Minister of Energy and Mining of the Republic of Srpska, Petar Djokic, expressed optimism that the Dabar hydropower plant will be completed by the end of 2027. The project, with an investment of 340 million euros, is expected to deliver significant benefits to the eastern Herzegovina region once operational.
The hydropower plant spans four municipalities over a 40-kilometer area, with a 12-kilometer tunnel being the most challenging part of the construction, which is now nearing completion. During a visit to the construction site, Minister Djokic met with representatives of the Chinese company Gezhouba, the lead contractor, as well as domestic subcontractors Integral and Elnos. Discussions focused on existing challenges, with the Minister emphasizing that difficulties will be addressed progressively. He highlighted the crucial role of Chinese partners, including Exim Bank and Sinosure, which are financing and insuring the project. State-owned power utility ERS and the project owner, Hidroelektrane na Trebisnjici (HET), also play a key role in driving the investment forward.
Minister Djokic noted that while the project is financially demanding, the decision by the RS Government, HET, and ERS to pursue it is justified due to its long-term benefits for local communities. He underlined the complexity of the construction, which requires a highly skilled and committed team, and confirmed that Belgrade-based Energoprojekt is supervising the works.
In January 2019, HET’s subsidiary, Hidroelektrana Dabar, launched an international tender for financing and constructing HPP Dabar. The selected partner is required to build a dam with embankments and an accumulation basin, a surge tank, a machine house, two 200 kV transmission lines, and a drainage channel. The preferred financing model is a monetary loan with a 15-year repayment period and a four-year grace period, with the project partner expected to provide at least 85 percent of the financing while HET provides up to 15 percent. Upon completion, which is expected to last four years, HPP Dabar will remain in HET’s sole ownership.
The contract with China Energy Gezhouba Group was signed in December 2021, with preliminary construction beginning in mid-2023. HPP Dabar is part of the Gornji Horizonti hydroelectric system, with a planned power output of 159 MW and an expected annual electricity generation of approximately 250 GWh.
