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Bosnia and Herzegovina: Controversy surrounds EP HZHB’s Poklecani wind farm project

The Poklecani wind farm, a nearly €200 million project by state-owned power utility EP HZHB, is expected to be financed through a loan from the European Investment Bank (EIB) and non-repayable grants from European Commission funds. Given these funding sources, the European Union Ombudsman has requested clarification from the European Commission regarding the project’s compliance with regulations.

From its inception, the wind farm has faced opposition from environmental groups. Authorities approved its construction through a government-issued decree, bypassing the requirement for an environmental impact assessment. Opponents argue that the project violates both domestic and European environmental laws and infringes on property rights.

EU Ombudsman spokesperson Honor Mahony confirmed that a complaint was filed in February, criticizing the European Commission for failing to address inquiries regarding the project. The Ombudsman has asked the Commission to respond to the complainants by March 10. If the response is deemed unsatisfactory, a follow-up request may be submitted, potentially triggering a new investigation.

The Western Balkans Investment Framework (WBIF), a joint initiative of the European Commission and six financial institutions, including the EIB, acknowledged concerns and stated that the bank is currently conducting a compliance review to assess adherence to environmental and social standards.

However, a group of local residents remains dissatisfied and has filed a new complaint with both the EU Ombudsman and WBIF. They have questioned the legal basis for expropriating private land and expressed concerns over the deforestation of 375,000 square meters of woodland. Additionally, they have announced plans to escalate the matter to the European Anti-Fraud Office (OLAF) and other institutions to investigate potential legal irregularities linked to the project.

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