Serbia has reached an agreement with the Japan International Cooperation Agency (JICA) on the main elements of a financing package for the planned 650 MW Bistrica pumped-storage hydropower plant, Energy Minister Dubravka Đedović said. The minister stated that key questions on the structure and size of the package have been resolved. She also said the contracting model for construction works was agreed by both sides.
Đedović added that the parties aligned on subsequent steps in project preparation. These include developing tender documentation and establishing procedures needed to obtain approval of the Japanese loan. The next phases are intended to move the project toward the financing agreement process.
JICA mission timing and technical support
A JICA mission is expected to visit Serbia in March 2027 as part of a final evaluation ahead of signing the financing agreement. Japanese experts are also expected to continue supporting preparations through additional technical visits in the coming period.
While the evaluation process is scheduled for 2027, preparation work is already underway in Serbia. Engineering design activities and technical documentation are being prepared, according to authorities. Supporting infrastructure construction is expected to start soon after current preparatory tasks progress.
Permitting and construction preparation
Authorities anticipate that the main construction permit for the Bistrica project will be issued in the first months of 2027. The timeline links permitting expectations with ongoing engineering and documentation work.
The Bistrica pumped-storage hydropower plant is planned near Nova Varoš in southwestern Serbia. The planned facility would include two reservoirs connected by underground tunnels and generating equipment. Water would be pumped to an upper reservoir during periods of low electricity demand and released during peak demand to generate electricity.
Role in power system balancing
With installed capacity of 650 MW, the project is expected to contribute to balancing Serbia’s power system. The minister’s statement tied this function to Serbia’s continued integration of higher shares of renewable energy sources.
