Saturday, April 22, 2006

I can see the light

If there is one thing EU's Stability Pact has stressed development-wise in SE Europe, it has to be the the common energy market along with the insfrastructure to support it. I'm not sure why Europe decided to work on the development of energy projects first, but I don't doubt my readers' creativity on this topic.

First, YakimaGulag comes up with this story, which talks about a US$286.6 million investment being prepared by the World Bank, European Bank for Reconstruction and Development, European Investment Bank, German KFW Bank Group, and government of Bosnia. It's the largest investment ever in Bosnia.

ECIKS reported earlier that "World Bank and the EAR representatives [have] said that the plan on building a new power plant in Kosovo with a production capacity up to 2000 MW/h, will be completed during this month." According to the same representatives, Kosovo should not get a loan for building the new power plant, but suggested to finance it through private investments. About $1 billion will be needed to build it in order to replace or add to the Kosova's two old dinosaurs. Kosova's potential for energy proudction has often been cited by international finacial institutions as the backbone of its economic future, but I doubt the ground will be broken yet until the final status is decided.

Albania, however, comes from behind and tops it with a $1.9 billion project that will include a power plant and a regasification terminal in Fier, in the south of the country. It will most likely get approved in June and by 2009, when it is finished, it will provide 1,200 MW/h of electricity for the country plus some for export, and another 8 billion m3 of deliquified natural gas for export through an underwater pipeline to Italy. The project will provide 3,500 jobs during construction and 300 during operation. Albania happens to be one of the countries with the highest water supply per person in Europe but its communist-era hydrocentrals have not been able to meet its energy needs.

2 comments:

Ferik said...

Good post! This is a major issue when it comes to the development of the country. Two other things that need fixing are the telecommunication industry and roads. We need at least three phone operators to shake up the competition, improve the service and bring down the prices. PTK has shown itself to be very inefficient and the service they provide is very poor. Vala 900 is junk. I can’t wait when other companies start operation. I hope to see PTK's market share go down significantly. PM Ceku has promised at least three operators, but we need them sooner rather than later. I trust Ceku will speed things up a bit, but that remains to be seen.

Katja R. said...

Another vital need of ALL Balkans nations is reform of Family Law, 1. to prevent domestic violence adn 2. to ease divorce. My understanding is that both these issues need work in all countries located in the Balkans. When people cannot escape difficult situations in their families thay can't function effectively in society.