Igor Kovacevic Wind farms 2010

Abbreviation:: 

Abbreviation 

D.Sc. Igor Kovačević, M.Sc. Lucija Rakočević 

Energy Sector 

Ministry of Economy of Montenegro 

WIND POWER PLANTS IN MONTENEGRO 

Wind farms and their influence on 

the surrounding environment 

Podgorica 

December 17 th , 2010 

CONTENTS OF THE PRESENTATION 

1. Strategic and Legislative RES Framework 

2. Wind Potentials 

3. Wind Power Plant Projects 

4. Economic Analysis 

5. Conclusions 

RES – Renewable Energy Sources 

ME – Ministry of Economy of Montenegro 

CGES – Montenegrin transmission system 

Wind farms and their influence on the surrounding environment 

Podgorica, December 17 th 2010

1. STATEGIC AND LEGISLATIVE RES FRAMEWORK 

1.1. Major Strategic Commitments 

� Reasonable valorization of available potentials 

� Achieving a balance between energy 

development and environmental protection 

� Regulatory, legislative and operational integration in 

the process of approaching the EU in the fields of 

energy and environment 

� Implementation of obligations under theTreaty 

establishing the Energy Community 

� Continuation of energy reform, while respecting 

sustainable development and market operation 

principles 

� Ensuring social protection in the process of reform 

changes in energy sector 

Tara Canyon 


Podgorica, December 17 th 2010 

1.2. Energy Sector 

� Energy sector is recognized in Montenegro (MNE) 

as an important driving force of the economic 

growth 

� Energy Development Strategy of Montenegro until 

2025 and Action Plan 2008-2012 

(CC 5: construction of wind farms) 

� The Strategy sets guidelines for energy progress and 

sustainable development: 

- improving energy efficiency 

- better use of RESe (hydro, wind, biomass) 

- revitalization of existing and construction of new 

electricity infrastructure (TSO, DSO) and 

- Montenegro as RESe investment challenge 

Updating Energy Policy and Energy Strategy! 

Montenegrian 

“Katun” 




1. Strategic and Legislative RES Framework

1.3. Legislative RES Framework 

� Directive 2009/28/EC of the European parliament of the Council on the 

promotion of the use of energy from RES 

Energy Law adopted in May 2010: 

� Incentives for energy produced 

from RES and cogeneration 

� National target for energy 

produced from RES 

(29.5 % to 2020) 

� Guarantees of origin of 

electricity, heating and cooling 

produced from RES 

� Preferential producers 

� Joint Projects and Joint support 

schemes 



1.4. Incentives for Electricity Generated from RES 

� Electricity produced in wind farms 

95.99 €/MWh in 2010 

� Guaranteed price for 12 years 

P 

o 

l 

i 

c 

y 

8% 

12 years 

Invst C FO C GOR 

Feed-in Tariffs 

Other incentives 

With/ without 

KAP 

Energy Balance 2005 GDP factor 

5.5 % 

National RES 

Target (%) 

Action 

Plan 

Economic impact 

Electrical energy price increase for the consumers 

sHPP 

Wind farms 

Biomass 

Other 



P 

o 

l 

i 

c 

y 

1.0 % 

Planned 

power 

plants 


1. Strategic and Legislative RES Framework

2. INVESTIGATION OF WIND POTENTIALS 

2.1. Theoretical Researches 

� Numerical simulations 

� Correction factor, relation of 

measured and calculated wind 

speed 

� Detailed analysis, which covers all 

relevant limitations influencing the 

reduction of utilization of wind 

energy potential 

Renewable Energy Resource 

Assessment of Republic of 

Montenegro in 2007 

Wind potential assessment on the of 

shore region in Montengro in 2011 

Technical energy potential of wind 

[W/m 2 ] at 50 m 



2.1. Theoretical Researches (cont.) 

� Based on numerical calculation and 

model the wind maps for 

Montenegro show significant 

potential in certain areas 

� Yearly average wind speed (m/s) at 

80 m above ground 

� Map of 1 km resolution 

Wind Resource Map 

Montenegro by Vestas in 2010 



2. Investigation of Wind Potentials 

2. Investigation of Wind Potentials

2.2. Field Measurements 

� FERSA (Spain): Ulcinj, Bar, Podgorica, 

Tivat, Brajići (Budva-Cetinje) 

� IVICOM WIND (Montenegro) and 

MITSUBISHI (Japan): Krnovo donje and 

Krnovo gornje, Nikšić 

� NTE (Norway): region of Rumija 

Mountain, Bar 

� EKO ENERGIJA (Montenegro): Ilijino 

brdo, Nikšić 

� CETMA- IMELS (Italy): region of Njegoš 

Mountain, Nikšić and Poljice Pass, Budva 

Measurement stations in Bar 



2.2. Field Measurements (cont.) 

� Mozura site , Ulcinj and Bar 

- Measurements for 1 year, mean 

velocity 10 min, 40-60-68 m pole 

- Average wind speed 5.6-5.8 m/s 

� Krnovo site , Nikšić and Šavnik 

- Measurements for 1 year, mean 

velocity 10 min, 60 m pole 

- Average wind speed 6.2 m/s 

Mean wind profile and terrain profile, Mozura site 



2. Investigation of Wind Potentials 

2. Investigation of Wind Potentials

3. WIND POWER PLANT PROJECTS 

3.1. Legislative Background 

� Energy Law (2003) replaced by new Energy Law (2010) 

� Law on State Property 

� Decree for Wind Power Plants (2009) 

� Rulebook on methodology for calculation of purchase price of electricity 

generated in wind farms (2010) 



3.2. Procedure for Selection of Investors for Wind Power Plants 

� Reports of Wind Potentials on two locations (September 2009): 

- Možura (proposed wind farm with installed power 46 MW) and 

- Krnovo (proposed wind farm with installed power 139 MW) 

� Invitation for expression of interest (September 2009) 

� Before the tender, ME receives two opinions: 

1. CGES`s opinion about a connection wind power plant of the proposed 

locations and operating and dispatching of electricity produced in wind 

farms (LIMIT UP TO 50 MW on Krnovo); 

2. Ministry for spatial planning and environmental protection`s opinion about 

purpose of lands for possible construction of wind power plants 

� Public announcement for selection of investors for wind power plants 

(December 2009)J 



3. Wind Power Plants Projects 

3. Wind Power Plants Projects

3.3. Agreements 

� ME signed two Agreements on land lease 

and construction of wind power plants: 

- Fersa & Čelebić on Možura for wind 

farm with installed powers 46 MW 

- Mitsubishi & Ivicom wind on Krnovo for 

construction of wind farm with installed 

powers 50 MW, conditionally 72 MW 

� Major steps are: 

- development phase (undergoing) 

- construction phase 

- exploitation 

� 20 years lease 

Two locations for possible 

construction of wind farms 

Issuing of Construction Permit is end of Development phase 

Environmental Protection Assessment is obligatory ! 



3.4. Additional activities 

Undergoing Studies for electricity from RES: 

� Developing Grid Code (TA IPA 2007), separated chapter for wind power 

plants 

� Study of developing CGES with including RES projects (TA IPA 2007) 

� Study of integration electricity generated from wing generators in 

CGES (TA EBRD) 

� Study for connection and operation distributed generators on networks of 

Montenegro (TA UNDP) 



3. Wind Power Plants Projects 

3. Wind Power Plants Projects

4. ECONOMIC ANALYSIS 

4.1. Incentives for RES Projects 

GO 

GO 



GO 

4.1. Incentives for RES Projects (cont.) 

Reasoning behind it 

� Increase energy security 

� Decrease import of electric energy 

� Energy independence and using national potentials 

After 12 years 

- lifetime 20 or 30 years 

- market price for electrical energy generated from RES 



4. Support Schemes 

4. Support Schemes

4.2. The final electricity tariff in 2020 

� National target for Renewable Energy Sources is 29.5 % 

Final electricity tariffs, Euro-cents/kWh 

8.80 

8.60 

8.40 

8.20 

8.00 

7.80 

-2.1% 

8.16 

1.7% 

8.47 

-2.1% -1.6% -2.1% 

8.16 



8.20 

8.16 

4.4% 

8.70 

5.0% 

0.0% 

-5.0% 

-10.0% 

-15.0% 

-20.0% 

-25.0% 

1 - Policy 2 - Delay in 3 - No 4 - No 5 - No 6 - No new 

Success achieving contribution contribution contribution conventional 

energy from the from biomass from solar hydro 

efficiency transport 

sector 

in heating 

Final electricity tariffs, €cents/kWh 

Change from Benchmark 

Benchmark electricity tariff = 8.33 €cents/kWh 

5. CONCLUSIONS 

� The RES national target of ~30 % from final energy consumption can be 

achieved in Montenegro (relative increase 6.5 %) 

� Two agreements on land lease and construction of wind power plants are 

signed, Možura and Krnovo 

� Environmental protection assessments will estimate influence on flora and 

fauna and define conditions for construction of wind power plants 

� Montenegro is creating the ambient for sustainable economic development 

throw the renewable energy projects 



% change from benchmark 

4. Economic Analysis 

5. Conclusions

Igor Kovačević 

Ministry of Economy 

Energy Sector 

+38269617790; +38220482136 

vjetroelektrane@gov.me 

www.oie-cg.me 



3.5. Other RES Projects 

� District heating based on forestry residues 

and wood-processing industry residues in 

Pljevlja 

� The new wood fuel productions 

� Electric cars in old town Perast, charged 

by photovoltaic system 

� Photovoltaic systems on two new public 

building in Podgorica, ~ 200 kW installed 

power 

� Electricity generation form biogas on an 

animal farm 



3. RES Projects

Igor Kovacevic Wind farms 2010

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