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Montenegro: EBRD invests €35 million to digitalise power grid and boost energy efficiency

The European Bank for Reconstruction and Development (EBRD) is taking significant steps to support Montenegro’s energy transition with a €35 million loan to Crnogorski Elektrodistributivni Sistem (CEDIS), the country’s distribution system operator (DSO). This funding will be used for the digitalisation of Montenegro’s power grid. Key components of the project include the installation of a new supervisory control and data acquisition (SCADA) system, an advanced distribution management system (ADMS), and the procurement of smart meters.

The SCADA system will enable real-time monitoring and control of medium-voltage grid networks, while the ADMS will optimize the management of electricity distribution. By implementing these systems, CEDIS aims to reduce technical losses by 10%, reduce grid outages significantly, and improve grid stability to support the integration of renewable energy sources.

The broader impact of the project includes a more reliable electricity supply for Montenegrin citizens and enhanced operational efficiency for CEDIS, with the added benefit of improving energy efficiency and sustainability. The new infrastructure will also enhance cybersecurity in the power grid, making it more resilient to potential threats.

This initiative aligns with Montenegro’s goal of advancing its energy transition and meeting EU green energy standards, while also enabling a more integrated renewable energy sector. Additionally, smart meters will give consumers more control over their energy usage, fostering greater energy efficiency throughout the grid.

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