Jerlagić on Chinese bidders: Energy is the most important resource, expertise must be respected, not politics

The Government of the Federation of BiH adopted the Information on the selection of a strategic partner for the construction of the Banovići Thermal Power Plant, with an investment value of 421 million euros, along with, as stated, auxiliary costs of 30 million euros.

It was said that the most favorable Chinese bidder offering Siemens equipment, who has secured financing and construction, is the one, writes the Patria News Agency.

The President of the Party for BiH, Amer Jerlagić, who, as things stand, will most likely be the future Minister of Energy, Mining and Industry in the Government of the Federation of BiH, commented on the announcement of this investment.

- Every investment is welcome in BiH, especially in the energy sector. This is the adoption of information, and it is only the beginning of a process that is always long and demanding. Energy is our most important resource, and alongside our wishes and the investors' wishes, the opinion of experts and people who know this sector is always important, says Jerlagić. 

As a long-time director of Elektroprivreda BiH, Jerlagić says from experience that this investment is feasible, but that based on the little information he has, he cannot give a more thorough opinion.

- We must review the documentation and see how the investment is planned to be carried out and where the raw materials will be sourced. The energy system is a complex branch and must be balanced across the entire network, especially when it comes to coal, which powers these power plants.

I think the Banovići mine has enough coal for such a power plant. However, what the public knows less is that the Tuzla Thermal Power Plant, specifically unit 6 which was modernized in 2012, uses one million tons of coal annually from Banovići and Đurđevik.

The lifespan of this unit is until 2027. The new power plant in Banovići is expected to be completed, according to that information, by 2020. Therefore, experts must answer whether we can provide enough raw materials for both power plants from 2020 to 2027. To conclude, every initiative for investment is welcome, especially when it comes to large investments like this one.

Efforts must be made to find the best solutions so that the entire energy sector benefits, as do the citizens and their standard of living. I believe we have enough wisdom to reach optimal solutions. When I have more information about the Chinese bidder and the entire process of selecting the most favorable one, then I can give more concrete answers, Jerlagić concludes.