The management of Elektroprivreda (EPCG) and "Fortum and Sterling&Wilson" from Finland will meet in October to consider the Government's move to cancel the decision on the long-term lease of land at the Briska gora site in the Ulcinj municipality, where this consortium was supposed to build a solar power plant ( SE).
This was told to "Vijesti" in the state energy company, from which they emphasized that only after the meeting of the two managements can they declare the decision of the executive authority.
The government has 98 percent of the share capital in EPCG.
"Vijesti" asked what is EPCG's position regarding the Government's decision to cancel public invitations to lease state land at this location.
"EPCG and Fortum remain committed to the intention of jointly building SE Briska gora and up to this point have complied with all obligations that were required in the previous period within the framework of the existing Agreement. We can comment on the decision of the Government and the relevant ministry after the planned meeting of the two managements, which is scheduled for October, when the newly created circumstances will be considered," said the energy company.
EPCG did not specify how much money they have invested in this project so far.
The contract for the lease of land for the construction of SE on Briska gora between the Government and the company's consortium was signed at the end of 2018. According to earlier announcements by EPCG, it was planned that the realization of the investment would begin in 2020, and the production at the end of 2021, which did not happen.
The contract was annexed five times and the energy company announced that they are waiting for the Spatial-Urban Plan for Ulcinj to start the investment.
Ministry of Economy in the mandate of the Prime Minister Duško Marković, despite the ruling of the Administrative Court, refused to allow the "Montesolar" consortium to see the documentation related to the bids received at the public call for the lease of state-owned land for the construction of a solar power plant at the Briska gora location in Ulcinj.
This consortium, whose offer was rejected by the tender commission in 2018 as incorrect, was one of three bidders, along with the first-ranked consortium "Fortum and Elektroprivreda Crne Gore" (EPCG) and the second-ranked "Iredl".
She was the Minister of Economy in Marković's government Dragica Sekulić. The investment is worth around 210 million euros, and it was planned to employ at least 226 workers.
In addition to the verdict that "Montesolar" must be given access to the documentation, the Administrative Court also issued another verdict based on the lawsuit of the "Montesolar" consortium, according to which the tender committee must re-evaluate and rank the offers.
At the end of last year, the government tasked the Ministry of Energy and Mining to form a new tender committee that will re-evaluate the bids received at the public invitation for the construction of the solar power plant "Briska gora" in the Municipality of Ulcinj.
The Department's Tender Commission, which is headed by the Minister Saša Mujović completed the work in July when she concluded that none of the three received offers met the conditions of the public call, so Mujović's department made a decision at the beginning of July to cancel the call for land leases and then turned to the protector of property and legal interests of Montenegro in order to obtain an opinion regarding to regulate the status of the contract and take further steps. The protector states that the government should annul the decision and that there is no basis for further implementation of the lease agreement.
"The project of SE "Briska gora" is at a standstill, and EPCG, together with its partner, the company Fortum from Finland, will initiate talks with the newly formed Ministry of Energy and Mining, in order to determine whether the administrative problems that the project encountered in the past can be overcome period. I think that, against the background of the previously expressed readiness to achieve the goals of a just transition, and appreciating the exceptional solar potential of the Briska Gora area, we would have to valorize that opportunity", said the executive director of EPCG in an interview with "Vijesta" at the beginning of May. Ivan Bulatović.
The energy company has announced several times that they are waiting for the adoption of the Spatial-Urban Plan (SP) for the Municipality of Ulcinj in order to start this investment.
The PUP of the Municipality of Ulcinj has not been adopted to date.
Warning of the Energy Regulatory Agency
The construction of the solar power plant on Birska Gora is planned in two phases, the first includes the construction and connection of a 50 MW solar power plant with accompanying infrastructure and its connection to the system and expected annual production of around 90 GWh, while the second includes the construction of an additional 200 MW with accompanying infrastructure and connection on the system, expected annual production of about 360 GWh. In the report on the state of the energy sector for 2021, the Energy Regulatory Agency warned that activities on the implementation of that project must be accelerated.
"The government is in session on November 17, 202.1. made a decision on drafting amendments to the PUP of the Municipality of Ulcinj, Article 4 of which stipulates that the deadline for drafting this act is 12 months from the date of signing the contract with the manager of the planning document (January 12, 2023). The current dynamics of the activities carried out on this project, and appreciating the aforementioned decision of the Government and the absence of investments on this basis by EPCG in 2021, indicate the need to intensify activities on the realization of this project. This is in order not to jeopardize the closure of the electricity balance planned by the long-term energy balance for the period 2023-2025, which foresees the commissioning of the first phase of SE Briska gora," warned the Agency.
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