Construction of Wind Farm Vetrozelena and Solar Power Plant Solarina to Start in Second Half of 2023 – CWP Global to Invest Nearly EUR 400 Million
In Serbia, we now have around 500 MW worth of projects in development – for two of them, we are completing the phase of obtaining the permits and we are well on our way toward defining the financing. We expect the financial construction to be closed by the middle of the next year and to start the works in the final quarter of 2023, Maja Turkovic, the manager for Europe at CWP Global, told eKapija.
At this year’s Trebinje Energy Summit, Turkovic moderated the panel on the challenges of balancing renewable energy sources, after which we asked her how far their large projects in Serbia had progressed.
– The two projects that I cited pertain to the Wind Farm Vetrozelena in Pancevo of 350 MW and the Solar Power Plant Solarina of 150 MW, which we will build in Zajecar. We have already started getting the equipment and we are seeking financing models with banks. The fact that this is an election year in Serbia does not affect us, and election years can be slow due to a change in the administration, because the project has reached the phase where we are less oriented to the administration and more to the financing.
As Turkovic pointed out, Vetrozelena will cost around EUR 270 million, and Solarina around EUR 120 million.
– The volatility of prices is great, due to the increase in the prices of raw materials, and all that is reflected in the price of equipment, because the prices of copper, iron and aluminum have increased. We are contracting those deliveries quite late, because there’s been a change in the prices. We have pretty long deadlines when it comes to the procurement of transformers, and when it comes to wind turbines, they give us short deadlines to which they tie the prices. The price policy changes very often, due to the turbulences in the world market, so we can’t contract jobs much earlier.
Maja Turkovic at a Trebinje Energy Summit panel (Photo: SET)
According to her, it’s standard in Serbia that there are bottlenecks when it comes to certain activities in the field of development of energy projects, because there are not plenty of companies which provide the service. This, she points out, is important to emphasize “if we want to build so many RES-based facilities, so therefore there should be efforts toward helping the industry flourish”.
– Ten years ago, we were a young market and we didn’t have, for example, 20 design studios or companies which offered, for example, monitoring services. Now the market of Serbia is a little more mature and the industry is supposed to have been strengthened.
Serbia now has 400 MW of installed capacities from RES and CWP’s investments will mean a lot to their portfolio, but also to Serbia.
– CWP Global is doing market projects, we operate in line with market principles and that is an experience we’ve brought over from Australia. We are the biggest independent producer and supplier of green energy from Australia, our portfolio features all the Nestle factories, the Sydney airport and opera and others. We are transferring that experience to Europe, because technological developments have enabled us to be competitive and to not require subsidies.
CWP has projects in Bulgaria, Romania, as well as Ukraine, where it will have to wait for the situation to change.
– We find the Western Balkans very interesting, but there are still no concrete investment projects. We will try to find the potential and establish cooperation – Turkovic concluded.
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