In the first quarter of 2026, the Montenegrin state-owned power utility EPCG demonstrated a robust financial rebound, fueled by enhanced electricity generation and effective cost management. The company’s net profit surged to 36.5 million euros, a notable increase from 10.2 million euros during the same period in the previous year. Additionally, operating profit rose sharply to 36.8 million euros, compared to 9.4 million euros in Q1 2025.
EPCG’s revenue from electricity sales also saw an uptick, reaching 142 million euros, up from 126 million euros in the first quarter of 2025. This financial growth was complemented by a reduction in total operating expenses, which fell from 110 million euros to 97 million euros. Labor costs were slightly decreased to 8.1 million euros, reflecting the company’s efforts to streamline operations.
The utility attributed its improved financial performance primarily to favorable hydrological conditions, which significantly boosted electricity production beyond initial forecasts. Total generation for the January–March period reached 1,204 GWh, exceeding internal projections by an impressive 49%.
The growth in output was predominantly driven by EPCG’s hydropower facilities. The 307 MW HPP Perućica produced 493 GWh, surpassing expectations by 48%, while the 342 MW HPP Piva generated 323 GWh, exceeding planned levels by 43%. This strong performance underscores the critical role of hydropower in Montenegro’s energy landscape.
<pMoreover, electricity production at Montenegro's sole thermal power plant, the 225 MW TPP Pljevlja, also contributed positively, generating 385 GWh during the quarter and exceeding planned output by 83%. Additionally, small hydropower plants operated by EPCG added another 2.7 GWh, further enhancing overall production capabilities.
<pThe results from EPCG reflect not only a recovery in financial metrics but also highlight the importance of hydropower resources in meeting energy demands and achieving operational efficiency within Montenegro's energy sector.
