Montenegro is preparing to bring a new state-owned renewable energy facility online for the first time in over four decades, as the Gvozd wind farm near Krnovo is set to start producing electricity by the end of March, roughly four months ahead of schedule.
According to project manager Nikola Vukotić, the facility will enter a trial operation phase before reaching full output. During the first one to two months, electricity generation will be lower due to turbine testing, after which production is expected to gradually approach the planned capacity. By the second or third month of operation, output should be close to target levels.
The wind farm is designed to deliver approximately 150 GWh of electricity annually, enough to supply around 25,000 households, although production will vary seasonally depending on wind conditions. A substantial portion of the projected output is expected already in 2026, reflecting a faster-than-planned progress. Early commissioning of the first phase also sets the stage for a follow-up project, Gvozd 2. Once Gvozd 1 secures its operating permit, it will enter full commercial service under Montenegro’s state-owned utility EPCG.
Financing was secured through an €82 million loan agreement signed in June 2023 with the European Bank for Reconstruction and Development (EBRD), marking the institution’s largest direct investment in Montenegro’s energy sector at the time. Company representatives view the second phase as a natural continuation of the partnership and a step toward further decarbonization and diversification of the national energy mix.
The foundation stone for the wind farm was laid in November 2024. With its commissioning, Gvozd is expected to strengthen Montenegro’s energy security and reduce long-term reliance on electricity imports.
