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Recycling as the Key to Sustainable Development

Photo: Sekopak
Photo: Sekopak

Sekopak, a leading operator of the packaging waste management system in Serbia, has contributed to environmental preservation for over 18 years through innovation, responsible business practices, and efficient recycling. The company, which has set high industry standards through its work, not only helps reduce the ecological footprint but also actively educates citizens and businesses about the importance of sustainability and recycling.

Violeta Belanović, General Manager of Sekopak, reveals how the company implements a responsible approach to business, her perspective on developing the waste management sector in Serbia, and the key innovations shaping the future of recycling and environmental protection.

Q: What does a responsible business approach mean to you, and how do you implement it at Sekopak?

A: For Sekopak, a responsible business approach means actively contributing to environmental preservation through innovation, transparency, and collaboration with key partners. As an operator of the packaging waste management system, our mission is to enable an efficient and sustainable system. We support all our collaborators in this system. Over the past 18 years, we have recycled more than one million tons of packaging waste, directly contributing to reducing carbon dioxide emissions and developing the circular economy in Serbia.

Throughout these years, we have consistently highlighted the benefits of recycling and sustainable business practices. Those who analyze corporate social responsibility have confirmed that these are not just words. EcoVadis awarded Sekopak a gold certificate for corporate social responsibility, placing us among the top five percent of companies across all categories that meet the highest criteria for social responsibility. Additionally, Sekopak is one of the first companies to adopt new ISO standards in the field of circular economy.

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Q: How has the packaging waste management and recycling sector in Serbia developed over the past few years?

 A: In recent years, we have witnessed significant progress in the packaging waste management sector. Last year, new targets for reducing municipal packaging waste were adopted, placing additional demands on operators while presenting challenges that drive us to improve the system. Currently, 67 percent of packaging waste in Serbia is recycled, which is a good result, especially considering that the system was established only 14 years ago. Achieving these goals requires the synergy of all stakeholders to ensure the system’s sustainability. We notice strong interest from all sides, and it will soon become more apparent how the system will function following the adoption of the Regulation on the Determination of the Packaging Waste Reduction Plan for the 2025–2029 period.

Q: What recycling and environmental protection innovations are most important to your company?

A: Even when everything is running smoothly, asking how we can improve is crucial. If we hadn’t strived for innovation, we wouldn’t be where we are today—industry leaders for the ninth consecutive year. One of the innovations introduced by Sekopak in Serbia is recycling machines. Citizens of Novi Sad, Kragujevac, Aranđelovac, and Niš have deposited over 500,000 packaging units into these machines so far, demonstrating the potential of new technologies. We have learned a lot through projects involving smart recycling and will continue to learn as technology advances. Moreover, we invest in digital communication channels, such as TikTok, to capture the attention of younger generations. We believe that an innovative approach to communication and education is crucial for motivating citizens to recycle.

Interview by Milica Radičević

The inteview was published in the Energy portal Magazine RESPONSIBLE BUSINESS

Ministry of Energy of Romania Announces Cost Reductions in State-Owned Enterprises

Photo-illustration: Unsplash (riccardo-annandale)

The Ministry of Energy of Romania has announced an extensive reform plan for state-owned enterprises in the energy sector, aiming to achieve savings of over one billion lei, approximately 200 million euros, to ensure the long-term sustainability of these companies.

The reforms focus on cost reduction and efficiency improvements without disrupting ongoing production and investment plans. To that end, the Minister of Energy has called for a rigorous cost analysis and proposed specific measures to reduce expenditures. Additionally, companies under the ministry’s jurisdiction have been instructed to conduct a thorough review of their activities at all levels and submit the results to the Ministry of Energy.

Some of the most significant proposed measures include reducing management positions by 30 percent to streamline organizational structures, cutting administrative staff by 20 percent, and reducing expenditures on goods and services by at least 20 percent.

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In the case of administrative staff reductions, and consequently salary cuts, it was emphasized that these measures do not apply to employees whose work is essential for the functioning of the enterprises, particularly those engaged in production activities such as quarries, mines, thermal power plants, hydropower plants, and nuclear power plants. Employees in these areas will not be affected by the reforms.

The Ministry also proposes a 50 percent reduction in protocol expenses and sponsorships, as well as a freeze on new hires, except in cases of critical necessity.

The Ministry has initiated an analysis of potential restructuring and mergers within the sector, including plans to consolidate multiple companies operating within the energy sector.

The reforms aim to simplify organizational structures, eliminate unnecessary functions, and reduce bureaucracy, ultimately leading to more efficient decision-making processes and operations.

Energy portal

Modernization of Montenegro’s Power Grid with EBRD Support

Foto-ilustracija: Pixabay

The European Bank for Reconstruction and Development (EBRD), which has been present in Montenegro since 2006, will provide the Montenegrin Electricity Distribution System (CEDIS) with a 35 million euros loan to support the modernization and digitalization of Montenegro’s power grid. To date, nearly one hundred projects have been implemented in the country with EBRD support, with a total value exceeding 900 million euros.

The funds will be used to establish a new Supervisory Control and Data Acquisition (SCADA) system, an Advanced Distribution Management System (ADMS), and to implement modern „smart” meters. Additional funding is provided through a grant from the European Union’s Western Balkans Investment Framework.

CEDIS, owned by Montenegro’s Electric Power Company (EPCG), manages and maintains distribution networks up to 35 kV across the entire country. With the implementation of the new SCADA system, the grid will be managed in real time, while ADMS will enable more precise and efficient monitoring of electricity flow and faster resolution of potential faults. Smart meters will further enhance consumption control, reduce losses, and improve the reliability of electricity supply to end users, as explained on the EBRD website.

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The introduction of advanced technologies is expected to deliver numerous benefits to the energy sector and consumers, including a reduction in technical losses by approximately 10 percent, a significant reduction in power outage durations (to around one-sixth of the current level), better integration of renewable energy sources into the grid, and improved cybersecurity. Additionally, the project aligns with EU and Energy Community standards, particularly in the deployment of smart meters.

The loan agreement was signed by Remon Zakaria, EBRD Director for Montenegro, Vladimir Ivanović, General Director of CEDIS, and Ivan Bulatović on behalf of EPCG.

„This project represents a transformative step towards the digitalization of Montenegro’s electricity distribution system, helping to improve its reliability and efficiency while paving the way for the integration of renewable energy. The citizens of Montenegro will experience more reliable electricity supply, while CEDIS will achieve significant reductions in technical losses and gain advanced capabilities for the rapid detection and resolution of technical faults”, stated Remon Zakaria.

Energy portal

EU Energy Report 2024: Solar Surpasses Coal, Wind Stable Amid Challenges, LNG on the Rise

Photo-illustration: Unsplash (Asia Chang Yr)

According to the latest annual report by Ember for 2024, the European Union has made significant strides in transitioning from fossil fuels to clean energy sources. The main takeaway from the comprehensive report is that solar energy has, for the first time, surpassed coal and emerged as a key driver in reducing fossil-based electricity generation. Below are the data and an overview of key insights and figures from the Ember analysis.

Solar Energy on the Rise

The EU’s solar capacity reached 338 GW in 2024, almost tripling since 2019, when capacity was at 120 GW. Despite slightly weaker solar radiation compared to the previous year, solar energy production increased by 22 percent, thanks to a record-breaking annual installation of 66 GW. This rapid expansion boosted solar’s share to 11 percent of the EU’s total electricity generation, surpassing coal (9.8 percent) for the first time.

Wind Power Remains the Second Leading Energy Source

Wind energy maintained a stable share of 17 percent in total electricity production. Although installed capacity increased (from 169 GW in 2019 to 231 GW in 2024), less favorable wind conditions limited production growth, with Spain and Germany experiencing a notable shortage of wind in 2024. Nevertheless, wind has retained its position as the second-largest contributor to the European energy mix, solidifying its lead over gas, which has fallen to third place.

Renewable Sources Exceed 47 percent Share

Photo-illustration: Pixabay

The combined contribution of wind and solar reached a record-high 29 percent of the EU’s energy mix. When combined with hydropower and nuclear energy, clean energy sources now account for 71 percent of the EU’s total energy mix. Hydropower saw a 10 percent increase in production, partly due to above-average rainfall in much of Europe. Nuclear energy, whose capacity dropped from 110 GW to 96 GW over the past five years, recorded a 5 percent growth compared to 2023, primarily due to fewer outages in French reactors. Additionally, there appears to be growing interest in expanding nuclear reactor capacity.

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Fossil Energy at a Historic Low

Fossil-based electricity generation has fallen to its lowest level in over 40 years. Compared to 2023, there was a 9 percent decline in fossil energy production, despite a slight increase in electricity demand and higher electricity exports outside the EU. Emissions from the power sector dropped by 9 percent (585 million tons of CO₂), less than half the level recorded in 2007.

Coal Decline

Coal now accounts for 9.8 percent of the European energy mix, according to Ember’s report, representing a 16 percent decrease compared to the previous year. Sixteen out of 17 coal-using countries reduced coal consumption, with significant reductions in Germany and Poland. Several countries, including Austria, Sweden, and Portugal, have already phased out coal entirely, while others plan to do so in the coming years. Ember estimates that by 2030, only seven EU member states will still use coal, leading to the closure of at least 34 GW out of the remaining 101 GW of operational coal capacity.

Gas Production Decline and Russian Imports

Photo-illustration: Freepik (freepik)

Gas production marked its fifth consecutive year of decline, falling to 16 percent in 2024. Most EU countries reduced gas usage, including major consumers like Italy (-2 percent), Spain (-19 percent), and the Netherlands (-5 percent). This trend has led to a 20 percent reduction in overall EU gas demand over the past five years, with about one-third of this decline attributed to the power sector. While imports of Russian gas persist, they have decreased, whereas LNG imports have risen, now accounting for 38 percent of total gas supplies, up from the previous 22 percent.

Five-Year Impact of the European Green Deal

Between 2019 and 2024, wind and solar expanded their share of electricity generation from 17 percent to 29 percent, preventing the burning of approximately 460 million tons of CO₂. Simultaneously, coal’s share dropped significantly—from 16 percent to below 10 percent—while gas fell from 20 percent to 16 percent, losing its second-place spot in the energy mix.

Challenges and Costs in the Wind Energy Sector

While solar energy continues its rapid growth, the wind energy sector faces slower development, partly due to macroeconomic conditions, rising material costs, and supply chain issues. The cost of building wind farms has increased by about 10 percent since 2021, although this growth slowed in 2024. Interest rates for energy investments have also risen but are lower than in previous years. Offshore wind, on the other hand, continues to innovate and maintain cost reductions thanks to higher efficiency and technological advancements. Recently, we reported on a major offshore wind project in Poland, which is beginning to develop this sector. Additionally, the U.S.’s announcement of withdrawal from the Paris Agreement and the temporary suspension of permits for wind projects may potentially impact future steps.

Energy portal

Scientists Develop Biofuel from Used Cooking Oil as Efficient as Diesel

Foto-ilustracija: Unsplash (Ashwini Chaudhary)

A team of researchers from Imperial College London and the Brazilian National Laboratory for Renewable Energy Sources has developed an innovative method for producing biofuel from food waste, such as used cooking oil. Their study, published in the journal Green Chemistry, demonstrates that the new fuel can achieve the efficiency of diesel and be up to 1,000 times more efficient than current production methods.

The process is based on using modified enzymes that break down fatty acids present in food waste, converting them into alkenes—key components of fuels like gasoline and diesel. This approach enables the production of fuel that not only reduces greenhouse gas emissions by up to 94 percent but also significantly decreases the dependency on fossil fuels.

One of the main challenges with biofuels in the past has been their low combustion efficiency, due to the presence of oxygen molecules in the fuel. This limited their use, as they produced only 90 percent of the energy compared to diesel, while requiring more raw materials and increasing production costs.

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To address this issue, the researchers modified the P450 decarboxylase enzyme, enabling it to efficiently remove oxygen from fatty acids. Instead of water, the reaction was carried out in a special liquid salt under UV light, significantly boosting the yield of alkenes. This innovation requires less energy and fewer raw materials, achieving a more sustainable production process.

Additionally, the modified process eliminates the need for expensive and potentially harmful catalysts like platinum, as well as toxic chemicals such as hydrogen peroxide. These changes contribute to a smaller environmental footprint and make the technology both sustainable and environmentally friendly.

„Our (bio)technology enables us to expand into other renewable materials and produce a variety of fuels, including gasoline and kerosene for the aviation sector. We recognise that much work remains, and are excited to contribute to addressing one of the world’s greatest challenges: climate change” stated Dr. Leticia Zanfurlin, the project’s lead researcher.

Energy portal

CBAM – Challenges and Opportunities for Exporters and Transition to Clean Energy

Photo-illustration: Pixabay-(SD-Pictures)

Greenhouse gas emissions represent a serious issue that the European Union began addressing more than 20 years ago by adopting the Emissions Trading System (EU ETS). This system, based on the principle ’pay as you pollute’, limits the total amount of emissions and allows companies to trade allowances. Companies that achieve savings in emissions can sell their surplus allowances to those needing additional permits, thereby incentivizing investments in clean technologies. At the same time, emissions remain within the overall cap, merely redistributing how much each company is allowed to emit.

However, the system has its shortcomings. Companies have often relocated production to countries outside the EU without stringent emission reduction measures, thus bypassing restrictions and reintroducing emissions into the Union through imported products, jeopardizing global climate goals.

In 2022, an agreement was reached on the Carbon Border Adjustment Mechanism (CBAM) regulation. This regulation aims to prevent so-called carbon leakage from countries outside the European Union and address shortcomings in the EU ETS.

CBAM is an integral part of the Fit for 55 package, which aims to reduce the European Union’s net greenhouse gas emissions by at least 55 percent by 2030.

Principles on Which CBAM Is Based

The European Union imports many products from non-member countries, which is particularly significant for companies outside the EU as it enables them to expand their market reach and maintain competitiveness. However, to achieve global climate goals, the EU has introduced measures designed to motivate companies from these countries to transition to clean energy and technologies.

CBAM is a tool that sets a price on carbon dioxide emissions generated while producing carbon-intensive goods. For instance, if a company outside the EU wants to export its products to the Union, it must pay for the carbon dioxide emissions embedded in its products. These embedded emissions refer to all emissions produced during the entire manufacturing process, including transportation. The cleaner the production process, the lower the carbon adjustment cost.

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Transition Phase

Photo-illustration: Pixabay (TheDigitalArtist)

CBAM did not immediately go into full effect to enable industries to transition to cleaner technologies and energy more smoothly and considerately. A transitional period provides industries ample time to adapt to the new rules and obligations and develop the necessary infrastructure to implement the Mechanism effectively.

The transitional phase began on October 1, 2023, with the first reporting period for importers ending on January 31, 2024. During this period, CBAM applies to import specific products identified as having the highest risk of carbon leakage, including cement, iron, steel, aluminum, fertilizers, electricity, and hydrogen. It is important to note that during the transition period, importers are not required to purchase and surrender CBAM certificates. Their sole obligation is to report greenhouse gas emissions, including direct and indirect emissions embedded in the products they import.

Until the end of 2024, companies can choose one of three reporting methods for their products’ emissions: the EU Methodology (new EU rules), the Equivalent Method (three options), or Default Values (until July 2024). However, from 2025 onward, companies reporting on product emissions will be required to use the EU Methodology, which mandates precise emissions calculations according to EU rules.

If a product contains components for which obtaining accurate emissions data is challenging (complex products), estimating emissions (default values) is allowed but only for up to 20 percent of the product’s total emissions. The remaining emissions must be accurately calculated. Another new feature starting in 2025 is that plant operators outside the EU will be able to share emissions data via the CBAM portal instead of sending it individually to each importer as they have done previously.

Lastly, starting in 2025, companies wishing to import products covered by CBAM regulations will be able to obtain the status of an Authorized CBAM Declarant by submitting an application through the CBAM registry. Their application will be reviewed by the competent authority in the EU country where they are registered.

Prepared by Katarina Vuinac

The story was published in the Energy portal Magazine RESPONSIBLE BUSINESS

International Clean Energy Day – The Path to a Fair Energy Transition

Foto-ilustracija: Unsplash (American Public Power Association)

Renewable energy is the cornerstone of sustainable development and a key ally in combating climate change. However, despite its invaluable importance for the future of the planet and the quality of life of billions of people, many communities around the world still lack access to reliable and sustainable energy sources. For this reason, in 2023, the United Nations General Assembly declared January 26th as International Clean Energy Day to encourage action toward a fair transition to renewable energy sources globally

Photo-illustaration: Freepik (tawatchai07)

This date holds special significance, as January 26th marks the anniversary of the establishment of the International Renewable Energy Agency (IRENA) in 2009. As a global intergovernmental organization, IRENA supports countries in their energy transitions, serves as a key platform for international cooperation, and provides analyses and data on technologies, innovations, policies, financing, and investments in clean energy.

This international day reminds us of the urgency of transitioning to sustainable energy sources for the benefit of all people and the preservation of our planet.

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Renewable Energy in Service of Preserving the Planet

Clean energy is central to addressing two global challenges – combating climate change and ensuring sustainable development for all. However, 685 million people still live without access to electricity, and over 80 percent of them are in sub-Saharan Africa. This situation further hinders education, healthcare, and economic opportunities in the affected communities, as reported by the United Nations.

Alarmingly, despite progress, the world is not on track to achieve Sustainable Development Goal 7 (SDG7), which envisions universal access to modern and sustainable energy by 2030. If current trends persist, by the end of the decade, approximately 1.8 billion people will still rely on unsafe and polluting cooking systems, such as burning wood and animal dung.

Adopting clean energy is a critical part of strategies to reduce greenhouse gas emissions, which are largely generated by fossil fuel-based energy production. Transitioning to renewable energy sources – solar, wind, water, and geothermal heat – can significantly contribute to preserving the planet.

Moreover, improving energy efficiency through innovative technologies in the transportation, construction, and appliance sectors not only reduces emissions but also saves money and ensures broader access to sustainable energy.

International Clean Energy Day serves as a reminder of the urgency and importance of transitioning to clean energy to secure a better future for people and the planet.

Energy portal

Vrdnik to Host the Largest Regional Renewable Energy Conference – RES SERBIA 2025

Photo: RES Serbia

The largest regional conference dedicated to renewable energy sources, RES SERBIA 2025, will take place on September 17–18, 2025, in Vrdnik, as announced by the RES Serbia Association.

For the fifth consecutive year, this prestigious event will bring together the business community, representatives of the European Bank for Reconstruction and Development (EBRD), the World Bank, government institutions, and leading investors. In the picturesque setting of the Vrdnička Kula ethno-complex on Fruška Gora, participants will discuss key topics in the field of green energy.

The traditional organizer of the conference is the Renewable Energy Sources Association of Serbia, which gathers all relevant companies and institutions in the renewable energy sector in the country. Due to great public interest and a large number of participants, this year’s conference will once again be held over two days.

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At RES SERBIA 2025, discussions will focus on the operations of wind farms that have secured market premiums through the first auctions, as well as on updates from the second round of auctions, whose application deadline is approaching. Special attention will be given to education as a key factor in the energy transition, as well as topics like e-mobility and ESG standards, which garnered significant interest in last year’s panels.

In addition to the traditional discussions on the development of wind and solar power plants, the conference will open the floor to innovation – from energy storage solutions to other current issues shaping the future of green energy.

Previous conferences have featured high-ranking officials from Serbia’s Ministry of Mining and Energy, Elektroprivreda Srbije, the EBRD, and representatives of renowned companies such as Masdar, Elicio, Nordex, Enlight, European organizations like WindEurope and SolarPower Europe, the Energy Community Secretariat, directors of leading financial institutions, and many other key players in the renewable energy sector.

Energy portal

Poland to Produce Energy Offshore

Photo-illustration: Unsplash (Nicholas Doherty)
Photo-illustration: Freepik (kjpargeter)

The construction of two substations for Poland’s first offshore wind farm was recently completed, marking the beginning of large-scale offshore wind development in Polish waters. Offshore wind farms, located farther from land at sea, utilize stronger and more consistent marine winds, making them more efficient in generating electricity. Additionally, they reduce issues and concerns related to noise and visual impact, which are common with onshore wind farms. However, they are technically more complex and costly to build and maintain due to the challenges of operating in a marine environment.

Nevertheless, Poland anticipates that this will be the most advanced offshore wind farm, with “Baltic Power” set to become operational in 2026, making it the country’s first offshore wind farm.

By 2030, Poland plans to achieve 5.9 GW of capacity from offshore wind farms as part of the first phase of its wind energy projects, which includes a total of seven individual wind farms. The substations completed in Gdańsk and Gdynia will be installed as part of the “Baltic Power” wind farm, which is considered the most advanced project, according to WindEurope.

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The completion of this wind farm will cover 3 percent of Poland’s current electricity consumption. The Polish Wind Energy Association estimates the total potential for offshore wind energy in the country at 33 GW, which could make Poland a leading country for offshore wind energy in the Baltic Sea and significantly contribute to reducing the use of coal as the dominant energy source.

In February, the European Commission is set to unveil the “Net-Zero Industry Act,” a new vision for Europe’s industrial revival. This plan will focus on expanding domestic, competitive renewable energy sources as a key element for preserving Europe’s industrial competitiveness and leadership in decarbonization, especially in the context of global economic uncertainty.

Energy portal

Solar Energy as a Driver of Change

Photo: MT-KOMEX

Solar energy has become a key element in the global energy transition in the last few decades. MT-KOMEX, with over three decades of experience, has significantly contributed to this trend. Through continuous investment in innovation and growth, MT-KOMEX has achieved significant results in solar systems, installing megawatts of energy that make a real difference in the region. This year, the company expanded its operations beyond Serbia, leaving a significant mark on the market for renewable energy sources. The beginning of 2025 brings new challenges and goals, and the company continues to develop as a leader in the solar energy sector, with a clear focus on sustainability and environmental benefits.

Looking at the whole picture, MT-KOMEX has built more than 250 solar power plants – 90 MW on the ground and over 70 MW on rooftops and installed more than 350,000 solar panels over the years. The company’s team comprises over 30 engineers and 80 installers. The number of projects and the expert team are growing with the growing demand for renewable energy sources and electricity.

A massive success in 2024 was the construction and commissioning of two solar power plants realized by the company – B2 Nova Sun in Nova Crnja and B2 Sunspot in Kikinda.

The solar power plant B2 Nova Sun was officially launched in August. It is a power plant with a capacity of 9.9 MW, located in the industrial zone of Nova Crnja, covering an area of approximately 13 hectares. Made up of 16,820 bifacial panels, the power plant will enable the production of about 14,000 MWh of electricity annually. In addition to enhancing energy security, this solar power plant will reduce carbon dioxide emissions by more than 15,817 tons per year, which is equivalent to removing over 3,000 average cars from the road for the entire year.

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The second major success was commissioning the solar power plant B2 Sunspot in Kikinda, with a capacity of 7 MW. It is located on a site that was previously used for waste disposal but is now entirely repurposed for productive land use. With an estimated annual production of 11,000 MWh, combined with the energy generated in Nova Crnja, this project will provide the Banat region with 25,000 MWh of clean, green energy from the sun.

Both power plants were among the winners of the first auctions organized by the Ministry of Mining and Energy of the Republic of Serbia. Contracts for purchasing electricity and balancing responsibility were signed with the Joint Stock Company Elektroprivreda Srbije.

This was the first time EPS signed agreements with a solar power plant for electricity purchase and balancing responsibility, with a trial and permanent operation period of 15 years.

After successfully completing the first auction, MT-KOMEX is preparing to participate in the second round of auctions in Serbia to allocate market premiums to renewable energy sources, striving to repeat the previous results.

Business Operations in the Region

When it comes to the region, a mention of MT-KOMEX BH in Bosnia and Herzegovina is inevitable. Although established in 2023, the company achieved significant collaborations and business success in its first operational year. A pioneering project in BiH was the construction of the largest solar power plant in the system of PE Elektroprivreda BiH d.d. Sarajevo. Additionally, the solar power plants Markovac Jungići and Markovac Jungići 1 were built. The total power of these solar power plants is 280 kWp, while, according to estimates, their annual production will amount to 360 MWh.

In 2024, MT-KOMEX expanded its operations to the European Union, specifically to Croatia, where it successfully overcame slightly different procedural requirements. A rooftop solar power plant was commissioned for a local investor.

However, these achievements were not achieved without their challenges, such as the evolution of legal frameworks that have followed the development of the sector since 2009, when private users and industrial facilities were first allowed to be both energy producers and consumers. Regulations have changed over time, and each new version of the legal provisions, although not perfect, has allowed for progress and facilitated investment in renewable energy sources. Early significant projects lacked substantial financial support, making them unprofitable and uncertain for the banks. MT-KOMEX has developed alongside the evolution of the solar energy sector, which is why today it concludes the year with all these impressive results.

Prepared by Milica Vučković

The story was published in the Energy portal Magazine RESPONSIBLE BUSINESS

ESG Standards as the Foundation of a Sustainable Future

Photo-illustration: Unsplash (Krakenimages)

In the world of business and investment, the acronym ESG – representing Environmental, Social, and Governance standards – has become a key determinant for assessing a company’s sustainability. ESG standards are not just a trend; they have evolved into an essential tool for addressing the challenges of modern society, such as climate change, social justice, and ethical business practices. But what exactly do they entail, and why have these values become indispensable?

What Are ESG Standards?

Environmental (E): This aspect encompasses a company’s environmental impact, including carbon emissions, waste management, resource use, and investment in renewable energy. Companies with strong environmental practices contribute to global goals for reducing emissions and preserving natural resources.

Photo-illustration: Unsplash (Robert Collins)

Social (S): The social component focuses on a company’s relationships with employees, communities, and suppliers. It includes fair labor practices, diversity and inclusion, human rights protection, and contributions to local communities.

Governance (G): Governance emphasizes ethical company management, transparency, anti-corruption efforts, regulatory compliance, and rule adherence. High-quality corporate governance ensures shareholder trust and long-term growth.

ESG standards have evolved from recommendations to rules that investors and companies increasingly integrate into their business strategies. Organizations adhering to these principles mitigate risks, attract sustainable investments, strengthen their reputations, and earn consumer trust.

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Countries Leading in ESG Standard Implementation

Many countries worldwide have established standards defining ESG practices, but a few stand out for their advanced policies, transparency, and success.

Norway exemplifies how ESG standards can be integrated on a national level. The Norwegian Government Pension Fund, also known as the Oil Fund, valued at over 1.4 trillion dollars, is one of the world’s largest investors and strictly adheres to ESG principles. The fund is renowned for excluding companies that fail to meet environmental and social standards, such as those violating human rights or polluting the environment. Additionally, Norway continues to invest heavily in renewable energy, such as wind farms and hydropower, with Oslo emerging as a global leader in sustainable urban development.

The Netherlands is noteworthy for its efforts to apply ESG standards across all economic sectors. Dutch companies, such as Unilever, have become global examples of how sustainability can be embedded into business strategy. The Dutch government also supports regulations promoting a green transition and workers’ rights. Furthermore, the Netherlands was among the first countries to mandate companies to report carbon emissions and adopt measures to reduce them.

Prepared by Milena Maglovski

The story was published in the Energy portal Magazine RESPONSIBLE BUSINESS

Snow and Solar Power Plants – Enemies or Allies in Green Energy Production?

Photo: EP

Solar energy is a renewable source that is increasingly discussed daily, yet many questions and uncertainties remain about the challenges and advantages it offers. Answers to such questions are particularly important for investors and citizens interested in investing in solar energy.

Although many cities in our region are not covered in snow, winter is still here, making this the perfect time to explore an interesting topic – the impact of snow on the efficiency of solar panels.

Among those less familiar with this subject, there is often a belief that solar power plants operate poorly and are unprofitable during the winter. This is likely due to the name itself – solar – which is associated with sunlight and heat.

However, it is not entirely true that winter days can significantly limit the efficiency of solar power plants. On the contrary, data shows that, with proper system design and optimization, solar power plants can continue producing energy and sometimes even exceed expectations.

It is true that, during this period, days are shorter, reducing the number of hours when the plants can absorb sunlight. However, what should be of less concern is snow and low temperatures.

Photo-illustration: Freepik (wirestock)

Modern solar systems often have panels installed at an angle that allows snow to slide off naturally, reducing the need for additional investments in snow removal. Additionally, snow acts as a natural way of cleaning panels from dust and other dirt. In a previous article, I wrote about the negative impact of dust on panel efficiency, and snow melting can help remove it along with the snow.

If snow is not removed from the panels, it can hinder energy production. However, snow on the ground around solar panels can be beneficial. Thanks to the albedo effect, sunlight reflecting off the snowy surface increases the overall amount of light the panels can absorb. This means that, while snow can be an obstacle, it can also enhance panel efficiency, provided the panels are clean.

As I mentioned earlier, there is often a misconception that low temperatures reduce panel capacity. In fact, it is high temperatures that decrease their efficiency. Cold air cools the panels, helping them maintain their optimal operating range and enabling better conversion of solar energy into electricity.

An example that supports this comes from a solar power plant in Kikinda. During a conversation with engineers, I learned that, under sunny winter conditions with snow on the ground, the system operated at 60 percent capacity.

Although snow and winter present certain challenges, they do not mean that a solar power plant will fall into a deep winter slumber. On the contrary, optimal maintenance of a solar facility will always yield green kilowatts, regardless of the weather.

Katarina Vuinac

The Path to Sustainability and Environmental Responsibility

Photo-illustration: Wikipedia (Planeti)
Photo: Courtesy of Nihat Biševac

Novi Pazar, one of the most picturesque cities in the Sandžak region, has become known not only for its rich cultural and historical heritage but also for its pioneering efforts in environmental preservation. With its dynamic energy and youthful spirit, Novi Pazar is increasingly gaining attention as a leader in implementing green initiatives that have a long-term impact on the quality of life for its residents.

What sets the city apart is the diversity of its environmental projects. From launching composting programs and addressing environmental violations to investing in renewable energy sources, Novi Pazar demonstrates how a local community can actively combat climate change and protect the environment.

Nihat Biševac, the Mayor of Novi Pazar, shared details of the city’s achievements, challenges, and ambitious plans for the future. Learn how Novi Pazar has successfully integrated traditional values with modern ecological solutions to position itself as a model for other cities in Serbia and beyond.

Q: The city’s commitment to ecology is evident from the substantial funds allocated to environmental protection in the past year. Tell us more about that.

A: In the past year and a half, Novi Pazar has invested 160 million dinars in environmental protection projects. Our focus has been on initiatives that enhance the quality of life for citizens, increase energy efficiency, reduce emissions of harmful gases, and promote the transition to sustainable energy sources. These projects include modernizing boilers in public institutions, implementing district heating using biomass, and launching subsidy programs for citizens.

Much of the investment has gone towards upgrading boilers in educational and public institutions such as the Pendik Sports Hall, the Gymnasium, the Technical School, the Textile School, and Vuk Karadžić Elementary School. Previously, these institutions used coal, which caused significant air pollution, particularly during the peak heating season in winter. By switching to biomass pellets—a renewable resource—the city has reduced emissions of harmful substances like carbon dioxide and sulfur dioxide while improving energy efficiency. These projects align with the city’s long-term strategy to phase out fossil fuels in the public sector, setting a standard for similar-sized towns in Serbia.

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Introducing a biomass district heating system for the Cultural Centre, the municipal building, and the Youth Centre is another milestone in reducing fossil fuel consumption in Novi Pazar. Installing heating pipelines and transitioning from coal to biomass decreases pollution in the city center and significantly boosts energy efficiency. Biomass is considered a renewable resource with a much smaller carbon footprint than coal, resulting in a dual benefit—contributing to global pollution reduction goals while creating a sustainable local energy resource.

The city has also launched a program to subsidize building renovations, including improving insulation (façades), replacing old windows, and transitioning from solid-fuel boilers to more environmentally friendly options. These subsidies help households reduce energy consumption during winter, reducing reliance on fossil fuels. This initiative, carried out in collaboration with the Ministry of Environmental Protection and the Ministry of Mining and Energy, aims to ease household heating maintenance while directly reducing energy consumption and heating costs.

Q: Novi Pazar has recently inaugurated a biomass heating plant to replace an outdated oil-powered facility. The city has also co-financed installing solar power plants in residential homes. What is the share of renewable energy sources in the city’s energy mix, and what are your plans for next year?

Photo-illustrationa: Wikipedia (Jovanvb)

A: In 2022, Novi Pazar launched a biomass and gas heating plant with a capacity of 20.3 MW, significantly reducing harmful emissions. In its first heating season, sulfur dioxide emissions decreased by 47 percent, PM10 particles by 19 percent, PM2.5 particles by 20 percent, and nitrogen dioxide by 9 percent. These figures demonstrate the impact of transitioning to renewable energy sources, an essential step in safeguarding citizens’ health and protecting the environment. We also co-financed solar panel installations on family homes, further encouraging the adoption of renewable energy at the household level. In the coming years, we plan to replace all remaining district heating boilers with biomass and gas systems, achieving complete independence from fossil fuels in our heating network.

Q: Could you tell us about the air quality in Novi Pazar and why it is essential to draft an air quality plan?

A: Air quality during winter is compromised due to Novi Pazar’s geographical location, heavy traffic, and the widespread use of solid-fuel boilers in homes. Developing an air quality plan has become a top priority to address this complex issue. A public consultation on the plan is forthcoming, after which it will be adopted by the city assembly. This strategic framework will guide the implementation of measures to improve air quality. Planned initiatives include optimizing traffic flow, gradually transitioning boilers to renewable energy sources, and expanding pollution monitoring systems. The plan will also enable Novi Pazar to apply for funding from international donors and relevant ministries to secure additional resources for pollution reduction programs.

Interview by Milena Maglovski

Read the whole interview in the new issue of the Energy portal Magazine  RESPONSIBLE BUSINESS

Second Eco Forum – A Blend of Education, Innovation, and Entertainment in Herceg Novi

Photo-illustration: Unsplash (Scar Tissue)

The second Eco Forum, organized by company Vozim na Struju, is set to take place in April 2025 in the picturesque surroundings of Herceg Novi.

This year’s forum is expected to gather a significant number of ambassadors, over 60 speakers and panelists, as well as prominent figures from the international and regional communities. The forum aims to provide educational content, promote the exchange of knowledge and ideas among experts in sustainable development, electromobility, and environmental protection, while offering participants an unforgettable experience in a relaxing setting.

Photo Illustration: Pixabay

One of the event’s key highlights will be the presentation of the first regional project to restrict delivery in pedestrian zones to zero-emission vehicles and introduce a centralized cross-dock system. This innovative project aspires to enhance sustainable urban transport and represents a crucial step toward environmentally sustainable cities, according to Vozim na Struju.

Participants will also have the chance to enjoy guided tours through Herceg Novi, a city rich in cultural and historical heritage. Evening hours will be reserved for a gala dinner and networking in a welcoming atmosphere. The program will be hosted by the talented Jelena Gavrilović, whose artistic touch will further enrich the event.

For guests traveling from Belgrade, transportation has been organized to ensure a pleasant journey. The organizers have ensured that, in addition to its educational aspects, the forum also offers entertainment, creating lasting memories for the participants.

„This Second Eco Forum has been designed as a platform for the exchange of innovative ideas and the presentation of projects that influence our approach to sustainable development”, said Zorana Đorić, General Manager of Vozim na Struju. „We extend our gratitude to the Municipality of Herceg Novi for taking on the role of the main sponsor and to our partners for their essential support”.

For more details about the program and registration, visit the official website.

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Strategies for Planet Preservation

Photo-illustration: Pixabay (Michelle-Raponi)
Photo: Courtesy of Kristin Melsom (copyright CorD)

Norway, a country known for its stunning natural beauty, rich cultural heritage, and very high standard of living, stands out with its high level of education, strong commitment to environmental protection, and stable economy. Interestingly, despite its relatively small population, Norway is one of the wealthiest societies in the world, thanks to its vast natural resource reserves, such as oil, gas, and forests. The country is a leader in clean energy production as well as in the implementation of renewable sources. However, Norway is not without its challenges in certain sectors. We discussed these topics with Kristin Melsom, the Norwegian Ambassador to Serbia.

Q: Norway ranks high on the Environmental Performance Index (EPI). What strategies contribute to this success, and what are your plans for the upcoming period?

A: Norway ranks 7th among 180 countries in EPI, and we are very proud of this result. Still, we are not equally successful in all sectors. For example, we score high in managing acid rain, air quality, sanitation, and drinking water. Norway also significantly increased the percentage of protected areas, preventing wetland loss and ocean plastic pollution. However, it is fair to say we need to catch up in some areas, such as sustainable pesticide use and a circular economy.

Various factors contribute to these results. Norway has robust environmental policies that adhere to EU legislation as we are part of the same economic area. Nature has been generous to Norway as we generate most of our electricity from hydropower, making us one of Europe’s largest renewable energy producers. Norway is also expanding investment in wind and solar energy to reduce its carbon footprint further. Sustainable transportation is also one of the factors, and we are the leaders in using electric vehicles. We invest in environmental education and public campaigns to raise awareness among our citizens about sustainability, foster a culture of environmental responsibility, and actively participate in international environmental agreements.

Norway will focus on several essential goals in the upcoming period. The plan is to achieve net-zero greenhouse gas emissions by 2050. Norway also aims to diversify its renewable energy portfolio by developing large-scale offshore wind farms. We are committed to increasing the protected land area from 17 percent to 30 percent by 2030 and improving the sustainable use of materials and recycling.

Regarding our international work and commitments, the most important goals are to limit the global increase in temperature, enable vulnerable countries to adapt, reduce the consequences of natural disasters, prevent deforestation, and promote economic development and food security.

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Q: What percentage of Norways energy consumption currently comes from renewable sources, and what are the plans for further growth in this sector?

Photo-illustration: Pixabay (Enrique)

A: When it comes to energy consumption, electricity makes up almost half (47 percent) of energy consumption, and in Norway, electricity is almost solely produced by hydro energy (90 percent) and wind energy (9 percent). Another 7 percent of consumption is biofuels and waste fuels. Therefore, we can say that more than half of consumption is entirely green (54 percent). The other 46 percent of consumption is oil products (37 percent), and natural gas and coal at around 3-4 percent each. They fall under so-called hard-to-abate sectors such as industry and transport, which require energy to run factories, fuel automobiles, and heat or cool homes. While we can be satisfied with what we have achieved in producing electricity, there is still work ahead in transforming industry and transport. Oil is primarily used in transport where, despite recent exponential growth in EV sales, most cars, trucks, ships, and aircraft are still powered by oil-based fuels burned in internal combustion engines. Other major sources of CO2 emissions from oil include heating homes and businesses and making plastics and chemicals. When it comes to energy used for industry today in Norway, I can say that oil is not used that much (only 10 percent), but we do use it for industrial non-energy uses, notably for the production of asphalt, engine lubricants, and raw materials for making plastics.

There are many plans for the future. There is continuous effort in developing both offshore and land-based wind power capacities. Additionally, an increasing number of companies are entering the hydrogen sector. The government has singled out hydrogen as a key strategy in the green shift, making available funding for research & development.  Ammonia may become the clean fuel of choice by ship owners for deep-sea shipping. We are actively developing energy storage solutions. A few gigawatt battery factories are in the pipeline; one actually opened this August in Arendal, with goals of sourcing cobalt, nickel, and other minerals from the region or changing the composition of batteries to reduce the need to import rare earth minerals.

Q: How does Norway address the challenges of the energy transition, particularly in balancing energy security with sustainability goals?

A: We are “navigating” between the two multifaceted approaches. Our hydropower dominance provides a stable source of clean energy. We are investing a lot in developing new energy sources such as offshore wind, hydrogen production, and battery technologies. In parallel, digitalization is essential for energy transition because it enables business models that improve energy efficiency. Lastly, we are implementing carbon capture and storage systems to decarbonize our economy further. All this said we should not try to “greenwash” the reality. It is a fact that despite our commitment to sustainability, we remain a major producer and exporter of oil and gas. This sector is crucial for energy security in Norway and European markets. It is also one of the largest employment sectors in Norway, with 200,000 people working there. So, we can say that Norway aims to maintain stable production while gradually transitioning to greener alternatives.

Interview by Milica Radičević

Read the whole interview in the new issue of the Energy portal Magazine  RESPONSIBLE BUSINESS

American Shift: Withdrawal from the Paris Agreement, Open Doors to the Fossil Fuels

Foto-ilustracija: Unsplash (Manny Becerra)

The United States will withdraw from the 2015 Paris Climate Agreement, marking one of the first moves by the new administration of President Donald Trump. This is not the first time such a withdrawal has occurred—the U.S. previously exited the agreement during Trump’s prior term, although the accord was still in its early stages of implementation at that time.

Photo-illustration: Unsplash (Lukas Juhas)

This decision reaffirms the administration’s focus on energy production through fossil fuels, justified by the argument that increased oil and gas exploitation will reduce the high cost of living for citizens. This reasoning reflects the stance of the previous term, which viewed such agreements as unfavorable and as a drag on the economy. However, environmental experts warn that this pivot could significantly increase greenhouse gas emissions and hinder global efforts to combat climate change, given that the U.S. is one of the largest polluters.

As one of the wealthiest countries in the world, the U.S. withdrawal from the Paris Agreement, much like in 2017, could impact other nations by reducing financial contributions to the Green Climate Fund, as current policies generally aim to cut climate-related expenditures.

Consequently, this decision calls into question previously set targets, such as the U.S. commitment to reducing greenhouse gas emissions by 61–66 percent by 2035 compared to 2005 levels—a goal that will now be unattainable under the new policies.

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Among the latest executive orders, measures from the previous administration have been rolled back, including bans on oil drilling in the Alaska and certain coastal areas. This opens the door for accelerated exploration of new oil and gas fields, alarming environmental groups. They argue that drilling, extraction, and subsequent use of these fuels will intensify climate change, with shrinking permanent ice and rising sea levels as ongoing consequences.

As previously reported, this shift also raises questions about the U.S.’s geopolitical influence in the Arctic, particularly following the president’s statements on the need to „acquire Greenland”. Greenland, a gateway to the Arctic, is rich in resources, energy reserves, and minerals, many of which remain largely untapped due to the presence of permanent ice. However, as glaciers thin, access to potentially abundant energy reserves becomes easier. For the U.S., interest in Greenland could represent a long-term strategic move to secure a stronger position in the Arctic race with other nations and enhance energy stability while gaining greater control over key maritime passages.

The U.S. withdrawal from climate agreements is already prompting a reevaluation of global strategies. Some countries, such as Argentina, have announced plans to revise their climate agendas, according to international media reports. The concern lies in the ripple effect of U.S. policies on other nations, potentially weakening international cooperation in combating climate change, particularly among major polluters whose policies do not align with such agreements.

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