May 17 (SeeNews) - Montenegro's Uniprom has shut down the last 12 remaining electrolysis cells at aluminium smelter KAP, discontinuing aluminium production at the plant after 52 years, local media reported on Wednesday.
The facilities for the production of aluminium logs and alloys will remain in operation, but the plant will now import the metal to manufacture them, local media outlet Vijesti reported.
Most of the electrolysis cells were shut down in December 2021, when power utility Elektroprivreda Crne Gore (EPCG) refused to supply the plant with electricity at the previous prices of 44 euro ($48) per MWh due to a hike in prices on the power exchanges.
Around 50 workers have been left unemployed as a result of the closure of the plant, Vijesti said.
"The government illegally took emission credits from Uniprom and assigned them to EPCG, contrary to an EU directive. The European Energy Community has already started the procedure, and the damage is worth tens of millions of euros. After the EU report arrives, we will continue with further activities. Production at other factories at KAP remains uninterrupted", Vijesti quoted Uniprom sources as saying.
KAP, which entered bankruptcy proceedings in 2013 and was sold by Montenegro's government to Uniprom in 2014, contributes around 20% of the country's exports.
($ = 0.9235 euro)