USAID Energy Investment Activity Project (EIA) Description of Project for RS Government

The project began in October 2014 and is expected to be completed by October 2019. The project's primary objective is to address legislative and regulatory obstacles to investments in the electricity sector, with a focus on simplifying and speeding up the permitting process for construction of generation facilities. The project comprises ten activities, each aimed at addressing specific challenges in the electricity sector. Activity 1 involves identifying legislative and regulatory obstacles to investments and proposing measures for their removal. The expected result of this activity is the proposal of improved legislation and regulations that will simplify and speed up the permitting process for construction of generation facilities. Activity 2 provides assistance to small- and medium-sized enterprises in selecting the best technologies for production of electricity and heat from production waste, while Activity 3 identifies new roles for the Distribution System Operator (DSO) as facilitator of the retail electricity market. The project also includes activities aimed at improving distribution service quality standards and electricity supply, proposing data exchange systems between participants in the electricity market, and integrating renewable sources into the electricity market. Additionally, the project provides assistance to Large Combustion Plants (LCP) operators in selecting the best technical and economic solution for reduction of emissions and assistance to the Ministry of Foreign Trade and Economic Relations (MOFTER) and competent entity ministries in fulfilling obligations stemming from the "Energy Community Treaty." The project's work methodology involves establishing Working Groups, each comprising representatives of relevant ministries, regulatory commissions, and experts in the area. These Working Groups jointly analyze the current state, determine possible needs for improvement, and propose measures for improvement. The project team will assist in the implementation of proposed measures if requested by the relevant institutions. The project employs various companies and experts, including Law Firm "Miljkovic" - BiH, Consulting Company DNV GL – KEMA - Germany, and South Eastern Europe Consultants – SEEC - Serbia, to offer quality assistance and expert contribution. The RS Government is expected to participate in the project by providing experts in individual areas of expertise to the Working Groups.