Serbia’s state-owned power utility EPS said the Kostolac wind farm is not currently generating electricity. The company attributed the lack of output to the project not yet being formally handed over by the contractor. EPS also rejected claims that any outage is linked to weather conditions.
EPS said the facility has not been officially accepted as completed because outstanding contractual obligations remain unresolved. The utility cited an original completion deadline of 30 October 2024, adding that more than a year later the contractor has still not met all agreed requirements. Until those conditions are satisfied, EPS will not issue the final takeover certificate.
Contract talks with contractor and Siemens Gamesa
EPS confirmed it is continuing discussions with contractors and turbine supplier Siemens Gamesa to address remaining issues. The utility said resolving the project is a priority for multiple parties involved in delivery and financing. EPS pointed to stakeholders including contractors, equipment suppliers, financial institutions, and project donors.
The company cited donors including the European Union and Germany’s development bank KfW. EPS said these discussions are aimed at bringing the project to completion under the remaining contractual requirements.
Kostolac project capacity, commissioning timeline and funding
The 66 MW Kostolac wind farm started trial operations in late November 2025. During that phase, it delivered its first electricity to the grid. The project includes 20 wind turbines installed on former lignite mining land within the Kostolac complex.
EPS described the development as its first wind energy project and part of efforts to diversify its generation mix. When fully operational, the wind farm is expected to produce around 187 million kWh annually. EPS said this output would be enough to supply approximately 30,000 households.
The total project cost was reported at €144 million. Financing includes a €110 million KfW loan, a €30 million EU grant, and additional funding from EPS itself.
