North Macedonia’s state-owned utility ESM has started the third phase of a programme worth roughly €46 million to modernise six large hydropower plants. The upgrade work is designed to replace equipment and carry out plant improvements across the existing fleet.
Capacity and generation targets
The project is expected to add 13.5 MW of capacity. ESM estimates the upgrades will increase annual generation by about 50 GWh. The utility also projects that the additional output could generate at least €5 million in annual revenue.
Financing through KfW and EU support
Financing for the programme includes a €35 million KfW loan. An additional €10.7 million EU grant is provided through the Western Balkans Investment Framework. The funding structure supports the equipment replacement and upgrade scope at the selected hydropower sites.
Plants covered and operational focus
The modernisation phase covers Vrutok, Vrben, Raven, Tikveš, Špilje, and Globočica. ESM said the upgrades are intended to improve reliability, reduce interruptions, and extend operating life. The investment is focused on raising production from existing assets.
Actual output gains will depend on water availability, which remains a central constraint on hydropower generation. As a result, annual generation increases may vary with hydrological conditions.
