The Electric Power Company of Montenegro (EPCG) is preparing to launch a tender worth nearly 15 million euros in the next 50 days for the procurement of two modern battery energy storage facilities (BESS), thus starting the implementation of one of the most significant energy projects in the country's recent history. These are systems with a total capacity of 240 MWh, which will enable a more stable electricity supply, faster integration of renewable sources and greater energy independence.
The state-owned energy company "Vijesti" officially told that the first two BESS (Battery Energy Storage System) systems will be built within the Ironworks complex.
Each plant will have a power of 30 megawatts (MW) and a capacity of 120 megawatt-hours (MWh), totaling 240 MWh of storage capacity.
"Preparations for the announcement of the tender procedure for the procurement of two 30MW/120MWh BESS plants are proceeding according to the planned dynamics and will be announced in the next fifteen days. The deadline for bidders to apply will be 45 days, and the selection of bidders and the signing of the Contract on the procurement, delivery, installation, and commissioning of the BESS plant will be carried out in accordance with the deadlines prescribed by the Public Procurement Law," EPCG said.
When asked whether the tender would be open to foreign companies or whether preference would be given to domestic companies and consortiums, the answer was that any company or consortium that meets the requirements prescribed by the Public Procurement Law will be able to apply for the tender.
"Bidders will be required to provide references related to the construction of BESS facilities in the EU in the last five years. The delivery date will depend on the equipment provider, and after the equipment is delivered, it is expected that the BESS facilities will be put into operation no later than ten months from the date of receipt of the equipment. A large part of the preparatory activities and works will be completed by the date of equipment delivery," the energy company said, adding that they plan to continue investing in BESS facilities in 2026 and 2027.
As explained, by introducing the BESS system, EPCG will be able to more efficiently manage electricity surpluses and shortages.
“Storing energy during periods of low prices (or high renewable energy production) and releasing it into the grid when prices are higher will enable significant financial savings and generate additional revenue. BESS systems will also reduce the need for expensive electricity imports during peak periods and optimize the operation of existing power plants,” the company emphasized.
EPCG recently announced that Montenegro has great potential for producing electricity from the sun and wind, but these sources are unstable because they depend on weather conditions, while battery plants solve this problem, as they allow for the storage and use of energy at the right time.
"This makes it easier and faster to connect new solar and wind power plants, and the system remains stable. In addition, these systems serve as an additional reserve in case of failures or interruptions, thereby increasing the security of supply for households and businesses. Less dependence on electricity imports also means greater energy independence for Montenegro."
As the energy market in Europe becomes increasingly open and digitalized, such flexible systems will be the basis for smart grids, modernization of the electricity market and new services that increase system efficiency. With this project, EPCG strengthens its position as a leader in the region and prepares for the challenges of the future.
"By launching this tender, EPCG demonstrates its commitment to sustainable development, modern technologies and strengthening the energy security of Montenegro. The implementation of this project positions our country among the countries that use the most advanced energy technologies," the company announced earlier.
The project will be financed from a loan.
"Vijesti" asked whether EPCG had provided the full amount of around 50 million euros and from what sources (own funds, loans, European funds) for this investment.
"There are many domestic and foreign banks, as well as funds that are interested in financing the construction of BESS plants, since this is a new technology that contributes to better valorization of energy from renewable sources. Business practice in EPCG is that investment projects are not financed from its own funds, but from loan funds, and that loan repayment begins when the plants start operating, and in this way, the loan is repaid from profits," EPCG said.
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