The ongoing modernization of the Brezna substation in Montenegro represents a significant advancement for the country’s electricity transmission infrastructure. The state-owned operator, Crnogorski elektroprenosni sistem (CGES), has awarded a contract worth €7.9 million to a consortium formed by local firm XEnergy and Turkish company Astor Enerji. This contract is part of a larger €36 million infrastructure upgrade aimed at enhancing the technical capabilities of the substation.
As outlined by the European Bank for Reconstruction and Development (EBRD), the project will involve the installation of two 300 MVA three-winding autotransformers, which are designed for 400/115/10.5 kV operation. This upgrade will transition the Brezna facility from its current configuration of 110/35 kV, thereby significantly improving its operational efficiency and capacity.
The scope of the contract encompasses not only the provision of transformers but also includes engineering and design services, manufacturing, factory acceptance testing, and logistics for transporting equipment to the site. Additional provisions consist of spare parts, installation tools, insulating oil, online monitoring systems, and other necessary support services. The completion of this project is anticipated by October 2027.
The strategic importance of upgrading the Brezna substation cannot be overstated; it is expected to unlock substantial new transmission capacity for renewable energy. Upon completion, this facility will connect to Montenegro’s national grid through the forthcoming 400 kV Lastva–Pljevlja transmission line, which is currently under development.
This connection is projected to facilitate at least 200 MW of new renewable energy projects that are in various stages of planning. Furthermore, the upgrade is expected to enhance overall system efficiency by reducing transmission losses by approximately 13 GWh annually.
Officials have indicated that this investment aligns with broader regional integration objectives. The Brezna substation upgrade is seen as a critical step toward establishing a potential future electricity interconnection with Bosnia and Herzegovina, a project that has garnered support from the EBRD and is currently undergoing feasibility assessments.
To fund this modernization effort, the EBRD has approved a €28 million loan for CGES in 2024. Additionally, Montenegro has sought a €7 million grant from the Western Balkans Investment Framework (WBIF) to further bolster project implementation.
