MEP: The EU allocated 75 million euros for five infrastructure projects in Montenegro

As part of this support package, the EU will allocate funds for five investment grants for infrastructure projects in the field of environmental protection and one technical assistance project for the preparation of project documentation in the field of energy in Montenegro, announced the Ministry of European Affairs.

Today, at a meeting held in London, the operating committee of the Western Balkans Investment Framework (WBIF) approved six grants for environmental protection and energy, with a total value of 75 million euros, to Montenegro.

As part of this support package, the European Union will allocate funds for five investment grants for infrastructure projects in the field of environmental protection and one project of technical assistance for the preparation of project documentation in the field of energy in Montenegro, announced the Ministry of European Affairs.

"The total value of six investments, with national co-financing and favorable loans, will amount to 171.5 million euros. By implementing these important projects, we will improve water supply and wastewater treatment systems throughout Montenegro and improve the quality of life of our citizens in Kotor, Tivat, Ulcinj, the capital of Cetinje, Nikšić and Pljevlja," said the Minister of European Affairs. Maida Gorcevic who joined the work of the Operational Committee online.

As she pointed out, Montenegro will benefit multiple times from these projects.

The modernization and expansion of the water supply infrastructure, as announced, will contribute to the improvement of public health and improve the quality of life of citizens.

"Also, a prerequisite for success in the tourism sector is reliable water supply and efficient waste water management, especially in popular tourist destinations, so the positive impact on this economic branch will be felt. In addition to infrastructure projects, it is expected that Montenegro will receive an incentive in the amount of millions of euros from the European Bank for Reconstruction and Development in the field of energy," said Gorčević.

In addition to the clear practical value, she added, the implementation of these projects will have a significant impact on the dynamics of fulfilling obligations during the process of accession negotiations. She said that, "as we work hard" to make the Western Balkans Growth Plan a reality, these WBIF-supported projects will have a positive impact on meeting the requirements for concluding negotiations in Chapter 27 - Environment.

"Accession to the EU is essentially a transformative process. At the end of it, Montenegro will belong to the community of the most developed European countries in the economic, social and institutional sense. The government's task is to use all the opportunities offered to Montenegro through European integration in order to strengthen the economy and improve the living standards of citizens through the implementation of quality projects," said Gorčević.

She added that receiving IBAR last week was a "big victory" for Montenegro on its European path, but also an obligation to "not give up in the slightest in order to become the 2028th member by 28". The process of European integration, it is pointed out, not only creates better institutions and a higher level of democracy and the rule of law for Montenegro, but also concrete economic benefits.

1) Improvement of the waste water collection system in the municipalities of Nikšić and Pljevlja, with the proposed EU grant amount of 17,8 million euros;

"The project includes the construction of the II phase of the sewage network with a pumping station in Nikšić, as well as the construction of the II phase of the sewage network in Pljevlje, which will create optimal conditions for the functioning of the entire wastewater treatment system in these municipalities and increase the coverage of the equivalent population through the operation of the wastewater treatment plant. The total value of the project is 31,5 million euros, of which the EU provides an investment grant of 17,8 million euros, the European Investment Bank a loan of 6 million euros, and the already provided EU support for the preparation of project documentation is 950.000 euros, and the rest represents national co-financing," states the MEP.

2) Improvement of the water supply system in Cetinje, with the proposed EU grant amount of 12,6 million euros;

"The project relates to the improvement of the water supply system in the Capital of Cetinje, through the reconstruction of the existing and construction of a new water network, as well as the installation of a new system of pumping stations that will enable easier delivery of drinking water to end users. The total value of the project is 21,2 million euros, from of which the EU provides an investment grant of 12,6 million euros, the European Investment Bank a loan of 4 million euros, the already provided EU support for the preparation of project documentation is about 500.000 euros, and the rest is national co-financing," it added.

3) Water supply and waste water collection infrastructure on the Adriatic coast - Bay of Kotor with a proposed EU grant amount of 3,89 million euros;

"The project relates to the improvement of the water supply system in the Capital of Cetinje, through the reconstruction of the existing and construction of a new water network, as well as the installation of a new system of pumping stations that will enable easier delivery of drinking water to end users. The total value of the project is 21,2 million euros, from of which the EU provides an investment grant of 12,6 million euros, the European Investment Bank a loan of 4 million euros, the already provided EU support for the preparation of project documentation is about 500.000 euros, and the rest is national co-financing," it added.

3) Water supply and waste water collection infrastructure on the Adriatic coast - Bay of Kotor with a proposed EU grant amount of 3,89 million euros;

"The goal of the project is to sustainably solve the issue of water supply and wastewater treatment in the Bay of Kotor, especially in the coastal part of the Municipality of Kotor and the settlements of Risan and Perast. This additional grant contributes to the financial sustainability of the project, which was previously the subject of two approved investment grants. The total value of the project is 33,6 million euros, of which the EU provides a new investment grant of 3,89 million euros, the already approved EU grants amount to 8,9 million euros, the German Development Bank (KfW) provided a loan of about 12 million euros, and the rest is national co-financing," writes the MEP.

4) Water supply and waste water treatment on the Montenegrin coast, phase V, component 2 - Municipality of Tivat with the proposed EU grant amount of 9,5 million euros;

"Through the infrastructural investments foreseen in the project, it is planned to improve the water supply network in the Municipality of Tivat, reduce the problems related to the lack of water during the summer months, remove the bottlenecks of the existing systems and increase the operational efficiency and financial sustainability of the utility company. The project refers to the coastal the part around the Tivat Bay, where the main part of the population and tourist activities are concentrated. The total value of the project is 24,5 million euros, of which the EU provides an investment grant of 9,5 million euros, the German Development Bank (KfW) provided a loan of 12,1, EUR XNUMX million, and the rest is national co-financing," the announcement states.

5) Water supply and sanitation in Ulcinj – Phase 1- Component 2: Construction of a wastewater treatment plant (WWTP) and supporting infrastructure) with a proposed EU grant amount of 30,6 million euros

"The goal of the project is the comprehensive reconstruction of the water supply network and the construction of the sewage network, with a system of pumping stations, wells and drains with a wastewater treatment plant in the urban part of the Ulcinj municipality. The result of the project will be full compliance with European standards in the field of wastewater treatment, which will additionally improved quality of sea water in the coastal part. The total value of the project is 60,7 million euros, of which the EU provides an investment grant of 30,7 million euros, already approved EU grants for the preparation of project documentation amount to 1 million euros, the German Development Bank (KfW ) provided a loan of 27 million euros, and the rest is national co-financing," adds the MEP.

When it comes to the 30th call for technical support in the preparation of project documentation, the project proposal "Construction of a new 110 kV transmission line Virpazar-Briska Gora-Ulcinj with extension to 110/35 kV Virpazar and 110/35 kV Ulcinj, Montenegro" was previously positively evaluated ” in the amount of one million euros. "The approved grant will finance the preparation of a feasibility study with a cost-benefit analysis, as well as a social and environmental impact assessment study," the statement concludes, recalling that the leading financial institution is the European Bank for Reconstruction and Development (EBRD).