All decisions regarding electricity prices will depend on the company’s business results throughout the year and, ultimately, future projections, considering the complex socio-economic situation, said Ivan Bulatović, Executive Director of Elektroprivreda (EPCG), in an interview with Dan.
This statement was made in response to whether consumers should expect an increase in the price of active energy in 2025.
“Since January 1, 2023, EPCG has had the right to make decisions regarding changes in electricity prices in line with market trends and business results. However, when making these decisions, EPCG always takes into account numerous other factors to assess whether the decision is beneficial for both us and our customers. The price of active energy has not changed in years, despite the fact that the prices of nearly all other goods have risen significantly. Almost all regional suppliers have raised their prices, but as a responsible company, we will always first evaluate all options. In the event of a potential increase, we will protect the categories with the lowest consumption, thus supporting socially vulnerable groups,” explained Bulatović.
This year is expected to be one of the more challenging ones for EPCG and the energy sector as a whole, primarily due to the situation at the Pljevlja thermal power plant (TPP Pljevlja).
“TE Pljevlja will be out of operation for seven and a half months, from April 1 to November 15, 2025. During the second and third quarters, EPCG will face a shortage of approximately 700 GWh of electricity, which will be sourced from imports at an estimated cost of around 80 million euros,” Bulatović said.
He clarified that the missing electricity will be gradually procured through several public procurement procedures to minimize the impact of potential market disruptions.
“Part of the projected missing energy has already been purchased, while the rest will be procured in upcoming procurement procedures,” he added.
When asked about the company’s financial results for 2024, Bulatović did not provide a precise figure but noted:
“Our energy trading balance was 82 million euros lower than the previous year, mainly due to poorer hydrology, which resulted in a shortfall of 671 GWh compared to last year. Cash flow remained stable, which was a significant challenge due to poor hydrology, falling electricity prices on the markets we are present on, as well as low electricity prices for end consumers and high investment levels. Thanks to careful liquidity management and efficient strategies for investment and cost scheduling, we managed to maintain positive cash flow,” said Bulatović.
He concluded that the business result in 2025 will not match that of 2024 due to the upcoming completion of ecological reconstruction works at TPP Pljevlja and the 700 GWh of missing electricity.
Construction of Gvozd wind farm begins
Buljatović emphasized that one of the key milestones for EPCG this year was the commencement of the construction of the Gvozd wind farm – the first large production facility by EPCG in over four decades.
“In addition, there is an opportunity to implement Gvozd 2, which will also be developed with the support of the EBRD. Our strategic partnership with the French company EDF is also very significant, opening new opportunities in hydropower and renewable energy sources (RES). The Kruševo hydropower project has been further confirmed with the signing of the contract for the design documentation and detailed geological studies, once again demonstrating our commitment to sustainable development and energy security. The construction of solar power plants as part of the ‘Solari 5000+’ project is also of great value. Since the construction of solar power plants, whether part of the 5000+ project or other projects, is linked to investments in battery systems, it is clear that we are committed to this segment as well. At the beginning of the next year, we expect to issue a tender for the procurement of five battery systems of 60 MWh,” concluded Bulatović.
