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Serbia has substantial lignite resources which are easily accessible for exploitation.\u00a0 The country relies on lignite for 45% of its total primary energy supply.\u00a0 For electricity generation, the share of lignite was 65.1% in 2014 with hydro (34.1%) accounting for most of the remainder and natural gas making only a very small contribution (0.7%).<\/p>\n
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| \n General data<\/span><\/b><\/p>\n<\/td>\n | \n \u00a0<\/span><\/b><\/p>\n<\/td>\n | \n 2015<\/span><\/b><\/p>\n<\/td>\n<\/tr>\n Population<\/span><\/p>\n<\/td>\n million<\/span><\/p>\n<\/td>\n 7.1<\/span><\/p>\n<\/td>\n<\/tr>\n GDP<\/span><\/p>\n<\/td>\n \u20ac\u00a0billion<\/span><\/p>\n<\/td>\n 33.5<\/span><\/p>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n The state-owned Electric Power Industry of Serbia (ELEKTROPRIVREDA SRBIJE \u2013 EPS) is a vertically integrated enterprise with thirteen subsidiaries and three enterprises in Kosovo.\u00a0 Since June 1999, EPS has not been able to use or operate its power and mining facilities in Kosovo and Metohija.<\/p>\n The main activity of EPS is electricity supply.\u00a0 The production, processing and transport of coal, electricity generation, electricity distribution and distribution system management, and steam and hot water production in cogeneration plants are all performed by EPS subsidiaries.<\/p>\n With a staff of 36\u00a0500 employees, including workers from Kosovo, and 3.5\u00a0million consumers, EPS is the largest enterprise in the country.\u00a0 The installed capacity of EPS power plants totals 7\u00a0322\u00a0MW net:\u00a0 lignite-fired power plants 4\u00a0032\u00a0MW;\u00a0 gas-and oil-fired combined heat and power plants 353\u00a0MW;\u00a0 and hydro power plants 2\u00a0937\u00a0MW.<\/p>\n In order to increase the efficiency of the power sector through market mechanisms, the Serbian government has been gradually introducing competition in the electricity sector since adoption of the Law on Energy in 2004.\u00a0 Opening of the electricity market will continue until it is fully opened in line with the country\u2019s ratification of the Energy Community Treaty.<\/p>\n EPS\u2019s mission is to secure electricity supply to all customers, under the most favourable market conditions, with the continuous upgrading of its services, improvements to environmental protection and greater welfare for the community.\u00a0 The company\u2019s vision is a socially responsible, market-oriented and profitable company, competitive on the European market, with a major impact in the region and recognised as a reliable partner among local and international companies.<\/p>\n In the first phase of a restructuring process adopted in November 2014, electricity generation and coal exploitation subsidiaries were integrated within EPS.\u00a0 All five existing distribution companies will be integrated into a single legal entity, while the EPS supply business remains in its existing form.\u00a0 The second phase saw EPS become a joint-stock company on 1\u00a0July 2016.<\/p>\n Lignite<\/b><\/p>\n Production of lignite, with an average calorific value of 7\u00a0850\u00a0kJ\/kg, takes places at open-pit mines in the Kolubara and Kostolac mining basins.\u00a0 The Field\u00a0C, Field\u00a0D, Veliki Crljeni and Tamnava West Field open-pit mines in the Kolubara basin account for around 75% of Serbian lignite production and supply Kolubara thermal power plant (TPP), TPP Nikola Tesla\u00a0A and B and TPP Morava.\u00a0 Lignite from open-pit mines in the Kostolac basin accounts for the remaining 25% of production which supplies TPP Kostolac\u00a0A and B.<\/p>\n In 2015, EPS extracted 37.0\u00a0million tonnes of lignite in the Kolubara and Kostolac mining basins, with overburden-to-production ratios of 2.5\u00a0cubic metres per tonne in Kolubara and 4.5\u00a0cubic metres per tonne in Kostolac.<\/p>\n In May 2014, heavy rains hit the Kolubara and Kostolac lignite basins, flooding mines and damaging associated facilities, including TPP Nikola Tesla and TPP Kostolac.\u00a0 The worst situation occurred in the Kolubara mining basin where an artificial lake of 20\u00a0square kilometres and 50\u00a0metres depth formed at the open-pit mine Tamnava West Field.\u00a0 Mining machinery and equipment was trapped underwater, affecting production for almost a year.\u00a0 The flood damage was estimated at \u20ac100\u00a0million and cut Serbian power generation by 40%, forcing the country to boost electricity and coal imports. \u00a0\u00a0The World Bank approved a $300\u00a0million loan (\u20ac230\u00a0million) for the flood mitigation.\u00a0 This loan supported Serbia in meeting the critical need for electricity generation and supply infrastructure.\u00a0 After many difficulties, EPS succeeded in recovering the flooded mines and repairing machinery and equipment.<\/p>\n In December 2014, a loan agreement was signed by the Serbian government with the Exim Bank of China for a $715.6 million project to build a new 350\u00a0MW unit (B3) at TPP Kostolac and to extend the annual capacity of Drmno mine from 9\u00a0million tonnes to 12\u00a0million tonnes of lignite.\u00a0 Construction is expected to take 58\u00a0months and the new unit should be operational by 2020.\u00a0 Unit\u00a0B3 of TPP Kostolac will help stabilise Serbia\u2019s energy system while respecting European Union environmental standards.<\/p>\n After many years when available funds were invested only in the maintenance of production capacities, environmental protection has now become a business priority for EPS.\u00a0 This priority change is due to the Serbian government\u2019s policy to join the European Union.\u00a0 Almost one third of regulatory commitments and standards in environmental protection are in place, as well as the country\u2019s commitments under the Energy Community Treaty.\u00a0 EPS must harmonise the operation of its facilities with the EU acquis<\/i> from 2015.<\/p>\n Serbia<\/em><\/p>\n Coal resources and reserves<\/span><\/b><\/p>\n<\/td>\n \u00a0<\/span><\/b><\/p>\n<\/td>\n \u00a0<\/span><\/b><\/p>\n<\/td>\n<\/tr>\n Resources hard coal<\/span><\/p>\n<\/td>\n Mt<\/span><\/p>\n<\/td>\n 182<\/span><\/p>\n<\/td>\n<\/tr>\n Resources lignite<\/span><\/p>\n<\/td>\n Mt<\/span><\/p>\n<\/td>\n 5\u00a0295<\/span><\/p>\n<\/td>\n<\/tr>\n Reserves hard coal<\/span><\/p>\n<\/td>\n Mt<\/span><\/p>\n<\/td>\n 173<\/span><\/p>\n<\/td>\n<\/tr>\n Reserves lignite<\/span><\/p>\n<\/td>\n Mt<\/span><\/p>\n<\/td>\n 3\u00a0546<\/span><\/p>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n Primary energy production<\/span><\/b><\/p>\n<\/td>\n \u00a0<\/span><\/b><\/p>\n<\/td>\n 2015<\/span><\/b><\/p>\n<\/td>\n<\/tr>\n Total primary energy production<\/span><\/p>\n<\/td>\n Mtce<\/span><\/p>\n<\/td>\n 15.5<\/span><\/p>\n<\/td>\n<\/tr>\n Lignite (saleable output)<\/span><\/p>\n<\/td>\n Mt \/ Mtce<\/span><\/p>\n<\/td>\n 37.0 \/ 10.1<\/span><\/p>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n Saleable coal quality<\/span><\/b><\/p>\n<\/td>\n \u00a0<\/span><\/b><\/p>\n<\/td>\n \u00a0<\/span><\/b><\/p>\n<\/td>\n<\/tr>\n Hard coal net calorific value<\/span><\/p>\n<\/td>\n kJ\/kg<\/span><\/p>\n<\/td>\n 12\u00a0000\u201118\u00a0000<\/span><\/p>\n<\/td>\n<\/tr>\n Lignite net calorific value<\/span><\/p>\n<\/td>\n kJ\/kg<\/span><\/p>\n<\/td>\n 7\u00a0500\u20118\u00a0200<\/span><\/p>\n<\/td>\n<\/tr>\n Hard coal ash content<\/span><\/p>\n<\/td>\n % a.r.<\/span><\/p>\n<\/td>\n 12.0\u201135.0<\/span><\/p>\n<\/td>\n<\/tr>\n Lignite ash content<\/span><\/p>\n<\/td>\n % a.r.<\/span><\/p>\n<\/td>\n 14.0\u201118.0<\/span><\/p>\n<\/td>\n<\/tr>\n Hard coal moisture content<\/span><\/p>\n<\/td>\n % a.r.<\/span><\/p>\n<\/td>\n 45.0\u201154.0<\/span><\/p>\n<\/td>\n<\/tr>\n Lignite moisture content<\/span><\/p>\n<\/td>\n % a.r.<\/span><\/p>\n<\/td>\n 48.0\u201152.0<\/span><\/p>\n<\/td>\n<\/tr>\n Hard coal sulphur content<\/span><\/p>\n<\/td>\n % a.r.<\/span><\/p>\n<\/td>\n 0.9\u20113.8<\/span><\/p>\n<\/td>\n<\/tr>\n Lignite sulphur content<\/span><\/p>\n<\/td>\n % a.r.<\/span><\/p>\n<\/td>\n 0.4\u20110.9<\/span><\/p>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n Coal imports \/ exports<\/span><\/b><\/p>\n<\/td>\n \u00a0<\/span><\/b><\/p>\n<\/td>\n 2015<\/span><\/b><\/p>\n<\/td>\n<\/tr>\n Hard coal imports<\/span><\/p>\n<\/td>\n Mt<\/span><\/p>\n<\/td>\n 0.4<\/span><\/p>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n Primary energy consumption<\/span><\/b><\/p>\n<\/td>\n \u00a0<\/span><\/b><\/p>\n<\/td>\n 2015<\/span><\/b><\/p>\n<\/td>\n<\/tr>\n Total primary energy consumption<\/span><\/p>\n<\/td>\n Mtce<\/span><\/p>\n<\/td>\n 19.0<\/span><\/p>\n<\/td>\n<\/tr>\n Hard coal consumption<\/span><\/p>\n<\/td>\n Mtce<\/span><\/p>\n<\/td>\n 0.4<\/span><\/p>\n<\/td>\n<\/tr>\n Lignite consumption<\/span><\/p>\n<\/td>\n Mtce<\/span><\/p>\n<\/td>\n 8.5<\/span><\/p>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n Power supply<\/span><\/b><\/p>\n<\/td>\n \u00a0<\/span><\/b><\/p>\n<\/td>\n 2015<\/span><\/b><\/p>\n<\/td>\n<\/tr>\n Total gross power generation<\/span><\/p>\n<\/td>\n TWh<\/span><\/p>\n<\/td>\n 35.7<\/span><\/p>\n<\/td>\n<\/tr>\n Net power imports (exports)<\/span><\/p>\n<\/td>\n TWh<\/span><\/p>\n<\/td>\n 1.0<\/span><\/p>\n<\/td>\n<\/tr>\n Total power consumption<\/span><\/p>\n<\/td>\n TWh<\/span><\/p>\n<\/td>\n 33.4<\/span><\/p>\n<\/td>\n<\/tr>\n Power generation from lignite<\/span><\/p>\n<\/td>\n TWh<\/span><\/p>\n<\/td>\n 25.1<\/span><\/p>\n<\/td>\n<\/tr>\n Lignite power generation capacity<\/span><\/p>\n<\/td>\n MW<\/span><\/p>\n<\/td>\n 4\u00a0032<\/span><\/p>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n Employment<\/span><\/b><\/p>\n<\/td>\n \u00a0<\/span><\/b><\/p>\n<\/td>\n 2015<\/span><\/b><\/p>\n<\/td>\n<\/tr>\n Direct in hard coal mining<\/span><\/p>\n<\/td>\n thousand<\/span><\/p>\n<\/td>\n 1.600<\/span><\/p>\n<\/td>\n<\/tr>\n Direct in lignite mining<\/span><\/p>\n<\/td>\n thousand<\/span><\/p>\n<\/td>\n 12.360<\/span><\/p>\n<\/td>\n<\/tr>\n Other lignite-related*<\/span><\/p>\n<\/td>\n thousand<\/span><\/p>\n<\/td>\n 14.050<\/span><\/p>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n * e.g. in power generation, equipment supply, services and R&D<\/em><\/p>\n","protected":false},"excerpt":{"rendered":" Serbia has substantial lignite resources which are easily accessible for exploitation.\u00a0 The country relies on lignite for 45% of its total primary energy supply.\u00a0 For electricity generation, the share of lignite was 65.1% in 2014 with hydro (34.1%) accounting for most of the remainder and natural gas making only a very small contribution (0.7%). 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