Executive Director for Development and Investments at state-owned power utility ERS Jovica Vlatkovic said that ERS fulfilled its obligations regarding the Hrgud wind farm project and that German KfW Bank has provided financing for the project.
Vlatkovic said that ERS was not informed about the withdrawal of the German bank from the project. He said that the company contacted the bank’s representative, who said that there is no official confirmation on the withdrawal. Vlatkovic said that the funds are still on the KfW account and ERS will use these funds as soon as the preparatory procedures are completed.
He said that, even if KfW Bank will no longer provide financing, the project for the construction of wind farm Hrgud will continue, since ERS will find another source of financing.
Earlier this week, Bosnian media reported that Germany has suspended financing for four infrastructure projects worth a total of 105 million euros in the Republic of Srpska (RS), as a form of sanction against the entity’s leadership. The suspension is related to the projects for the reconstruction of hydropower plant Trebinje and the construction of wind farm Hrgud. The suspension will remain in force until the RS Parliament withdraws its decisions seeking transfer of powers from state to entity level and the blockade of state-level Bosnian institutions is stopped.
