Serbia speeds up the South Stream preparations, law will enhance project financing and land acquisition

24. January 2013. / News Serbia Energy

Government of Serbia will adopt amendments to Law for South Stream at Friday, 18 January, Deputy Minister of Energy announced.

Law ammendment will also be in front of Parliament in the end of January, and its final adoption will enable maximal acceleration of preparing works for the highway pipeline construction, Stanojevic stated.

He didn’t have to precise when exactly will begin construction of South Stream in Serbia, underlining that it is absurd to bid with this dates because we are in the middle of winter when construction work is difficult.

The law will enable such acceleration of all preparing activities for South Stream that it doesn’t matter if we begin construction month or two, early or late, added Stanojevic.

He pointed out that the law will solve a lot of problems related to plan or land expropriation on pipeline where are about 10.000 of land parcels. It will also simplify getting of all required work licenses.

Stanojevic said that 105million Euros required for pipeline construction is insured for this year, what is more than enough for 2013.

He précised that 30million Euros from budget was insured for the project last year, and insured bank guaranty from budget is 75million Euros for Srbijagas this year.

Reconstruction of the company is being prepared and its final goal is financial reconstruction, because current situation is unsustainable- Stanojevic said when he was answering the question if Serbia can finance this project.

“We don’t want Serbian citizens to pay huge bill for Srbijagas’s debts”, Stanojevic said explaining reasons for reconstruction of the public company.

Source Serbia Energy Magazine

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