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EU lawmakers urge for rule of law in Jadar lithium project in Serbia

A group of members of the European Parliament is asking the European Commission to demand from the Government of Serbia to comply with domestic and European law as regards Rio Tinto’s disputed Jadar lithium mining project. They pointed out that arresting and intimidating opponents who criticize the proposed investment is unacceptable. The European lawmakers invited Serbian activists to the European Parliament. Without strict rules, transparency and respect for local communities, things can end badly in mining, the Left’s Jonas Sjöstedt warned.

Rio Tinto is expecting to have its controversial lithium mining project Jadar in Serbia declared strategic by the European Union. Serbia and the European Commission have signed a memorandum of understanding for a strategic partnership in sustainable raw materials, battery value chains and electric vehicles. The Anglo-Australian mining giant’s proposed investment was met with years of fierce resistance from the local population and environmentalists.

Now a group of members of the European Parliament is also raising the issue of the persecution of activists, corruption and the risks to water, nature and public health.

Of note, Balkan Green Energy News has published a chronological overview of the key events in the development of the Jadar project since 2001, when the company arrived in Serbia.

The movement includes people from other areas in the country and neighboring Bosnia and Herzegovina with sites for the exploration of lithium and various minerals, as well as various mining operations.

Some mining companies leaving their waste behind for others to tackle

Completing their visit to Serbia, three EU lawmakers from the Left claimed that the Government of Serbia has many questions to answer about the Jadar project.

“My experience is that if you don’t put up strict demands on mining companies, if you don’t have transparency, if you don’t have respect for local communities, things can end really badly when it comes to mining,” MEP Jonas Sjöstedt stressed at a press conference.

He added that in northern Sweden, where he is from, some mining companies have extracted minerals for a short while before leaving without cleaning up first.

Sjöstedt: Multinationals take advantage of countries if they can

“That’s why it’s so important, so vital to listen to local communities. To have full respect for those who raise environmental concerns. And to not accept corruption or adapt legislation to the wishes of the multinational companies. Because they take advantage of countries if they have the chance,” Sjöstedt said at the event, organized by the Marš sa Drine activist group.

The environmental concerns in the Jadar area are real, especially about the quality of water for millions of people, in his view. If all the questions are not answered how toxic underground water and waste will be treated, it could be a very risky project, Sjöstedt pointed out.

“I’m also deeply worried about all the things we have heard about corruption. That it is possible for big multinational businesses to get their way with Serbian authorities by giving them economical benefits or making a contract that is not fully publicly available. I think that’s a really bad start of big industrial projects,” he asserted.

The level of intimidation against protesters including arbitrary arrests is unacceptable, according to Sjöstedt. “To be able to organize, to freely express your political will, it’s really the essence of democracy and that is what is at stake. Serbia is at a crossroads for the democratic development of the country,” he underscored.

Jadar is unique in natural harmony

The MEPs from the Left vowed to bring activists from Serbia to the European Parliament. Professor Ljiljana Tomović from the Faculty of Biology in Belgrade said at the event that the Jadar area and the adjacent Rađevina in western Serbia are one of the best examples of harmony between natural and human habitats.

They are unique, not only in Serbia, but in most parts of the Balkans, in her view. Tomović noted that more than 3,100 scientists and professors sent a letter to the European Commission to give up on the project.

All deals must be published

Rio Tinto has a long track record of environmental disasters and human rights violations, said EU lawmaker Per Clausen.

“There are legitimate reasons to meet this project with skepticism. Unfortunately, this is not an isolated case in Serbia. Other mining projects, including those financed and operated by Chinese interests, have already led to serious environmental damage and the destruction of nature. Widespread corruption and attacks on democratic rights are part of everyday reality. This is why there is no trust that Serbian authorities will prioritize the needs of local people, the environment or the preservation of nature,” he added.

Voices that should be heard are being silenced, the MEP from Denmark said.

Without democratic control over shared resources, the door opens to corruption and corporate exploitation, MEP Per Clausen warned

“This is not just about biodiversity. It’s about basic survival,” he stressed.

Without democratic control over shared resources, the door opens to corruption and corporate exploitation, Clausen warned.

“We ask the EU Commission to demand that the Serbian government complies with the law in both Serbia and the EU, and give total transparency about all elements of the deal between the EU and Serbia and the deal between the state and the mining company,” he stated.

True democracy means that natural resources belong to the people and are managed correctly for the common good, according to Clausen.

Let’s not replace fossil fuels with another form of environmental destruction

The group met with scientists, locals and representatives of the civil society. “We visited some test drillings and nothing lives around them due to the toxic substances. We cannot achieve the green transition by appeasing our industry and destroying nature and wildlife. In this process, we must not exchange environmental destruction caused by oil and gas for another form of environmental destruction,” said Sebastian Everding.

The German MEP said research should be supported to replace lithium in battery technology “with something that has less impact on the environment and the climate.”

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Elektroprivreda BiH seeks contractor for three solar power projects

Power utility Elektroprivreda BiH (EPBiH) called on companies to apply for designing and building three solar power plants. Two sites are on depleted coal land and the third one could become a hybrid power plant with existing wind farm Podveležje.

Within a project called EPBiH Solar Transition Programme, Bosnia and Herzegovina’s state-owned company Elektroprivreda BiH launched a tender for three photovoltaic facilities of 28 MW in total. The public call is on the EBRD Client e-Procurement Portal (ECEPP) of the European Bank for Reconstruction and Development. The lender pointed out it is the first phase of the first tranche.

EBRD is considering financing the investment valued at EUR 80.8 million with a EUR 36.5 million loan. EPBiH would provide EUR 7.7 million and secure the rest from other sources.

The tender consists of two stages while applications are received until May 26. The company selected for the first phase would be tasked with designing and building solar power plants Gornja Breza (15 MW), Višća (8 MW) and Podveležje 3 – with 5 MW in capacity.

EPBiH has 30-year concession for its PV project Podveležje 3

Phase 2 of the second tranche, for 56 MW, would comprise the proposed facilities Potočari 1, of 16 MW, Bedrock 1-3 (two times 8 MW plus 16 MW) and Banovići Selo, of 8 MW. Combined with the second tranche, the plan envisages 13 solar power plants of 195 MW overall.

Gornja Breza is on a former dump of the Breza coal mining complex north of the capital Sarajevo. Višća is at a depleted open cast coal mine on the territory of the city of Živinice near Tuzla.

The Podveležje 3 solar power project is colocated with the Podveležje wind power plant, owned by Elektroprivreda BiH. If the two systems are connected to the same infrastructure and digitally integrated, together they will become a hybrid power plant. The company won a concession last year for 30 years for 4.8 MW in the photovoltaic segment.

Abandoned coal land to host PV plants of Elektroprivreda BiH

EPBiH intends to build its other PV units in the first tranche also at abandoned parts of its mining complexes.

EBRD and UniCredit are financing the Gračanica 1 and 2 projects, located at a former tailings dump of the Gračanica mine. They are for 25 MW each and the connection capacity of the solar park would be 45 MW.

Notably, the company has been reporting losses quarter after quarter. It concluded last year with EUR 29.4 million in the red, compared to EUR 170 million in 2023. However, the company said in December that Chinese contractors have returned the advance payment of EUR 127 million that it payed them for the failed Tuzla 7 coal-fired power plant project.

Elektroprivreda BiH is planning another two wind farms: Vlašić and Bitovnja.

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Aurora forecasts Western Balkans power capacity growth of 20 GW by 2040

The Western Balkans could see a 20 GW increase in installed capacity by 2040, with nearly 65% coming from renewables, Aurora Energy Research found. Short-term volatility and increased costs of commodities are expected to keep electricity prices near or over EUR 100 per MWh until 2030.

Aurora Energy Research issued its first forecast for the Western Balkans, eyeing investor movement. The firm expanded its market forecasting services, now offering full granularity modeling for Albania, Kosovo*, North Macedonia, Montenegro and Bosnia and Herzegovina, available in its Western Balkans Power and Renewables Market Forecast.

The announcement follows the conclusion of a multiclient study comprising three workshops, the results of which reveal increased investor interest in the region.

Photovoltaics have the fastest growth rate and biggest capacity in the forecast

The combined installed capacity in the Western Balkans excluding Serbia is expected to grow by 20 GW by 2040 and by as much as 35 GW by 2060 from the current levels, leading to tens of billions in investments, Aurora said. Renewables account for the lion’s share with nearly 65% while battery energy storage systems (BESS), interconnectors and hydrogen-fired combined-cycle gas turbines (CCGT) make up the remaining capacity additions.

Solar power shows the fastest rate of growth and absolute capacity value, according to the global power market analytics provider.

Electricity market prices returning below EUR 100 per MWh only after 2030

Looking into wholesale prices, the analysis expects the Western Balkans to follow similar trends as other SEE markets but with regional nuances, based on the local energy system evolution. Short-term volatility and increased commodities are foreseen to keep prices near or over the EUR 100 per MWh mark until 2030 while long-term baseload prices under Aurora’s central scenario are expected at between EUR 70 per MWh and EUR 80 per MWh, driven by high commodity prices, while an increasing renewables’ penetration acts in the opposite direction.

Early movers have an advantage as cannibalization looms

Renewable energy assets capture prices will benefit from lower cannibalization levels in the early years compared to other SEE countries, as there is less capacity in the system, giving early movers an advantage, the analysis reads. Over time, the momentum for storage seen in SEE likely spreads to the Western Balkans.

Coal phaseout seen by 2045

The speed of decarbonization in the region largely depends on the implementation of the European Union’s Carbon Border Adjustment Mechanism (CBAM) or alignment with the EU Emissions Trading System (EU ETS). The shift away from lignite could take time, Aurora’s experts say, with a full exit expected by 2045, but its share in the power system is expected to decrease significantly in the next decade due to pressure from CBAM and carbon taxes.

“The Western Balkans are Europe’s most rapidly changing power markets. Ageing thermal fleets, liberalisation of markets, policy support schemes, and strong fundamental economics are poised to bring the Western Balkans at the forefront of developers’ agendas,” said Panos Kefalas, Research Lead at Aurora Energy Research.

The Western Balkans Power and Renewables Market Forecast provides in-depth insights, detailed market analysis, and data-driven projections for investors, developers, and stakeholders.

Established in 2013, Aurora Energy Research provides power market forecasting and analytics for investment and financing decisions. Headquartered in Oxford, it operates out of 16 offices worldwide covering Europe, North and South America, Asia, and Australia. The firm’s services include market outlook for energy industry participants, advisory support, and software solutions.

* 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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Alcazar joins forces with IFC to develop Štip wind farm project

Alcazar Energy Partners has signed a development support agreement with the International Finance Corporation, a member of the World Bank Group. The company intends to develop the largest renewable energy platform in the Western Balkans.

Alcazar Energy Partners (AEP) said the agreement provides access to development assistance funding for phase 1 of the Štip wind farm, the largest wind power project in North Macedonia, reinforcing both parties’ commitment to mobilizing private capital for sustainable infrastructure in strategic growth markets.

The start of construction of the first phase of the EUR 500 million Štip wind farm is envisaged later this year. The total installed capacity, once all phases are complete, would be approximately 400 MW.

According to Alcazar, the project will provide clean, reliable power to over 100,000 households and mitigate up to 690,000 CO2-equivalent tons emissions each year, marking a significant step towards strengthening North Macedonia’s energy security and renewable energy objectives.

Štip wind farm is AEP’s first project in North Macedonia

Štip wind farm is AEP’s first project in North Macedonia. It reflects the firm’s strategy to expand its presence across the Western Balkans, where it has already acquired a 1.5 GW pipeline of greenfield onshore wind and solar assets, delivering renewable energy infrastructure that supports national ambitions and global climate goals.

The project was launched ten months ago. The sites for more than 50 turbines are on the territories of the municipalities of Karbinci, Radoviš, and Štip, southeast of the capital city of Skopje.

The signing ceremony took place on the sidelines of the ESG Adria Summit in Porto Montenegro.

AEP is currently advancing a detailed project design

“Our continued partnership with IFC is instrumental as we progress with the Štip wind farm. Together, we’re not only advancing the energy transition but also supporting economic development and long-term energy security. We look forward to delivering a project that brings lasting value to communities and reinforces North Macedonia’s sustainability ambitions,” Co-Founder and Managing Partner of Alcazar Energy Partners Daniel Calderon stated.

AEP, currently advancing a detailed project design, has engaged leading engineering, environmental, legal, and social advisors to ensure the project meets the highest international standards.

Avato: The Štip wind Farm in North Macedonia is a natural extension of our collaboration

According to Patrick Avato, IFC’s Manager for Infrastructure and Energy in Europe, the two sides built a strategic partnership over more than a decade, working together to advance sustainable energy projects across emerging markets.

“The Štip wind farm in North Macedonia is a natural extension of this collaboration, aimed at expanding access to affordable, clean energy—essential for economic competitiveness and growth. In addition to strengthening the country’s energy security, the project also reflects IFC’s commitment to supporting sustainable energy solutions that meet international standards and contribute to a just energy transition in the region,” he asserted.

The signing was also attended by Tim Sheahan, Senior Director at AEP.

Alcazar Energy Partners is an independent infrastructure fund manager focused on the development, financing, construction, and operation of utility-scale renewable energy projects in growth markets since 2014. It now has a cumulative renewable energy portfolio of more than 4 GW, reads the press release.

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Serbia adopts first ever rulebook on standards for wood pellets

Serbia has adopted the rulebook on solid fuels from wood biomass, which for the first time regulates the quality of pellets and briquettes on the domestic market.

The rulebook on technical and other requirements for solid fuels from wood biomass sold on the Serbian market will enter into force in three months. In the meantime, an institution needs to be established for control, compliance, and corrective measures regarding the new requirements.

The rulebook introduces technical standards and mandatory laboratory analysis, defines rules for assessing compliance, and product labeling. It envisages oversight of the levels of substances affecting health and the environment, according to the Ministry of Mining and Energy.

Ministry: Only high-quality pellets will be sold on the Serbian market, in line with the standards set by the EU

“By adopting the rulebook we want to preserve the competitiveness of the pellet industry in Serbia. This document represents a fine example of the cooperation between the authorities and the businesses,” Minister Dubravka Đedović Handanović stated.

The ministry claims that the rulebook secures that only high-quality pellets can be sold on the Serbian market in line with the standards applicable in the European Union.

For the first time, the physical and chemical characteristics of wood pellets will be controlled

According to the Chamber of Commerce and Industry, only pellets with positive results from laboratory analysis and the kinds that meet strict standards on harmful substances will be allowed on the market in Serbia.

“For the first time our authorities would control physical and chemical characteristics of wood pellets such as size, shape, stability, caloric values, moisture, and ash level,” the association of Serbian firms added.

The same will apply to the substances affecting human health and the environment including heavy metals – arsenic, cadmium, chromium, copper, lead, mercury, nickel, zinc, sulfur, and nitrogen.

The association recalled that the ministry established the working group for the preparation of the rulebook upon its initiative.

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Rörig (E.ON): Croatia charges up to six times higher e-waste fees on solar panels than other EU states

Croatia charges a waste fee on solar panels of EUR 300 per ton, up to six times more than other European Union countries. The levy slows down the expansion of solar energy, Andreas Rörig, president of the Management Board of E.ON Croatia, told Balkan Green Energy News.

In addition to the one-off e-waste management fee, hindering investments, another issue is that Croatia doesn’t have a system for collecting and recycling solar panels.

Andreas Rörig’s post on LinkedIn received a lot of public attention. He wrote that in Croatia high fees and regulatory barriers, including the ones related to waste, are holding back solar’s potential. With a waste fee of EUR 0.3 per kilogram (EUR 300 per ton), the profitability of solar investments is at risk, he added.

The fee in other EU countries ranges from EUR 50 to EUR 150

Rörig explained that a comparison with other EU member states demonstrates that fees in Croatia are significantly higher than in neighboring countries. For example, they range from EUR 50 to EUR 150 in the Netherlands, Belgium, Slovenia, and Hungary.

The fee is paid on total weight, which is more than 20 kilograms per panel, according to E.ON. Even more concerning is the disproportionate taxation: 80% to 90% of a solar panel’s mass consists of easily recyclable materials that aren’t classified as e-waste, yet the fee is charged on the total weight.

“This approach discourages investment, slows Croatia’s progress toward energy transition, and contradicts the country’s goals of reducing emissions and increasing energy efficiency. A practical example of why solar energy accounts for less than 2% of Croatia’s energy mix – far below its true potential,” Rörig stated.

There are signs that things are about to change

Therefore he recommended reducing the electronic waste management fee for solar panels and suspending the obligation until a functional disposal system is in place. He confirmed there is currently no functional system for the collection, processing, and recycling of e-waste from solar panels in Croatia.

“However, there are positive indications that the fee will be reduced and that the system will be established. We believe that the Environmental Protection and Energy Efficiency Fund or FZOEU has recognized the needs of the industry. E.ON supports such measures because we believe that they will fix the problem and enable easier waste management,” Rörig stressed.