Bosnia and Herzegovina’s electricity transmission operator, Elektroprijenos BiH, has secured approval from the European Bank for Reconstruction and Development (EBRD) for up to EUR 46 million to upgrade its network. The programme will finance four variable shunt reactors at selected substations. They are intended to manage voltage as wind and solar projects increase the variability of power flows.
Voltage management and renewable connections
The reactors will regulate grid voltage as system conditions change. Voltage control is increasingly important as Bosnia and Herzegovina seeks to connect more clean generation while remaining integrated into regional electricity trading. Upgrading existing substations can help operators maintain stable system conditions without relying solely on new transmission corridors.
The investment is also expected to reduce network losses and improve the reliability of cross-border transmission. Losses on Bosnia and Herzegovina’s transmission system are reported at approximately 1.9%. Losses across the wider electricity system are higher when distribution networks are included.
Cross-border transmission reliability
Cross-border electricity exchanges can help balance supply and demand. However, changing import and export patterns mean the transmission system must keep voltage within safe limits. For developers, the grid’s ability to absorb variable renewable production is as important as the physical availability of a connection point.
The project will upgrade existing infrastructure and will not add generation capacity. Its value will depend on the timely procurement, installation and integration of the reactors into network operations. Future renewable connections can then be assessed against improved system stability.
