Abu Dhabi Future Energy Company PJSC – Masdar, a global leader in clean energy, and Elektroprivreda (EPCG), the national electricity company, have agreed to consider establishing a joint venture to implement large-scale renewable energy projects in Montenegro.
The Ministry of Energy and Mining announced that the signing of the framework agreement took place during Abu Dhabi Sustainability Week 2026, in the presence of the UAE Minister of Industry and Advanced Technologies, COP28 President and Masdar Board Chairman, Sultan Al Jaber, the Prime Minister of Montenegro Milojko Spajić, and the Minister of Energy and Mining Admir Šahmanović, as well as senior representatives of both companies.
"In accordance with the terms of the agreement, Masdar and EPCG will consider establishing a joint venture to develop, build, own and operate clean energy projects across a range of technologies, including solar photovoltaics, wind power, hydropower, stand-alone battery energy storage systems, as well as hybrid solutions," the ministry said.
The aim of the cooperation, it added, is to support Montenegro's domestic energy needs, while enabling the export of renewable electricity to the Balkans and Southeastern Europe. This includes the use of Montenegro's existing submarine interconnector with Italy, as well as its potential expansion.
"The partnership aims to combine EPCG's position as the leading energy producer in Montenegro and Masdar's global experience in developing renewable energy projects. Through this cooperation, Masdar and EPCG are accelerating Montenegro's energy security, but also contributing to the energy transformation of the wider European energy market," the statement said.
Šahmanović stated that such strategic partnerships not only bring greater energy security, but also new jobs, stronger development and modernization of our energy sector.
"Through investments in renewable sources, Montenegro is taking a step closer to gradually abandoning coal and switching to clean energy, which is the only sustainable solution for the future of generations to come. Our goal is a stable system today and a responsible policy for tomorrow," said Šahmanović.
Masdar CEO Mohamed Jameel Al Ramahi said partnerships like this demonstrate how pragmatic cooperation can accelerate the global energy transition, while strengthening energy security and economic resilience.
"This agreement reflects Masdar's disciplined approach to expanding into strategic markets with strong fundamentals and long-term growth potential. By partnering with EPCG, we are bringing together global development expertise and strong local capabilities to support the energy independence and economic growth of Montenegro and the wider Balkan region," said Al Ramahi.
The President of the Board of Directors of EPCG, Milutin Đukanović, emphasized that this agreement has special significance for the long-term development of the energy sector of Montenegro.
"This cooperation confirms a clear vision of EPCG's development based on sustainability, responsible management and strengthening the country's energy independence. The partnership with a renowned company represents Montenegro's strategic positioning in modern energy and an important step in diversifying energy sources," said Đukanović.
According to him, in the context of the beginning of the application of the CBAM mechanism, it is necessary to accelerate investments in energy, because along with the strong development of our own projects, cooperation with leading international partners is the key to faster development of the sector and greater competitiveness of the country.
"The development of energy represents a historic opportunity for Montenegro that we must not miss," added Đukanović.
The Executive Director of EPCG, Zdravko Dragaš, announced that the cooperation with Masdar is a strong confirmation of the strategic direction in which EPCG and Montenegro are moving.
"This agreement represents an important step forward in the development of the Montenegrin energy sector and a strong signal of confidence from a renowned global partner in Montenegro's potential. By partnering with Masdar, one of the world leaders in the field of renewable energy sources, EPCG further strengthens its role as a carrier of the energy transition, improves our energy security and creates the foundation for new investments in solar, wind and other clean technologies," said Dragaš.
He stated that their common goal is for Montenegro, in addition to satisfying its own consumption, to become a reliable exporter of green energy to the region and beyond, using the country's existing infrastructure and strategic position.
Today's event follows the signing of the Energy Cooperation Agreement between the UAE and Montenegro, signed in early November last year.
Building on the broader strategic partnership between the UAE and Montenegro, Masdar's collaboration with EPCG leverages Masdar's existing presence in Montenegro through its 2018 investment in the 72-megawatt Krnovo wind farm, which remains the largest operational wind energy project in the country.
The partnership also complements Masdar's broader expansion and investments in Southeastern and Central Europe through its Greek platform Terna Energy, acquired last year.
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