The Montenegrin Government has approved a 50 million euro loan request from the state-owned power utility EPCG. The funds, obtained through a long-term loan from Erste Group Bank, will be used to finance electricity imports throughout 2025.
This borrowing is necessary to offset the impact of the March 31 shutdown of the coal-fired Pljevlja thermal power plant, which is undergoing a major environmental upgrade costing 70 million euros. The retrofit aims to extend the plant’s operational life and ensure compliance with modern emissions standards. The plant is expected to resume operations by November 15.
Pljevlja typically supplies about 40 percent of Montenegro’s electricity demand. Due to its temporary closure, EPCG estimates it will need to import approximately 800 gigawatt-hours of electricity at an anticipated cost of 80 million euros to maintain a stable supply. The prolonged offline period is also expected to result in a significant annual loss for the utility.
