The World Bank, the European Bank for Reconstruction and Development and the Energy Community called on Serbia not to delay the implementation and change the Law on the Use of Renewable Energy Sources and stressed its importance for achieving a green transition in the country’s energy sector.
After learning that Elektroprivreda Srbije (EPS) and Elektromreža Srbije (EMS), with the support of the Energy Agency of the Republic of Serbia (AERS), sent a letter to the Ministry of Mining and Energy requesting changes to several articles of the Law and postponement of its implementation, three international organizations letter from Prime Minister Ana Brnabić and Minister Zorana Mahajlović.
“We fear that accepting a request to delay the implementation or amendment of the Law, a carefully drafted and well-balanced law, could be seen as a rejection of achievements and a drop in investor confidence in Serbia’s renewable energy sector,” the letter said.
In a letter last December, EPS and EMS pointed out problems that would involve the connection of a large number of solar power plants and wind farms to the transmission system, claiming that it would jeopardize the stability of the power system and lead to high costs for the two companies.
The RES Law was important for the opening of Cluster 4 (Green Agenda and Sustainable Connectivity) and the Minister stated that stopping the law means stopping investments and that changes in the energy system are inevitable, despite resistance and obstruction.
EMS rejected such claims as incorrect, insisting on changes to the law in order to carefully and controlledly introduce renewable energy sources into Serbia’s production mix.
Noting that Serbia is not the only country where there are concerns about system stability, reserves and the allocation of balance responsibilities, international organizations have expressed readiness to provide technical support to continue law enforcement.
“Although increasing renewable energy is a challenge for their successful integration, they can be addressed through measures that have been successfully implemented in other countries,” the letter said, adding that balancing costs could be reduced through better forecasting and regional co-operation.
The World Bank, the EBRD and the Energy Community said in a letter that the new legal framework for renewable energy would replace long-term administratively determined feed-in tariffs with a flexible market-based regime. This, he added, provides a basis for increasing the share of renewable energy at lower, competitive prices.
“We have worked closely with your government to draft the law in a process involving all stakeholders, including EMS and EPS. What the parliament has adopted follows recommended European and world standards,” the letter said.
Increasing the share of renewable energy produced in the country, the letter added, will make the electricity system more sustainable, reduce pollution and help fight climate change.
“The RES Law sets the legislative basis for increasing renewable energy in Serbia and is therefore key to achieving a green transition in the country’s energy sector,” the letter said, adding that it was natural that different parties have different interests to be reconciled, Beta reports.
