Electric Power Emergency Reconstruction Project

closed

The Electric Power Emergency Reconstruction Project for Yugoslavia aims to help restore relaible electricity supply in Serbia through urgent repairs of power facilities affected by the lack of maintenance and damage during the Kosovo conflict. Additional objectives are to improve the financial management system of the Electric Power Company of Serbia (EPS) and to support the Serbian Ministry of Mining and Energy in preparing an Energy Policy Statement and drafting a new Energy Law. There are three project components. The first two components provide support for increasing available generating capacity through repairing the thermal power plant Kostalac A; and improving the reliability of the transmission network by reinforcing the transmission substation Sremska Mitrovica, which is key for importing electricity and reliably operating a high votage power grid. The third component funds the design, supply, and installation of a computer-based financial management system in EPS. An interim project specific financial management system has been established at EPS during the project's appraisal. This interim system will be incorporated into the new FMS. Additionally, the component provides technical assistance, specifically financing consulting services to the Serbian Ministry of Mining and Energy and to EPS: these services focus on reforming the energy sector legal and regulatory framework and on restructuring the energy market and sector enterprises. Auditing will also be funded.