Serbia has reached an agreement with the Japan International Cooperation Agency (JICA) on the main elements of a financing package for the planned 650 MW Bistrica pumped-storage hydropower plant, Energy Minister Dubravka Đedović announced.
According to the minister, both sides have resolved key issues related to the structure and size of the financing package, as well as the contracting model for construction works. They have also agreed on the next phases of project preparation, including the development of tender documentation and procedures required for securing approval of the Japanese loan.
A JICA mission is expected to visit Serbia in March 2027 as part of the final evaluation process prior to signing the financing agreement. Japanese experts are expected to continue supporting preparations through additional technical visits in the coming period.
At present, engineering design work and technical documentation are being prepared, while construction of supporting infrastructure is expected to begin soon. Authorities anticipate that the main construction permit for the project will be issued in the first months of 2027.
The Bistrica pumped-storage hydropower plant is planned near Nova Varoš in southwestern Serbia. The facility will consist of two reservoirs connected by underground tunnels and generating equipment. During periods of low electricity demand, water will be pumped to the upper reservoir for storage, and during peak demand it will be released to generate electricity.
With an installed capacity of 650 MW, the project is expected to play a key role in balancing Serbia’s power system, particularly as the country continues to integrate higher shares of renewable energy sources.
