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Leskovac gasification project value rises to €86.8 million under Srbijagas funding

The city of Leskovac in southern Serbia is continuing a large-scale gasification programme that is fully financed through the state-owned gas company Srbijagas. Local authorities signed an annex that increases the total project value to €86.8 million excluding VAT. The updated arrangement follows earlier steps in expanding the local gas network.

Updated annex expands scope and sets four-year delivery

The annex expands the scope of works and sets a completion timeline of four years. The Serbian construction company Rasina Energogas remains the main contractor and strategic partner for executing the infrastructure works. The agreement also reflects continued rollout activity under the city’s gasification plan.

The original gasification contract was signed in September 2023. Srbijagas acted as both investor and financial backer for the project, providing full funding and overseeing implementation in line with technical and regulatory requirements. Under this structure, the Serbian state is effectively the sole financier of the initiative.

Network connections include boiler plants and General Hospital

Local authorities described the project as one of the most significant infrastructure and environmental investments in Leskovac. They said wider access to natural gas is intended to reduce air pollution and lower heating costs for households, businesses, and public institutions. City officials also pointed to progress made in earlier phases.

Several key facilities have already been connected to the gas network, including Leskovac’s two largest boiler plants. The General Hospital has also been connected, after being identified previously as one of the major sources of local pollution. These connections form part of the broader infrastructure rollout described by city officials.

Annex adds €28 million and prepares metering station selection

The newly signed annex adds approximately €28 million excluding VAT to the total value of the works. Preparations are underway for selecting a site for a future metering and regulation station. The station is described as a component supporting expansion of the gas distribution system .

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