Zeta Energy, representing a joint venture between Montenegro’s EPCG and Norway’s NTE, aims to preserve and increase the capacity of existing small hydropower plants, says Jefimija Pavićević, CFO of this Danilovgrad-based company
Speaking in this interview for our magazine, Zeta Energy CFO Jefimija Pavićević explains that the company is currently exploring the potential and possibilities to build new hydropower plants and reconstruct old ones across Montenegro. She emphasises that Zeta Energy remains fully committed to improving both technological and environmental standards, all with the aim of protecting the environment.
What are the advantages of your small hydropower plants, and how do they impact the environment?
— We can today say confidently that Zeta Energy, through reconstruction projects for the Slap Zete and Glava Zete small hydropower plants (SHP), has demonstrated its true dedication to improving both technological and environmental standards in Montenegro. Speaking about the tangible results before and after reconstruction, we can note a 42% increase in production compared to the period prior to reconstruction. Considering the overall picture of these energy facilities, we must highlight the technical solutions implemented to protect the environment. Both facilities feature modern systems for controlling wastewater, both technological and sanitary, in line with the latest standards.
A distinctive feature of the Glava Zete SHP is the installation of a water-lubricated system on the production units, representing a step forward in environmental protection
Another distinctive feature of SHP Glava Zete is the installation of a water-lubricated system on the production units, which represents a step forward in environmental protection. This solution is the first of its kind in the region and represents a significant advancement in implementing the most demanding environmental protection standards.
In late March of 2024, your company was granted a concession to use part of the Zeta River to generate electricity at the Slap Zete SHP. What is your expected annual production?
— The Montenegrin Ministry of Energy and Mining reviewed the documentation submitted and concluded that the applicant provided the required documents and met the eligibility conditions stipulated by the Concessions Law. Consequently, the Government made the decision to grant the concession, based on which the concession contract was signed.
Unlike 2023, which was one of our best years in terms of revenue and, primarily, production, due to very favourable hydrometeorological conditions, this year has been completely different. Given that 2024 was a very poor year hydrologically, the total expected production is 22.5 GWh.
What can you tell us about your plans for new projects in the energy sector? Are you planning to expand your operations beyond Montenegro, in collaboration with NTE, to the region and further afield?
— Although we are a small company selling electricity on the local market, we hope that we will be able to expand our business beyond Montenegro by developing new projects within the energy sector, together with NTE, which is one of the largest electricity producers in Norway. We are currently researching potential sites for building new hydropower plants, as well as considering the possibilities of reconstructing old ones within Montenegro. For now, regional cooperation remains uncertain, but we are open to any potential collaboration if the opportunity arises.
