Planned investments in power distribution companies in 2017 will amount to EUR 49.5 million, and will include EUR 30.6 million for the construction of new distribution facilities, while the remaining money will be spent in the rehabilitation of the existing network and facilities.

ERS also invests in external affairs and it has allocated EUR 2.4 million for that the construction of indoor swimming pool in Trebinje, whose construction works will begin next year.

Kovacevic reminds that from January 1 to October 31 this year EUR 57 million of investments have been realized, primarily in the production companies that invested EUR 40 million in capital projects, new equipment and facilities.

When it comes to distribution losses, the Head of ERS says that the trend of their reduction is continued, noting that in 2016 loses amounted to about 11.5%, which is on the level of realistic technical losses of the system and less than in Serbia, where losses amount around 14%, and 16% in Montenegro.