German development agency GIZ said that the support program for switching 10 heating plants in Serbia to using biomass continues.
In mid-2017, Serbian Government signed an agreement on a loan and donation with the representatives of German KfW Bank and Swiss Government that will enable ten heating plants in Serbia to switch from using fossil fuel to renewable energy sources. Total worth of the project is 27 million euros, which also includes a 2 million euros grant from KfW Bank and 5 million euros grant from Swiss Government. The agreements on financing the transition of district heating companies from fossil fuel to biomass are part of the project Stimulating Renewable Energy – the Development of the Biomass Market in Serbia (DKTI) which was launched in Serbia back in 2012 with a feasibility study for Subotica district heating company.
Expert advisor on the project of German-Serbian development cooperation Reiner Schellhaas said that the switch of heating plants to biomass has multiple benefits for the sustainable development of local communities, for example, by buying the energy source (biomass) from local suppliers, the money remains at the local level.
The first stage of the program will include heating plants in the municipalities of Mali Zvornik, Nova Varos, Novi Pazar, Prijepolje, Bajina Basta, Valjevo, Priboj, Kladovo and Majdanpek, while the municipality of Becej has already launched two projects – one to convert a part of its heating plant to biomass and the other aimed at using geothermal energy.
In early 2018, municipality of Priboj announced that it plans to switch its district heating plant to biomass by the end of 2019.
