- Energy consumption per unit of gross domestic product in Serbia is four times higher than in Central Europe and continues to increase.
- The domestic electricity sector is poorly diversified and dependent on older power plants with high rehabilitation needs.
- Lack of funds in the Serbian electricity sector and high public debt prevent the financing of much-needed investment, especially in the area of modern environmental technologies and renewable energies.
- Energy production, which is based primarily on lignite, pollutes the environment and the climate due to high pollutant emissions.
- The transformation of the energy sector from dependency on fossil fuels towards climate-friendly production and more efficient use of energy poses high challenges to.
- The enormous potential for the use of climate-friendly energy production has hardly been exploited so far.
The project includes the rehabilitation of the turbines and the modernisation of the electro-mechanical equipment in both hydropower plants.
- is considered an important building block for the EU integration of Serbia,
- contributes to a CO2 emission reduction of up to 122,000 tons per year,
- enables the exploitation of renewable energy resources and corresponding reduction in fossil fuels,
- stabilises Serbia’s energy supply through increased diversification in power production,
- with its signal character has positive effects on Serbian investments in renewable energies,
- permanently and cost-effectively improves Serbia’s electricity supply.