The Government of Montenegro adopted the plan for granting concessions for the use of water for the construction of hydropower plants in Montenegro for 2021, which provides for the award of only one concession for the construction of a small hydropower plant, which uses the water potential of the Otilovici reservoir near Pljevlja.
As explained by the Government, this would imply the use of excess water flowing from the reservoir.
Apart from this project, the Government does not envisage the award of concessions for the construction of other SHPPs in 2021, in accordance with its stand that the construction of new SHPPs should not be encouraged.
The concession will be directly awarded to state- owned power utility EPCG, in accordance with the provision of the Law on Concessions which stipulates that it is not necessary to conduct a public bidding procedure in case of realization of the concession by a company in which the state has majority ownership.