Montenegro exclusive: Interview with Momir Grbovic, head of the Sector for the electricity trade Power utility company EPCG

Published on 17. March 2014., SEE Energy News

Montenegro Power utility company EPCG production facilities exceeded plan for 21 percent last year. – This year’s electrical energy balance of Montenegro is characterized by excess quality, peak power. – Analysis confirmed that the production of HPP “Piva” can better valorize the energy market.

Can you please comment on the production in 2013^th in EPCG?

Abundant rainfall and a great production readiness of HPPs “Perucica” and “Piva” made ​​the first half of 2013^th to be one of the most successful productive year in EPCG, although they entered in the year with the reservoir level significantly lower than expected for that period. Thus, we have successfully overcome drought during the autumn and winter, and ended the year with a production of 21 percent higher than planned. HPP ”Perucica” achieved annually plan already in June, and HPP ”Piva” a month later. Our oldest large power plant exceeded plan for 43 percent last year, while HPP ”Piva” produced 45 percent more than planned. Although for the most part of the year the power plant “Pljevlja” had very good production they did not fulfill plan, but by the end of 2013^th produced only seven percent less electricity. The reasons for this, first of all, should seek in prolonged duration of repair, from one month to 55 days.

Also small hydropower plants have exceeded the annual production plan. “Zeta Energy” (Slap and Glava Zete) produced 52 percent more power, and the remaining five mini power pants which operate under EPCG, exceeded production plan for12 percent.

How will the termination of cooperation with EPS related to HPP “Piva” impact on the electricity situation in Montenegro this year?

Completion of cooperation with the Serbian Power Utility Company in the part of taking the peak power from HPP “Piva” introduces significant changes, extensive and complex work in OC “Energy Management” (and not to enter too much into the job details -providing all the necessary conditions for placement significant electricity amounts out of Montenegro in most of the year, going to the regulated electricity market as much as possible, twenty-four hour presence at work, etc.).

As noted above, quality of the EPCG product portfolio is changed.  If EPCG contracts supply of KAP, either directly, as lately or immediately, it will appear significant lack of basic energy in certain periods, which would not have been so expressed if the contract had remained in force. Also, excesses at night, during periods of large inflows of HPP “Perucica” represent a problem that is, until contract was in effect, was solved by deposit at EPS, and as more or less known, subsequent withdrawal optionally. This is the famous Article 18^th of Agreement, which will, we can say, missed most to us. However, the problem of nocturnal excesses can be dealt with and sold on the market, but under conditions dictated by others. This problem will be greatly eased by the project implementation of Zeta water translating in Krupac and Slano.

All in all, during 23 realization years the contract undoubtedly has had benefit to both parties. The requirement that EPS set for Contract continuation – significant coefficient reduction for the exchange of electricity, was still unacceptable for EPCG, because analyzes have shown that the production of HPP “Piva” would be better valorized if the opportunities offered by the electricity market would be use.

Source; Serbia Energy See Desk