Serbia needs between 16 and 33 billion euros in investments in the energy sector in the next 15 to 20 years

, SEE Energy News

Serbian President Aleksandar Vucic said after the conference Possibilities of Investments in Renewable Energy Sources in the Western Balkans that, according to Norwegian experts, Serbia needs between 16 and 33 billion euros in investments in the energy sector in the next 15 to 20 years.

President Vucic said that it is not just about the diversification of gas and oil supply, but also the fact that there is an old-fashioned approach, old technologies in thermal power plants, and there is nothing new in hydro potentials either. Serbia is still not in the position to increase the percentage of renewable energy sources in the total consumption.

According to him, the Government prepared the budget for 2023 with the International Monetary Fund and a deficit of 3.3 – 3.4 % of the gross domestic product (GDP) is projected, which is relatively good, but nearly 45 % of it goes for expenditures for the supply of energy resources. He added that Serbia is currently spending about 2.5 million euros per day on electricity imports alone.

He said that Serbia urgently needs investments in new renewable energy capacities, but also in modernization of existing thermal and hydro capacities, adding that, in the future, energy prices could no longer serve as a social category.

In mid-October, media reported that the Government has signed the confidential agreement with Norwegian company Rystad Energy on advisory services. The agreement allegedly stipulates that Rystad Energy should define the problems in Serbian energy sector and propose three possible scenarios: a quick transition (strong investments in new energy technologies), a slow transition (a higher reliance on the existing energy, lower investments in new energy technologies) and the third option – the use of nuclear technology.