FIPA Activities

Acting director of FIPA at a meeting with representatives of the company Lugos Renewables

2/5/2024

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- Construction of the largest solar park in the Balkans in Trebinje

Acting Director of the Foreign Investment Promotion Agency of Bosnia and Herzegovina (FIPA), Marko Kubatlija, had a meeting with representatives of the Hungarian company Lugos Renewables led by Roland Lugos. Based on the Memorandum of Cooperation signed with the Export Promotion Agency HEPA, FIPA provided support to Lugos Renewables, which is investing in the project in Trebinje to build the largest solar park in the Balkans.

The project involves the cooperation of Hungarian Lugos Renewables and Elektroprivreda of the Republic of Srpska (ERS) through a mixed holding, and a new solar power plant with a capacity of 73 MW is being built in Trebinje, near the border of Montenegro and Croatia, which represents the 2nd phase of the entire project. The first phase is already in the construction of substations and transmission lines with a solar power plant of 73 MW, so with the addition of the new solar power plant, the development of the complex will provide a capacity of 146 MW (DC) of solar energy, which will make it the largest solar power plant in the Balkans region according to current data.

This will create new jobs, but more importantly, it will have a major impact on the region's economic growth and environmental development by increasing the share of green energy in total energy production.

Last year, Lugos Renewables took majority ownership of the Trebinje 1 Solar Power Plant, after the Competition Council of Bosnia and Herzegovina gave the green light for this acquisition. The total value of the project is more than 50 million EUR and will be the largest one in Bosnia and Herzegovina.

Mr Kubatlija will continue to provide support to all investors interested in investing in Bosnia and Herzegovina. In addition to investment projects that create new jobs and bring higher added value, it is extremely important for us to attract and realize those investments that bring new technologies, that invest in research and development, bring a greater number of innovative products and services, and invest in the employee education.

Testimonials & Success Stories
 

Global Investment Promotion Best Practices 2012 of the World Bank has cited one example of support that FIPA provides to foreign investors who are running business in Bosnia and Herzegovina in order to contribute to increase the flow of foreign capital in the country.

The article said:  

„The Foreign Investment Promotion Agency (FIPA) of Bosnia and Herzegovina was an early convert to the idea of providing facilitation services to agribusiness investors as a way to maximize the positive impact of agriculture on the economy.

In 2007, for example, FIPA assisted a Dutch food processing company establish a US$1.6 million production facility to process unused milk ingredients into value-added products in Sarajevo to sell to markets in Eastern Europe and the Middle East.

As part of its aftercare program, FIPA assisted the company with its expansion plans. Among other things, the agency helped facilitate veterinary permissions, navigate various bureaucratic hurdles and played an important role in securing funding for the company’s expansion. It also helped develop a network of local suppliers and customers. As a result of these efforts, the Dutch investor developed stronger links with the Bosnian economy, thus increasing the positive spillover effects on the local economy.

Currently a new investment to establish a drying facility for milk powder is under way. This will further expand the processing facilities of unused milk ingredients. This additional planned investment is worth approximately US$2.8 million, thus nearly trebling the company’s original investment in the country“.

 

FIPA Activities

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