The modernization of the Brezna substation in Montenegro marks a significant advancement in the country’s electricity transmission capabilities. The national operator, Crnogorski elektroprenosni sistem (CGES), has awarded a contract valued at €7.9 million to a consortium comprising local firm XEnergy and Turkish company Astor Enerji. This initiative is part of a larger infrastructure upgrade amounting to €36 million, aimed at bolstering both capacity and efficiency.
As per the European Bank for Reconstruction and Development (EBRD), the project will involve the installation of two 300 MVA three-winding autotransformers, which are engineered for operation at voltages of 400/115/10.5 kV. This upgrade will elevate the Brezna facility from its existing configuration of 110/35 kV, thereby enhancing its technical capabilities significantly.
The scope of the contract extends beyond equipment supply to include engineering and design services, factory acceptance testing, and logistics for transporting the equipment to the site. Additionally, it encompasses spare parts, installation tools, insulating oil, online monitoring systems, and various supporting services. Completion of equipment delivery and contract fulfillment is anticipated by October 2027.
This upgrade is strategically vital for Montenegro’s power system as it aims to unlock new transmission capacity for renewable energy. Upon completion, the Brezna substation will connect to the national grid through a planned 400 kV Lastva–Pljevlja transmission line that is currently under development.
The new connection is projected to facilitate the integration of at least 200 MW from upcoming renewable energy projects into the grid. In addition to enabling new generation sources, this initiative is expected to enhance overall system efficiency by reducing transmission losses by approximately 13 GWh annually.
Officials have indicated that this investment aligns with broader regional integration objectives. The upgrade is seen as a critical step toward establishing an electricity interconnection with Bosnia and Herzegovina, a project that has garnered support from the EBRD and is presently in early feasibility assessments.
To finance this modernization effort, CGES received a €28 million loan from the EBRD in 2024. Furthermore, Montenegro has sought an additional €7 million grant from the Western Balkans Investment Framework (WBIF) to facilitate project implementation.
