CEDIS Ready to Invest in Rural Infrastructure

By , 04 Sep 2018, 14:33 PM Business
Illustration Illustration CEDIS, FB

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September 4, 2018 - The Montenegrin electro-distribution system CEDIS will, over the next three years, work on improving the quality of power supply in villages, leading to the connection of new facilities to the network as well as to the development of rural tourism and agriculture.

The company reported that the plan includes projects for the construction, reconstruction and revitalization of buildings.

"By implementing the plan, the capacity will be increased in order to connect new users, improve power supply, and reduce network outages. The revitalization of the network will cover most of the rural areas of Montenegro. The value approved for the realization of planned projects over the next three years is higher than EUR 76 million," said CEDIS.

For the revitalization of the medium and low voltage network, an investment of more than 32 million euros is planned. Particular attention will be given to shortening the length of low-voltage lines by interpolating new Transformers 10 / 0.4 kV. 

"We are ready to reach the level of quality and safe power supply through future investments in the revitalization, reconstruction and modernization of existing ones as well as the construction of new power plants in all Montenegrin municipalities," announced CEDIS. 

In addition to the construction of new facilities and networks, the three-year investment plan of the company, which was adopted by the Energy Regulatory Agency at the beginning of August, includes projects for reconstruction, modernization and revitalization of existing power plants. This contains the revitalization of midrange and low-voltage networks, for which, from 2019 to 2021, a total of 32 million euros will be allocated. In the first year of implementation, a cost of 12 million is planned, while for the next two years 11 and 9 million euros are planned. 

Problems that can affect the realization of the works relate to the deadlines of the objects. CEDIS also considers an obstacle provision of the necessary documentation, especially in areas that are not within the scope of planning documents where the development of the power infrastructure is indispensable.

"Another limiting factor is in solving legal property issues in order to provide locations for energy facilities. There are also long-standing procedures for obtaining the documentation required for urban-technical conditions as well as the selection procedures of the bidders," CEDIS states, adding that there are problems with the insufficient number of licensed firms to respond in a high quality to the requirements of CEDIS. D.J. 

CEDIS has, in response to the Government's request, prepared and adopted a plan of investment for the next three years, and the investment in revitalization will not affect the increase in electricity distribution tariffs. Once the Energy Regulatory Agency has adopted a plan, CEDIS will begin implementing and investing a relaunch early next year. As the operator of the distribution system, CEDIS is obliged to establish a three-year investment plan with updates every year and submit it to the Energy Regulatory Agency according to the Energy Act, according to the needs of the system user. 

Text by Dnevne novine, on September 4th, 2018, read more at CdM

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