With the new laws, the FBIH energy sector “enters” the EU

With the new laws, the FBIH energy sector "enters" the EU

In the premises of the Ministry of Energy, Mining and Industry in Mostar, a briefing for journalists was held today, where the representatives of the ministry informed the media about the recently established three laws important for the energy sector in FBiH.

It is about the law on electricity, laws on energy and regulation of energy activities, and the use of renewable energy sources and efficient cogeneration in the Federation of Bosnia and Herzegovina.

It was ordered that FBiH, through the FBiH Electricity Law, implements a number of regulations from the EU legal framework and continues the process of electricity market liberalization and energy transition towards clean energy. In addition to harmonization with the legal acquis of the European Union and the Energy Community, the system for controlling the construction of production facilities was improved and the ban on the construction of small hydropower plants was introduced, and the administrative procedures for the construction and operation of production facilities that use renewable energy sources, primarily solar power plants and wind power plants, were simplified. Also, the proposed law introduces new categories of participants and activities in the electricity market, such as active customers, aggregators, energy communities, storage operators, as well as the introduction of a mechanism to ensure security of supply, including price control in cases of extreme market disturbances.

“The proposal of the law on energy and regulation of energy activities in the Federation of BiH regulates the way of determining and implementing energy policy and development planning, as well as the commitment to use renewable energy sources and achieve energy efficiency, as well as the organization and functioning of the regulatory body,” they said.

The new law would systematically regulate issues of common importance for the use of multiple forms of energy in the sectors of electricity, natural gas, oil derivatives, thermal energy, renewable energy sources and energy efficiency in FBiH. The goal is to improve strategic planning in the energy sector, create planning and implementation documents for the implementation of the energy policy of the Federation, and define the conditions for performing activities in the energy sector and prescribe the manner of performing activities. Among the goals are the introduction of mechanisms for the protection of vulnerable and protected energy customers, and harmonization with the legal acquis of the European Union, i.e. the requirements arising from BiH’s international obligations.

The goal of the proposed law on the use of renewable energy sources and efficient cogeneration in FBiH is to promote and regulate the production of electricity and heating and cooling energy from renewable energy sources and efficient cogeneration, as well as the use of renewable energy sources in transport for consumption on the domestic market and increasing the share in the total energy consumption. The goal is to ensure the development of incentive measures, regulatory framework and technical infrastructure for renewable energy sources and efficient cogeneration. The law regulates the field of energy production from renewable sources with a focus on the system of incentives, accompanied by greater transparency in the way incentives are awarded, both to small and large producers from renewable energy sources. Even in the case of this law, it is moving towards harmonization with EU regulations.

Today, representatives of the ministry concretely illustrated the scope of work and the interest of investors in the construction of facilities from Renewable Energy Sources (RES).

“A total of 1,410 requests for the issuance of Energy Permits, 284 for extension and about 25 requests for the transfer of energy permits were submitted to the Energy Sector, of which 1,330 permits were issued, and the rest are being processed or awaiting adoption. This year alone, ending in November, over 250 requests for energy permits were submitted. The total installed capacity of requests submitted to the Energy Sector for the construction of wind parks was 1,044 MW, of which energy permits have been issued for 636 MW, and for 407 MW are in the process of being issued. A total of 3 wind farms were built, which amounts to 135 MW in power”, it was explained.

The total installed power of submitted applications for the construction of solar power plants for which an energy permit has been issued is 325 MW, and applications for the power of 19 MW are currently being processed.

A total of 561 solar power plants were built, with a power of 40.91 MW.

“The total installed capacity of the applications submitted for the construction of MHE for which the permit was issued is 84,264 MW. In total, there are 68 built MHEs with a capacity of 81.3 MW”, the Federal Government announced.

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