Belgrade, 3rd September 2020
EMS AD director Јеlena Matejić and representative of the Consortium, composed of Energotehnika Južna Bačka, Elektromontaža Kraljevo and Elnos BL, Ilija Labus, signed today a Contract on performing works on high-voltage substations located in Kragujevac and Kraljevo. The works include construction of 400 kV switchyard and 400/220kV transformation in SS Kraljevo 3, and equipping of a 400kV feeder bay in SS 400/110kV Kragujevac 2.
These activities are part of the Second phase of Trans-Balkan corridor for power transmission, a project of a particular national and regional significance, which couples electricity markets of eastern and western Europe, contributes to the integration of the Serbian power system into the European grid and ensures a stable power supply to the customers in the territory of the Republic of Serbia
The construction activities of the Trans-Balkan corridor’s second phase are divided into two lots: Lot 1 means construction of 400kV overhead power line between SS Kragujevac 2 and SS Kraljevo 3, and its commencement was marked in the mid-June this year in Kragujevac. Signing of today’s contract is for Lot 2 and signifies a soon-to-start work activites on the above mentioned substations in the respective cities.
– I am proud of that we have this opportunity today to sign one more contract which implementation will bring huge benefit to our country and its citizens. The construction activities on Kragujevac – Kraljevo overhead power line are in full swing and advancing well. But, for this overhead line to be used, it is necessary to carry out significant and complex works on high-voltage facilities of Elektromreža Srbije in these two cities. And when these works are completed, it will mean that a completely new situation will be in the central parts of the Republic of Serbia, with regard to the transmission infrastructure and stability of power supply. What will be done is an upgrade of the 220 kV transmission network into 400kV transmission network, and the result of it will be higher stabillity of power supply for the existing customers as well as new, much bigger chances for development and progress – EMS AD director Jelena Matejić says.
The value of the contracted works is almost 6.5 million euros, and for Lot 2, EMS AD has so far invested more than 445 million dinars of its own funds, for the following activities: design, obtaining of permits, purchasing of high-voltage equipment and of 400/220 kV power transformer. Time period for completion of works is 610 days.
Total investment value of the Second phase (i.e. construction of the overhead power line, and reconstruction of substations) amounts to 29.6 million euros. The financing is secured by loan funds in the amount of up to 15 million euros to EMS (supported by the sovereign guarantee) provided by KfW Development Bank, on behalf of the German Government, then 6.5 million euros of EU grant which will be allocated to EMS via mechanism of the Western Balkans Investment Framework from the European Western Balkans Joint Fund, and from the own financial resources of EMS AD.
