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Energy policy – Energy Country Profile

Energy Policy

The Ministry of Economy is largely responsible for the energy policy in Montenegro. The main strategy documents are the “Energy Development Strategy of the Republic of Montenegro until 2030”, the “Action Plan for the implementation of the Energy Development Strategy of Montenegro until 2030” and the “Energy Policy of Montenegro until 2030”.

Montenegro’s energy policy can be divided into three pillars. The first pillar deals with security in the energy supply. The goal is to ensure a permanent, secure, high quality and diversified energy supply aimed to comply the supply with the demands of the buyers.
Second part of the energy policy is the development of a competitive energy market, which deals with the securing, non-discriminatory, competitive and open energy market on the basis of transparent conditions.

Sustainable energy development is the third pillar of the energy policy of Montenegro. Referring to sustainable energy development the focus should be on environment protection, increased energy efficiency (EE) and increased use of renewable energy sources (RES).

Referring to Montenegro’s NREAP a share of 36 % of energy from renewable sources in gross final energy consumption should be reached in 2020.

Measures for achieving the targets

The defined targets are to be reached with the help of a bundle of measures.

1. Feed-in tariffs for electricity produced in power plants using renewable energy sources and power plants for high efficiency cogeneration (plants of privileged producers)

2. Priority in delivery of total electricity generated in power plants of privileged producers into the transmission or distribution system

3. Exemption of charges for imbalances by the system operator for privileged producers

4. Compulsory minimal share of electricity from renewable energy sources in the total electricity supply that shall be procured by each supplier of electricity

5. Guarantees of origin

6. Policy and support schemes for promoting use of renewable energy sources in heating and cooling

7. Implementation of regular energy audits of heating systems and air conditioning systems

8. Obligation for new buildings in certain climate zones to cover a quota of their energy needs for domestic hot water with renewable sources (solar thermal systems)

9. Improvement of energy performance of buildings in the public sector:

  • Montenegro Energy Efficiency Project (MEEP) - Implementation of energy efficiency measures in six healthcare buildings and nine educational buildings
  • Energy Efficiency Programme in Public Buildings (EEPPB) - Improvement of the energy efficiency, comfort and working conditions in the selected educational buildings (kindergartens, primary and secondary schools and student dormitories)

10. Establishment and implementation of EE criteria in public procurement of goods and services, as well as in purchase and rental of buildings

11. Programmes of support for using RES in households and other sectors:

  • MONTESOL - Interest-free credit line for installation of solar-thermal systems for households
  • SOLARNI KATUNI - Project related to installation of photovoltaic solar systems in summer pasture lands
  • ENERGY WOOD II - Interest-free credit line for installation of heating systems on modern biomass fuels (pellets, briquettes) for households
  • ENERGY EFFICIENT HOME – credit line without interest for the installation of heating systems run on modern forms of biomass (pellets, briquettes), efficient façade woodwork and façade thermal insulation.

12. Program of subsidies in some municipalities for the installation of solar systems in new buildings by reducing utility costs (fees for utility lands)

13. Incentive program related to the use of solar energy in the tourism sector

14. Policy and support schemes for promoting use of renewable energy sources in transport (including obligations of placing biofuels on the market)

15. Infrastructural measures in the transport sector with the energy savings effects

16. Study - Action Plan on energy efficiency in transport

17. Establishment and implementation of EE criteria in public procurement of vehicles and transport services in the wider public sector

18. Development and application of regulatory framework for energy efficient buildings

Last update: 06 2021