BANJA LUKA (Bosnia and Herzegovina), June 20 (SeeNews) – The unit of Russian-owned Comsar Energy is still seeking a company to build thermal power plant Ugljevik 3 in Bosnia's Serb Republic, which should have started producing electricity last year, local media reported.
Comsar Energy RS is negotiating on the TPP construction with several firms, aiming to conclude a turnkey contract, news portal Capital.ba reported on Monday.
It was said earlier that Ugljevik 3, consisting of two units with a combined capacity of 600 megawatts (MW), would be built by Chinese partners, but negotiations with them have since failed, Capital.ba quoted Sinisa Majstorovic, a representative of Comsar Energy RS, as saying.
Majstorovic explained that changes in the dollar/euro exchange rate and falling energy prices have botched the project's timeline but added that the plant will be built.
"We are planning to build the plant. This is a huge investment, the largest in our area and we are working on its continuation", he noted.
The energy ministry of the Serb Republic has also said that the project was halted due to the failed negotiations with the Chinese partners. According to the ministry, Comsar has secured all the necessary permits for construction, including those related to the protection of the environment.
The Czech Republic-based non-governmental organisation CEE Bankwatch Network said last week that the Ugljevik 3 project will not meet new, stricter EU pollution standards.
The EU's new standards named LCP BREF were adopted in April. They set out the best available techniques for controlling pollution to air, water and soil, as well as the emission limits that must be achieved by applying these techniques. Non-compliance with these standards will spell problems for Bosnia as it seeks EU accession.
Comsar Energy is based in Cyprus and is owned by Russian businessman Rashid Sardarov.
RiTE Ugljevik comprises a coal mine and the adjacent power plant. They are located in the northeastern part of the Serb Republic, one of Bosnia's two autonomous entities. The other entity is the Federation.