Cooperation framework for planned facility
State-owned utility EPS and Azerbaijan’s SOCAR have formalized a framework for cooperation on a planned gas-fired power plant in Niš. The agreement sets out the basis for establishing a joint venture to manage the project from development through construction and into operation. It also defines commercial principles intended to guide the partnership over the coming years.
The planned facility is expected to serve as one of Serbia’s significant new sources of baseload electricity generation. Serbian government officials link the initiative to broader efforts to modernize the national energy system, strengthen supply security, and diversify the generation mix while the country moves gradually toward lower-carbon technologies.
Capacity target and role in grid transformation
Serbian authorities said the project targets the integration of up to 500 MW of new capacity into the national grid by the end of the decade. The same officials said it is expected to support long-term energy security and provide additional flexibility during the electricity sector’s ongoing transformation.
The agreement also points to deepening energy cooperation between Serbia and Azerbaijan. Bilateral relations in the energy sector have expanded in recent years, including areas such as natural gas supply, infrastructure development, and strategic investments.
Broader Serbia–Azerbaijan energy cooperation
Officials suggested that the partnership could enable additional joint projects beyond the Niš power plant. For EPS, the initiative is described as another step in reshaping its generation portfolio, with work focused on balancing traditional production assets and newer technologies designed to deliver stable output.
Representatives of both companies said their cooperation combines technical expertise, financial capacity, and industry experience. They described this as a foundation for developing a modern power facility intended to support long-term stability of Serbia’s electricity system .
The Niš gas-fired power plant is presented as a flagship project within a wider energy cooperation agreement between Serbia and Azerbaijan signed earlier this year . That intergovernmental arrangement was endorsed at the highest political level and was said to lay groundwork for deeper collaboration on major energy infrastructure projects.
