Analysis

Montenegro scraps plans for new coal-fired power unit

Montenegro has scrapped plans to add a 254 MW unit at the Pljevlja coal-fired power plant, the country’s government has announced.

Ljubo Knezevic, energy advisor to Montenegro’s prime minister, said the move came after a number of changes in European regulations on industrial emissions, as well as the formal attitude of international financial institutions towards projects of this type.

“It was concluded that it is no longer possible to realize the project on commercially justifiable principles, respecting the desired environmental standards,” Mr Knezevic told the news agency Reuters.

The government would instead overhaul the existing 210 MW ageing unit at Pljevlja to avoid its closure, boost output and trim greenhouse gas emissions in line with the EU standards, he added.

The EU candidate country also aims to add new wind and solar capacity to help meet the bloc’s renewable energy targets and cut greenhouse gas emissions.