The Možura municipal waste landfill, located between Bar and Ulcinj, has initiated regular operations of Montenegro’s first landfill-gas power plant. This facility, which began trial operations in December 2025 and transitioned to regular operations on February 25, 2026, is projected to generate approximately €600,000 in electricity sales revenue this year.
Although modest in scale, the project plays a crucial role in enhancing the country’s waste management and renewable energy strategies. It converts landfill gas that would typically be flared into marketable electricity, thereby reducing emissions and improving gas control at the landfill. The total investment for the project is estimated at €1.68 million, primarily funded by Možura, with additional support from Montenegro’s Eco Fund and a Slovenian development grant through the Centre for International Cooperation and Development (CMSR).
Operational data indicates that the plant is functioning as intended. Možura reports that the facility has consistently operated at its maximum capacity of 1,000 kilowatts, delivering electricity to the grid without any significant technical issues. Since its commissioning, the plant has produced over 4.1 GWh of electricity and has logged more than 4,200 operational hours.
The financial model of the project is straightforward yet informative. For its 2026 work program, Možura anticipated operating the plant for 95% of annual working hours—approximately 8,322 hours per year. Using the Montenegrin exchange price from 2024, adjusted for a trader’s fee, the estimated price per megawatt-hour (MWh) is €91.59, leading to an expected annual revenue of about €609,769.59.
This initiative represents more than just an environmental enhancement; it positions itself as a revenue-generating municipal infrastructure asset rather than a mere compliance expense. Even after accounting for operational costs and potential fluctuations in market prices and gas output over time, the project illustrates how landfill operators can derive value from their environmental responsibilities when properly structured.
The project also reflects changes in Montenegro’s electricity market dynamics. The power generated at Možura is sold on the open market, meaning revenues are influenced by exchange prices rather than fixed rates. Senad Arabelović, head of Možura, emphasized that price fluctuations must be monitored closely due to varying values during solar-heavy periods compared to other times. This evolution signifies a broader trend in Montenegro’s energy sector where even smaller generators must navigate a fluctuating trading environment influenced by solar energy output and regional demand patterns.
In terms of local energy security, while the numbers are small, they are significant. The electricity supplied to the grid is estimated to be sufficient for around 400 households annually after meeting some of Možura’s own consumption needs. In a national energy landscape dominated by larger hydroelectric and thermal generation discussions, the Možura facility highlights the benefits of localized power generation that can mitigate emissions while utilizing existing waste resources.
The environmental implications are equally noteworthy. Landfill gas represents both an untapped energy source and a potential hazard requiring management. Since 2016, Možura has operated a gas collection system that runs continuously throughout the year. Regular assessments confirm that the gas quality and volume are adequate for electricity production. In 2025 alone, prior to redirecting gas to power generation, approximately 3.69 million normal cubic meters of landfill gas were incinerated through their eco-flare system.
Transitioning from flaring to power generation allows Možura to transform an ongoing environmental management obligation into a monetizable asset. This transition is particularly relevant as landfill operators remain accountable for gas management even after closure. The facility anticipates having enough landfill gas supplies for continued operation for five to seven years post-closure based on various operational factors.
The financing framework established also serves as a valuable model for future municipal projects in Montenegro. The Eco Fund financed essential design preparations and environmental assessments while CMSR provided €631,803 toward construction costs. Možura financed the remaining expenses from its own resources. This blended funding approach demonstrates how small infrastructure initiatives can attract investment when municipal financial capabilities align with targeted environmental grants and well-prepared documentation.
Montenegro faces critical challenges regarding waste management and landfill compliance as it moves towards EU accession standards that demand enhanced environmental practices. While landfill-gas electricity alone will not resolve these issues, it can contribute to a comprehensive strategy that includes improved waste separation, recycling efforts, methane capture initiatives, wastewater treatment solutions, composting processes, and energy recovery systems.
This project holds relevance not only for banks and public-sector financiers but also offers measurable inputs with clear environmental objectives and market-based revenue opportunities backed by grant-supported capital structures and operational data suitable for monitoring. Such characteristics enhance its bankability compared to less structured municipal initiatives. Future projects could expand this logic into structured waste-to-energy systems or other renewable sources provided that technical documentation and revenue assumptions are robust.
Ultimately, Možura’s landfill-gas facility serves as a pivotal example within Montenegro’s environmental infrastructure landscape. It illustrates that such projects need not be viewed solely as regulatory burdens; with appropriate design considerations and market access strategies in place, landfills can effectively reduce emissions while bolstering local energy production capabilities and generating sustainable revenue streams.
