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Italy mulls keeping its last coal plants on standby

After retiring the two remaining mainland coal power plants, scheduled for this year, Italy’s government intends to switch the facilities to standby instead of dismantling them. Two others are on the island of Sardinia, which is waiting for another subsea interconnection to complete the coal phaseout.

Italy has 4.7 GW in coal power capacity left, following the recent retirement of A2A’s plant in Monfalcone, on the border with Slovenia. The two facilities that remained on the mainland are only marginally active and they are officially set to be closed this year. However, Minister of the Environment and Energy Security Gilberto Pichetto Fratin expressed the belief that they should be kept on standby.

“Therefore, not producing, because it is not economically suitable. But the geopolitics are still in a state where no one can guarantee us that gas will not reach EUR 70 per MWh or that there will be no malfunctions in the pipelines that supply us,” he argued. The said facilities, already dormant as they are not cost-effective, should be kept just in case, in the view of the minister. He didn’t address the pollution issue.

Provisional data showed that coal power output nosedived 71% in 2024 to 3.5 TWh. It translated to a share of 1.3% in electricity production and 1.1% in consumption.

On the one hand, the capacities would be valuable in case of gas and power supply disturbances. But it comes at the cost of maintaining a complex system idle.

Sardinia may remain dependent on coal by 2029

The two mainland coal plants are Enel’s Torrevaldaliga Nord in Civitavecchia and Brindisi Sud.

There are two more, in Sardinia, scheduled to be phased out by January 2029. By then, the island’s interconnection with the main grid should be strengthened with the proposed Tyrrhenian Link. The Sulcis coal plant is also Enel’s, and the other one is EP Produzione’s Fiume Santo power plant. Together, they have 1.1 GW in nominal capacity.

Speaking at the same event, Chief Executive Officer of Enel Flavio Cattaneo warned of the expected surge in power consumption, suggesting the coal exit be reconsidered. The “perfectly functioning” plants, which “saved” Italy during the gas crisis, will be closed by August, he stressed. The company is open to selling its coal assets, Cattaneo said and hinted at the possibility that the government buys them.

AI, data centers bolstering demand for nuclear energy, gas, coal

Eni’s CEO Claudio Descalzi said it was “pure madness” to close coal-fired power plants “in a situation of high costs or low energy availability.” He cited the rise of artificial intelligence and data centers, boosting energy demand, and the need to keep costs low. “It is only possible with nuclear, gas and coal,” Descalzi claimed.

Closing coal plants is not in the country’s interest, said Deputy Prime Minister of Italy and Minister of Infrastructure and Transport Matteo Salvini.

A group of environmental organizations called it unacceptable in 2025 to propose coal to be part of the energy mix.

Italy is no longer buying Russian gas

Minister Pichetto Fratin also said Italy has stopped buying gas from Russia at the end of last year. It turned to alternatives like liquefied natural gas (LNG) from the United States, he added.

The country needs to rapidly deploy renewables, in his view, and decouple the prices of electricity and gas. Pichetto Fratin said gas accounts for 40% of power but that it determines 70% of the final price, and criticized the pricing system based on the Netherlands’ TTF benchmark.

The government is considering support for long-term power purchase agreements (PPAs) and contracts for difference (CfD), to stabilize prices and become competitive with Germany. It is also the European Union’s policy, under the latest electricity market redesign.

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Turkey aims to become major lithium producer with its geothermal wells

Turkey is using only 10% of its geothermal potential, according to Chairman of the Geothermal Power Plant Investors Association (JESDER) Ufuk Şentürk. He said existing wells alone could open the way for the country to become one of the world’s major producers of lithium.

Studies are underway to determine the accessibility of valuable minerals in Turkey’s geothermal waters. There are already some one thousand wells with 100,000 tons of water coming out every hour, Chairman of JESDER Ufuk Şentürk told Anadolu Agency Energy Terminal. He pointed to the potential for the extraction of lithium, cesium, selenium and silicon.

Turkey is utilizing only 10% of its geothermal potential, Şentürk stressed. An inventory is under development of wells that were drilled to find oil and left unused, he added. The temperatures are as high as 150 degrees Celsius and the said resources can provide heat for 5,000 hectares of greenhouses, the organization’s chief said.

Researchers have found a lithium source in Turkey of 20 parts per million in geothermal water

The İzmir Institute of Technology (İYTE) and Afyon Kocatepe University have been conducting studies for two years, within the Turkish-German Energy Partnership, on obtaining minerals, Şentürk noted. He said there are 100 parts per million of lithium in one geothermal source in Germany, while 20 parts per million were found in Turkey.

Investment costs are much lower without exploratory drilling, if lithium is extracted from geothermal water already coming to the surface. The head of JESDER, Geothermal Power Plant Investors Association, estimated that Turkey could produce 35,000 tons per year and said global production came in at 36,000 tons last year.

“Even if we obtain 10%, we will still be one of the countries with the largest lithium resources in the world,” he stated.

Volumes of lithium extracted from geothermal waters are still symbolic

As Şentürk didn’t elaborate, it remains unclear if he compared the country’s potential to the output from so-called direct lithium extraction (DLE) or perhaps evaporation from brine pumped from underground. They make up one tenth and one quarter, respectively, of the 240,000 tons of lithium produced last year in the world. The rest is mined.

A different benchmark, the lithium carbonate equivalent or LCE, is almost five times larger. Additionally, about 5% of lithium ion batteries are recycled. The volumes of lithium extracted from geothermal waters are still symbolic.

Investors are betting on the combination with geothermal energy, to make lithium production cost effective, as it is found in very small quantities in underground water. Direct extraction of the alkali metal from water has an immeasurably lower environmental impact than mining.

Existing geothermal power plants can provide heat to 4,000 hectares of greenhouses

Şentürk pointed out that Turkey hosts 65 geothermal power plants of 1.74 GW overall. They generated 11.2 TWh in 2024 of the total 350 TWh.

Geothermal energy currently heats 7,000 hectares of greenhouses in Turkey and 160,000 homes, Şentürk said. The Ministry of Agriculture and Forestry is providing incentives for greenhouse zones of 2,800 hectares in total. But existing geothermal power plants alone could, with such support, provide for 3,500 to 4,000 hectares of greenhouses, the association’s chief estimated.

On a global scale, Turkey trails only the United States, Indonesia and the Philippines in geothermal power. Nevertheless, after several years of rapid growth, it only added 120 MW in capacity since 2020.

A recent study, conducted within the project called Li+Fluids, showed geothermal waters in north Germany and its Thuringia state contain between 0.39 and 26.5 million tons of lithium. The country’s demand for 2030 is projected at 0.17 million tons.

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All applicants qualify for first wind power auction in Kosovo*

Three potential bidders met the legal, technical and financial criteria for the upcoming wind energy auction in Kosovo*, for a quota of 100 MW.

Ahead of its request for proposals in the competitive bidding process for wind power projects, the Ministry of Economy of Kosovo* confirmed that all applicants passed the qualifications stage. The quota is 50 MW to 100 MW and the plan is to support 150 MW in total in two rounds. Participants will bid for 15-year power purchase agreements (PPAs) and contracts for difference (CfDs).

The next phase will “start soon,” Minister of Economy Artane Rizvanolli said. It was due in March. International Finance Corp. – IFC, which is part of World Bank Group, and the United States Agency for International Development (USAID) have provided support for organizing the first wind power auction in Kosovo*.

According to the schedule, the call for the remaining capacity will be issued the second half of the year.

Six-month deadline for financial proposals

One applicant is a consortium of Notus Energy, based in Germany, and Stublla Energy from Kosovo*.

The ministry also received documentation from Akuo Energy from France and a consortium led by Güri̇ş, headquartered in Turkey. Both participated in the first solar power auction as well, held last year. The companies submitted documentation on February 20.

All met the legal, technical and financial criteria for the upcoming bidding, the ministry said. It revealed that the request for proposals would last half a year and vowed to conduct it in line with the highest transparency standards.

Potential investors can attend a planned presentation and submit questions regarding necessary documentation

In the meantime, the ministry and IFC are planning to hold a presentation for the qualified investors. After that, they can send questions.

The auction commission is responsible for assessing the fulfillment of the legal, technical, environmental and social criteria, before opening the financial proposals. The winner, among the companies and consortia that qualified, is the one offering the lowest price per megawatt-hour. The upper limit is EUR 80.2 per MWh.

Wind projects would be run by special purpose vehicles (SPVs), firms where the government would have a share of up to 49%. The Ministry of Economy intends to use the funds from the International Monetary Fund’s Resilience and Sustainability Facility (RSF) in the development of the 150 MW.

Power consumption far exceeded domestic supply last week

Among other developments in Kosovo*, which has the world’s highest share of coal in electricity production, consumers have received another warning.

Distribution system operator KESCO said last week, ahead of the Easter holiday, that domestic production capacity amounted to 315 MW from coal and 130 MW from renewable sources. Consumption was 43% higher than in the equivalent period of last year, surpassing 700 MW. Devices with high consumption should be used only when necessary, especially during peak hours, the company pointed out.

* This designation is without prejudice to positions onstatus and is in line with UNSCR 1244/99 and the ICJ Opinion on the Kosovo declaration of independence.
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Three hydropower plants on Bistrica river to be finished by end-2026

Three hydropower plants on the Bistrica river near Foča are expected to be completed by the end of 2026, according to Petar Đokić, the Minister of Energy and Mining of the Republic of Srpska, one of the two entities of Bosnia and Herzegovina.

Chinese company AVIC is in charge of building the three hydropower plants, with a total capacity of 39 MW. State power utility Elektroprivreda Republike Srpske (ERS) will operate the facilities once they are completed, according to public broadcaster RTRS.

The three small hydropower plants on the Bistrica river, a tributary of the Drina, are being intensively built, with all works targeted for completion by the end of 2026, said Minister Petar Đokić, who will be among the speakers at Belgrade Energy Forum 2025 (BEF 2025).

The Hidroelektrane Bistrica hydropower system will consist of three cascading plants installed in the river canyon along the Foča-Sarajevo road. The construction of the facilities officially began in December 2021.

The total project cost is estimated at EUR 103 million

Once completed, the system will have a total installed capacity of 39 MW and an annual electricity output of 152 GWh. Đokić also said that the signed contract values the project at EUR 102.8 million.

Last year, the Government of the Republic of Srpska and the Chinese contractor AVIC signed an agreement on financing the construction of the three hydropower plants on the Bistrica.

Photo: The Ministry of Energy and Mining of the Republic of Srpska

During a visit to the construction site, Đokić revealed that there may be certain changes during implementation, but noted that the project will provide exceptional value for the energy system of the Republic of Srpska.

The three hydropower plants include nearly ten kilometers of tunnels

Site manager Feng Xiong from AVIC noted that the project encompasses three hydropower plants with a total of 9,800 meters of tunnels. Only 600 meters of tunnel work remains unfinished, he said, adding that he believes the project will be completed as scheduled.

Dejan Pavlović, CEO of Hidroelektrane Bistrica, stated that 9.2 kilometers of tunnels has been completed. Bistrica’s high water levels have slowed down the construction, he noted.

The companies investing in the three hydropower plants include Hidroelektrane Bistrica and Hidroelektrane na Drini, the majority owner of the project. The financial backing was secured by ERS.

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Albania’s KESH, France’s AFD sign MoU on hydropower management, energy storage 

Albania’s state-owned power company, KESH, and France’s development agency, Agence Française de Développement (AFD), have signed a memorandum of understanding on the Drin river cascade management and advanced energy storage planning.

Albania’s three biggest hydropower plants, with a combined capacity of 1.35 GW, are located on the Drin (Drim) river. The Drin cascade consists of the Fierza Hydropower Plant (500 MW), the Koman Hydropower Plant (600 MW), and the Vau i Dejës Hydropower Plant (250 MW).

As part of French Minister for Europe Benjamin Haddad’s visit to Tirana, Albania and France have solidified their action-oriented partnership in the energy sector, agreeing on AFD’s support to KESH in line with Albania’s priorities under its Green Agenda and EU accession roadmap, according to AFD.

With EUR 800,000 in financial support, AFD will mobilize French technical expertise in hydropower infrastructure modernization and digitalization and initiate a peer-to-peer exchange between KESH and Electricité de France (EDF), its French counterpart.

The technical assistance will help upgrade and digitalize KESH’s discharge management

Cooperation between KESH and French hydropower experts sets the stage for cutting-edge cooperation in energy storage and digital modeling, reads the press release.

AFD explained that the technical assistance would support the improvement and digitalization of KESH’s discharge management.

This will optimize electricity generation, mitigate flooding risks in the lower part of the Drin cascade, and develop storage capacity through the assessment and identification of the most suitable energy storage technologies for integration within the existing infrastructure, the agency added.

Haddad: the MoU demonstrates that Albania is a priority for France

Haddad underlined that the MoU demonstrates that Albania is a priority for France, but also the French government’s willingness to mobilize all its operators and financing tools to help the country in its European convergence and EU integration process, he noted.

According to Albania’s Deputy Minister of Infrastructure and Energy, Ceno Klosi, France’s support in the energy sector has been steadily growing over the past five years. It already encompasses both structural reforms and flagship projects with different power utilities, he stressed.

The signing was attended by Erald Elezi, Administrator of KESH, Arnaud Dauphin, Director of AFD’s Western Balkans Regional Office, and Catherine Suard, France’s Ambassador to Albania.

In June 2023, Albania’s government signed a EUR 100 million loan agreement for energy sector reforms with AFD and German development bank KfW. Lately, AFD has been very active in the region. In November 2024, it signed agreements in Montenegro, and in August 2024 in Serbia.

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Supreme Court of Federation of BiH annulls urban permit for Poklečani wind farm

The Supreme Court of the Federation of Bosnia and Herzegovina has annulled the urban planning permit for the proposed Poklečani wind farm on Štitar mountain, located in the municipality of Posušje in Herzegovina. The project is being developed by Elektroprivreda HZHB, one of the three state-owned power utilities in Bosnia and Herzegovina.

Wind power investments in BiH are facing increasing opposition. For example, in November last year, the Orlovača project was halted.

The Supreme Court has ruled in favor of a complaint of local activist Iva Miličević, who challenged the urban planning permit for the project, according to Aarhus Centre in Bosnia and Herzegovina.

The plaintiff has raised concerns about the impact on the environment, cultural and historical heritage, and implications regarding human rights if the 132 MW wind farm were built. The investment is estimated at EUR 200 million.

The court has mandated a revision. The outcome creates an opportunity for further legal review of all aspects of the project to ensure environmental protection and compliance with legal standards, Aarhus said.

The process for awarding urban permit was illegal and irregular

According to the ruling, the Federal Ministry of Spatial Planning made procedural and legal errors when issuing the urban permit. It was the crucial reason to annul the decision and order a reevaluation of the case.

The Supreme Court did acknowledge that the approval issued to the investor, EPHZHB, contained numerous conditions regarding environmental protection, infrastructure safety, and other technical and administrative requirements.

The Aarhus Centre and residents of Poklečani have opposed the project from the start

Nevertheless, it determined that the process was conducted unlawfully and irregularly in some aspects, the organization added.

Aarhus Centre and the locals in Poklečani have opposed the project from the start, citing concerns about its impact on the environment, health, and the quality of life within the community.

The proposed wind farm’s location near a protected area has raised fears regarding its potential effects on biodiversity and the local economy.

Poklečani is the second wind project of EPHZHB. The company operates BiH’s first one – the 50.6 MW Mesihovina facility. The utility is also developing its first solar power project, Hodovo, for 150 MW.

Miličević: There is a possibility of balancing energy needs with nature conservation

Iva Miličević, the representative of a group of citizens in Poklečani, underlined that the court’s ruling demonstrates there are still institutions in BiH that uphold the law and protect citizens’ interests.

“We, the residents of Poklečani, ask for nothing else except to respect the law and rulebooks that protect our environment and resources. Green energy is, of course, important and necessary, but it shouldn’t cost the destruction of natural resources, forests, protected landscapes, and especially drinking water. There are values that, once lost, can never be regained. This ruling is a victory for us and for everyone who believes it is possible to balance energy needs with nature conservation,” Miličević stressed.

Emina Veljović, executive director of the Aarhus Center in BiH, pointed out that the judgment highlights the need for strict compliance with a law regulating the temporary prohibition of using state property.

“Currently, state property is being defended by activists and the judiciary. Other institutions are waiting for something, and we wonder what they are waiting for,” she stated.