EPS suffered half a billion euro damage in 2014 due to floods

(Photo: Jelena Đelić)

The damage the Electric Power Industry of Serbia (EPS) suffered during the floods and other environmental disasters this year, totals some half a billion euros – the head of EPS, Aleksandar Obradovic, has said today.

- EPS has already received the loan from the World Bank loan with the guarantee of the state for floods damages rehabilitation as well as additional assets from commercial banks for financial liquidity – Obradovic said and added that the objective is to stabilize the company as soon as possible and cut costs so that it could repay loans and become profitable.

He announced that 2015 will the year of investments in EPS and the more intensive activities are expected at the construction of the thermal power plant in Kostolaac late next year.

-Firstly, it is necessary to activate the coal for the electric power plant construction and then it requires development of the study and more intensive works are expected at the end of the year – he said and stressed out that EPS will do everything to stick to deadlines for the project implementation.

-It will be the first thermal power plant which will be built in Serbia after 25 years and I expect the project which will last for five years will hire a large number of domestic workers – Obradovic added.

He mentioned that annual investment of EPS total between EUR 200 and 250 m which positively affect the entire Serbia’s economy.

-We are planning investments in renewable energy sources, we are negotiating with German bank KfW bank for funding wind and solar park in Kostolac – Obradovic said and added that EPS is also planning revitalization of small hydro power plants. He reminded that modernization for eight has already started and seven will in 2015.

-When it comes to electricity market liberalization which will be fully opened as of January 1, Obradovic said that due to electricity price which is at EPS 30% lower than the market price in the region, it is not expected that competitive companies will take over household supplying in Serbia which they can but do not have to opt for supplier at free market as of New Year.

-The price, however, is not the only factor and argument in the fight for customers and therefore EPS will not be calm – Obradovic outlined.

The head of EPS told to citizens they do not have to send any kind of information to EPS that they want to keep the company as a supplier and the information is necessary only in case they want to change supplier.