IEEJ: June 2010

JICA JFY 2010

Energy Policy (B)NO. J1000606 / ID. 1080149

Country Report:
Bosnia and Herzegovina
March 2010

Prepared by JICA trainee Mile Srdanovic

Country Report – Bosnia and Herzegovina / JICA JFY 2010 PROGRAM - Energy Policy NO. J1000606 / ID. 1080149

IEEJ: June 2010

Bosnia and Herzegovina – basic energy related figures
Population

3,843,000
data for 2007 estimated by the Agency for Statistics of BIH

Land area, thousand sq km (2009)51.20 sq kmGDP / Capita$3,941 (nominal) data for 2007 estimated by the Agency for Statistics of BIH$7,468 (PPP) data for 2007 estimated by the World Bank

Energy consumption / Capita

Average energy consumption in BH is about 45 GJ per capita, compared with a world
average of 70 GJ per capita and OECD average of 236 GJ per capita

Total Primary Energy Consumption – TPES
(average for last five years, negligibledeviation).

Gas; 6%

Hydro-RES; 12%

Oil; 26%

Coal; 56%

Dependance on Imported Energy – 32% (Oil + Gas)

Generation

Total:
Fossil fuel:Nuclear:Hydro:

13,942.0 GWh
8,933.0 GWh
0.0 GWh
4,818.0 GWh

Electricity Market Size

10,450 GWh/year

Installed Capacity

3,659 MW

Peak Demand

2,117 MWNet Electricity Exporter

1,701 GWh

Natural Gas Imported

0.31 bcm

Natural Gas Consumed

0.31 bcm

Country Report – Bosnia and Herzegovina / JICA JFY 2010 PROGRAM - Energy Policy NO. J1000606 / ID. 1080149

IEEJ: June 2010

A) Energy Resources & Power Sector overview

Country Report – Bosnia and Herzegovina / JICA JFY 2010 PROGRAM - Energy Policy NO. J1000606 / ID. 1080149

IEEJ: June 2010

Basic domestic energy - CoalBosnia and Herzegovina has available
significant reserves of lignite and brown
coal usable for generation of electricity
applying existing (classic) technology or
through new energy combustion andtransformation technologies.
The existing TPPs in BiH consume averageannually around 8 mil.tons of appropriate
types and qualities of coal, that surely mustbe supplied until the end of the existing
TPPs lifetime.
Estimates are that aggregate coal reserves
in BiH amount:a) Brown Coal

1.886 mil.tonsb) Lignite

3.578 mil.tons
Total

5.464 mil.tons.

This is preconditions for long-run coalsupply to the existing TPPs and forconstruction of new ones as well. When
doing so, there must be taken care of
optimal choice of new boilers in thermal
power plants according to realisticallyavailable qualities and structures of coals.

Country Report – Bosnia and Herzegovina / JICA JFY 2010 PROGRAM - Energy Policy NO. J1000606 / ID. 1080149

IEEJ: June 2010

Basic domestic energy - Hydro
Bosnia and Herzegovina's geography includes
fast-flowing mountain streams and powerfulrivers that are very well suited forhydroelectricity production. Currently,hydroelectric power stations exist with agenerating capacity of around 6,500 MW. Mostof these installations are more than 30 years
old; modernization of the existing plants is inthe pipeline. In 2007 Bosnia generated 6,140
GWh of hydroelectricity, which was a 5 percent
generation increase from the previous year
(EIA, 2006).
It is estimated that Bosnia has a hydropower
potential of 23,400 GWh. Most of the potential
is located within the Drina, Neretva andTrebisnjica river basins. The Drina River alone
is estimated to have a power generating
potential of about 6,000 GWh.

Country Report – Bosnia and Herzegovina / JICA JFY 2010 PROGRAM - Energy Policy NO. J1000606 / ID. 1080149

IEEJ: June 2010

Alternative domestic energy (RES) – Small Hydros, Wind, Solar, Geothermal…
Small Hydros Bosnia has an estimated smallhydro power potential of 2,500 GWh/yr., what is thepotential to support app. 356 large and smallhydroelectric power stations. Since 2006, a total of
120 licenses have been issued for new minihydroelectric power stations; mini hydroelectric
power stations have capacities not in excess of 10MW.

SmallWind HydrosWindSolarGeo thermalWind A wind atlas for Bosnia and Herzegovina
was recently established. The assessment showsthat Bosnia and Herzegovina has significant windpotential. It is estimated that the total wind power
potential capacity is about 2,000 MW, but only 900
MW are usable. This potential has not yet been
exploited.
Solar The solar irradiation values in Bosnia andHerzegovina vary accordingly with about 1,240
kWh/m2 in the northern region to 1,600 kWh/m2 inthe southern region. In the southern region, theamount of sunny days can get up to about 270 daysper year. The solar potential of the region isapproximately 1,900 TWh.
Geothermal energy According to available
data, Bosnia & Herzegovina has a geothermal
potential of 33 MWth. Due to the low temperatures,
however, current activities relating to geothermalenergy continue to be limited to exploitation forthermal use.
Biofuels, Biogas etc – negligible
implementation, some pilot projects underpreparation

Country Report – Bosnia and Herzegovina / JICA JFY 2010 PROGRAM - Energy Policy NO. J1000606 / ID. 1080149

IEEJ: June 2010

Imported energy – Oil & Gas
Oil sector Bosnia and Herzegovina Gas oil
infrastructure comprises the oil products
distribution capacities, especially for motor fuels,oils and lubricants. The greatest share of themarket is covered by small private distributors.
The demand for motor fuels on the domestic
market in the present conditions is approximately
1.5 million tons annually. The oil refinery delivers
around 500,000 tons to the market, and the rest
is imported. Considering that the number ofprivate petrol stations is on the increase and hasreached approximately 300 stations, objective
estimates suggest that the commercial capacities
in BiH market are already oversized. Somepreliminary investigations have proved significant
Oil reserves in BiH.
Gas All natural gas is imported from theRussian Federation and is transported to BiH via
the gas transport systems in Ukraine, Hungaryand Yugoslavia. Due to the above mentioned
post-war dissolution of the energy system, BiH isfacing an absurd situation – in the entire gastransport (over 5000 km) from the gas wells inSiberia to Sarajevo (which is the main consumerin BiH) the intermediaries involved in the internaltransport of gas in BiH outnumber the transportintermediaries up to the BiH border. The mainfeatures of the gas system in BiH are: length of
191 km and the projected annual capacities of 1billion m3. The existing leased transportcapacities to BiH are 750 million m3/year.

Country Report – Bosnia and Herzegovina / JICA JFY 2010 PROGRAM - Energy Policy NO. J1000606 / ID. 1080149

IEEJ: June 2010

Power Sector – current status

Country Report – Bosnia and Herzegovina / JICA JFY 2010 PROGRAM - Energy Policy NO. J1000606 / ID. 1080149

IEEJ: June 2010

Power Sector – reforms (unbundling)Completed sofar (2010)



DISTRIBUTION
3 DISCOs:-“North”,-“Central”,-“South”

TRANSMISSION-TRANSCO- ISO- SERC

GENERATION
8 Generation Companies- “UGLJEVIK”- “GACKO”- “TUZLA”- “KAKANJ”- “DRINA”- “NERETVA”- “TREBIŠNJICA”- “VRBAS”

TE Ugljevik
TE Tuzla

HE Bo?ac
HE Jajce

TE Kakanj

HE RamaHE Mostar

HE Višegrad
HE Jablanica
HE Grabovica
HE Salakovac
TE Gacko
PHE ?apljina
HE Trebinje

Country Report – Bosnia and Herzegovina / JICA JFY 2010 PROGRAM - Energy Policy NO. J1000606 / ID. 1080149

IEEJ: June 2010

B) Energy Policy / Strategy

Country Report – Bosnia and Herzegovina / JICA JFY 2010 PROGRAM - Energy Policy NO. J1000606 / ID. 1080149

IEEJ: June 2010

Energy Policy – Demand/Generation scenariosc

Total primary energy supply in BiH

Total final energy demand in BiH

Source: Energy Sector Study BiH,
2007, Energy Institute EIHP, Croatia
Country Report – Bosnia and Herzegovina / JICA JFY 2010 PROGRAM - Energy Policy NO. J1000606 / ID. 1080149

IEEJ: June 2010

Energy Policy – key facts
Rather complex political/administrative constitution of BosniaHerzegovina is affecting all segments of B-H economy, incl. Energy(Power) Sector:
Energy policy should be just one segment of the overall national
Economy policy (harmonized with other sectors) and, also
harmonized with regional Energy sector:
Bosnia-Herzegovina has no independent Energy Institute, alltechnical activities are performed by three ministries (two on theentity level – FMERI & MERI, and state level Department at theMinistry of Foreign trade and Economic Relations – MOFTER). Thiscauses harmful effect – we do not have proper Energy Balance,Statistics, Analyses and Energy Forecasts.
Bosnia-Herzegovina is in the middle of the EU integration process- “EU pressure” is the key driving force in all internal reforms, incl.
Energy sector. This is the most important and most positive aspect.
Bosnia-Herzegovina has promising energy resources and, there
is one excellent opportunity to get the status of relevant regionalenergy exporter. Two thirds of total Power production was based oncoal. This ratio is likely to remain, but new TPP technologies mustbe utilized:
Bosnia-Herzegovina has significant RES potentials which were
not seriously utilized, so far. New Tariff policy is the key prerequisite
to this. New, RES encouraging tariffs are on the horizon:----------------------------------------------------------------------------------------Conclusion: The major goal of the B&H Energy policy, in the next
decade, would be – to modernize (re-power) existing Generation
capacities, new Energy related investments and development of thenew Energy Management Infrastructure.
Country Report – Bosnia and Herzegovina / JICA JFY 2010 PROGRAM - Energy Policy NO. J1000606 / ID. 1080149

IEEJ: June 2010

Thank you !

M. Srdanovic, BiH

Tokio, 11.May 2010.
Country Report – Bosnia and Herzegovina / JICA JFY 2010 PROGRAM - Energy Policy NO. J1000606 / ID. 1080149
Contact: report@tky.ieej.or.jp