February 20 (SeeNews) - The energy ministry of Bosnia's Serb Republic said it signed a 50-year concession contract worth 127.7 million marka ($69.8 million/65.3 million euro) with hydro power producer Hidroelektrane na Trebisnjici (HET) [BANJ:HETR-R-A] for the construction of a 33.5 MW hydro power plant.
The hydro plant, which will be located in Bileca, will have an annual output of some 121.6 GWh, the Serb Republic's energy ministry said in a statement last week.
The construction of the power plant is expected to be completed in five years.
The concessionaire has paid a one-off fee of 638,579 marka and will pay a concession fee of 0.0055 marka per kWh produced once the plant is commissioned. Some 95% of the finances will be transferred to the budget of the municipality of Bileca, the statement read.
The Serb Republic's power utility ERS owns 76.2% of HET's share capital, the Serb Republic's Pension Reserve Fund's management company owns 6.8%, investment fund Kristal Invest has a stake of 3.6% and the entity's Restitution Fund holds a 3.4% stake. The remainder is distributed among several small shareholders, data from the Serb Republic-based Banja Luka Stock Exchange showed.
The Serb Republic is one of two autonomous entities that form Bosnia and Herzegovina. The Federation is the other one.
(1 euro = 1.95583 marka)