Montenegro has reduced its electricity-import bill to less than €42 million so far in 2026, according to energy officials. The improvement follows spending of almost €182 million during last year’s prolonged Pljevlja overhaul. Energy Minister Admir Šahmanović said the national electricity balance is moving back towards equilibrium as domestic generation recovers.
The return of the Pljevlja thermal plant and stronger availability across other domestic generation assets supported the shift. Montenegro’s import exposure increased sharply during a roughly nine-month ecological reconstruction at Pljevlja, when large volumes were purchased from neighbouring markets. Officials said reducing imports by more than €100 million compared with the overhaul period materially improves the power-sector cash position.
Second Italy submarine interconnector planned
Montenegro is also pursuing a second strand of its submarine electricity interconnector with Italy. Officials say agreement has been reached to proceed with the additional link, which would effectively double the corridor’s transmission capability. The plan is positioned alongside growth in Montenegro’s renewable pipeline.
CGES has disclosed connection contracts covering around 3 GW of projects, dominated by solar. Officials said this scale goes beyond what Montenegro’s small domestic market can consume, implying a need for export capacity if a meaningful share reaches operation. The Italian interconnector provides direct access to one of Europe’s largest electricity markets.
A second cable could support renewable-project bankability, but transmission capacity alone does not ensure export revenues. Montenegro’s solar generation can peak at the same time as renewable output in Albania, Greece, Serbia, and Italy. That timing creates a risk that larger volumes reach the market when prices are weakest.
Storage and hydropower optimisation are therefore highlighted as key operational requirements. Montenegro’s existing hydro fleet can be used to conserve water when solar production is strong and release it during higher-value hours. This approach is linked to managing generation profiles across periods of regional price volatility.
Petroleum stocks and permits for wind and solar
The government reported that mandatory petroleum stocks have reached around 40% of the target required for a 90-day emergency reserve. Authorities also issued 65 urban-technical conditions for wind and solar projects, reinforcing the scale of the renewable pipeline.
The immediate market focus remains on the electricity balance after Pljevlja’s outage period. Montenegro moved from a phase in which the Pljevlja outage forced nearly €182 million of imports to one where the import bill has stayed below €42 million.
If new renewable projects, storage, and the second Italy cable progress together, Montenegro’s next challenge will shift towards maximising the value of growing electricity surpluses rather than financing expensive imports.
