Montenegro’s state-owned electricity company EPCG has launched a tender for construction supervision of the Otilovići small hydropower plant. The project is intended to move a delayed development into a more structured construction phase. The supervision contract is valued at approximately €100,000, excluding VAT. Offers are due by 27 July 2026.
Scope and timing of the supervision tender
The selected consultant will oversee the contractor’s work and verify quality and quantities. The role also includes monitoring compliance with the design and supporting technical acceptance of the completed plant. The tender documentation places emphasis on supervision activities during construction rather than post-completion services.
EPCG awarded the design-and-build contract to Montenegrin company Vigoris Ecotech at the beginning of the year. The plant is planned for construction on the Ćehotina River near Pljevlja. It will use water associated with the existing Otilovići reservoir.
Turbine configuration and expected output
The facility will include two horizontal Francis turbines with a combined capacity of 3.2 MW. EPCG expects annual generation of approximately 11 GWh. This corresponds to a capacity factor of about 39%.
EPCG estimates that the plant’s output will be sufficient to cover annual electricity consumption of roughly 1,800 households. The project information also links the scheme’s production profile to its use of water connected to the existing reservoir system.
Concession framework and coordination requirements
The Otilovići project is implemented under a concession agreement signed with the Montenegrin Government in 2022. Its timetable has been extended several times after difficulties in selecting a contractor delayed construction start. EPCG’s published materials describe the current stage as progressing through a more defined construction phase.
The supervision work is expected to be critical given the interfaces between civil works, hydraulic equipment, turbines, electrical systems and grid connection. Environmental-flow obligations and reservoir operating requirements are also expected to be reflected in testing and commissioning. The project’s location near an operating dam and water-supply system requires technical coordination during implementation.
Indicative investment range and CAPEX disclosure
An assumed hydropower investment range of roughly €2 million–€4 million per MW implies a total capital envelope in the region of €6 million–€13 million. The final figure is described as dependent on how much existing infrastructure can be reused. EPCG has not provided a complete current CAPEX figure in the published project information.
EPCG states that Otilovići would not materially alter Montenegro’s national generation balance on its own. The scheme is positioned as adding domestic renewable output near an established water asset while providing another dispatchable plant within a system sensitive to hydrology and electricity-import prices.
