August 15 (SeeNews) - Bosnian state-controlled power utility Elektroprivreda Republike Srpske (ERS) and its hydropower complex Hidroelektrane na Drini have established a joint venture to manage the production and sale of electricity generated by future hydro power plant (HPP) Buk Bijela, ERS said.
Hidroelektrane na Drini owns an 80% stake in the new company Buk Bijela HPP, while ERS controls 20%, the latter said in a statement last week.
The Buk Bijela hydro power plant, estimated to cost 382.4 million marka ($221.1 million/ 195.5 million euro), will be located on the upper course of the Drina River, some 11.6 kilometers upstream from the city of Foca.
Earlier this year, the energy ministry of Bosnia's Serb Republic said the construction of the 93.52 MW power plant will begin in 2018.
ERS has been granted a 50 year concession on the future power plant, which will be Bosnia's largest in terms of installed capacity, reservoir size and mean outputs.
The Serb Republic is one of two entities that make up Bosnia and Herzegovina, the other is the Federation.
(1 euro=1.95583 marka)