Montenegro’s state-owned energy companies—EPCG, CEDIS and CGES—invested a total of €105.3 million in 2024 in generation capacities, distribution, and transmission infrastructure, according to the 2024 Energy Sector Report by the Energy and Utilities Regulatory Agency (REGAGEN).
EPCG investments:
EPCG invested €52.9 million, €10 million more than in 2023, primarily in renewable energy projects. €24.5 million was spent on solar generation projects, including mini solar plants on rooftops (€21.9 million) and EPCG-owned solar facilities near Slano and Krupac (€2.6 million). EPCG also invested €15.2 million in the ecological reconstruction of the Pljevlja Thermal Power Plant, which is scheduled for completion in November 2025. Additional investments included €7 million in modernization and maintenance of HE Perućica, €3 million for HE Piva, and €2.5 million for preparation of new projects, technical documentation, and tenders. Preparations began for the Gvozd wind farm and the future Kruševo hydropower plant on the Piva River.
CGES investments:
CGES was approved to invest €10.6 million in the transmission network but realized only €4.75 million (45% of the plan). Total investments in 2024, including prior years’ projects, reached €20.4 million. Key projects included the Lastva substation (€8.8 million), Luštica substation (€5.5 million), and the Čevo–Pljevlja transmission line (€3.8 million). Delays were mainly due to missing planning documents, lengthy tender processes, property disputes, and land acquisition issues. CGES emphasizes that completion of international lines like Lastva–Pljevlja–Bajina Bašta is critical for full utilization of the Montenegro–Italy submarine interconnection and increased revenue from cross-border electricity transit.
CEDIS investments:
CEDIS planned €36.3 million for the distribution network but realized €14.9 million, achieving 41% of its annual plan. Delays were caused by property disputes, lack of urban plans, and extended public procurement procedures. CEDIS also bought network infrastructure built by private developers worth €4.81 million, below the planned €17 million.
Strategic importance:
Investments in Montenegro’s energy infrastructure, including regional and cross-border connections, are crucial for energy security and competitive electricity pricing. Surplus revenue from cross-border allocations is used to reduce domestic electricity bills. Delays in major transmission lines, including international interconnectors, highlight the need for resolving property and planning issues to fully leverage Montenegro’s strategic position as an energy hub connecting the EU and the Western Balkans.
