BAKU, Azerbaijan, January 31. The European Bank for Reconstruction and Development (EBRD) and the EU are strengthening Serbia’s shift toward renewable energy with a major investment in hydropower, Trend reports.
The two institutions are funding the modernization of the Vlasinske hydropower cascade, one of the country’s oldest plants, to enhance efficiency and extend its operational life.
The EBRD is providing a 67 million euro loan to Serbia’s national electricity company, Elektroprivreda Srbije (EPS), while the EU is contributing a 15.4 million euro investment grant under the Western Balkans Investment Framework. Built in 1946, the plant’s upgrade will increase its capacity from 129 MW to 137 MW, supporting Serbia’s push for a more sustainable energy mix.
Matteo Colangeli, the EBRD’s Regional Head for the Western Balkans, highlighted the project’s significance for Serbia’s energy security and integration of renewables. He reaffirmed the EBRD’s commitment to supporting Serbia’s clean energy transition through investment, technical assistance, and policy guidance.
The EBRD remains a key partner in Serbia’s green transition, having invested over 9.8 billion euros across 372 projects, with a strong focus on renewable energy, private-sector growth, and sustainable infrastructure.