House of Representatives of FBiH approves EPBiH borrowing for Block 7 construction

SARAJEVO, (Patria) - The House of Representatives of the Parliament of FBiH has given JP Elektroprivreda BiH consent for borrowing for the construction of Block 7.

After Senad Salkić, Executive Director for Capital Investments of JP Elektroprivreda BiH presented the Block 7 Tuzla Thermal Power Plant project, Aleksandar Ristić, representative of the State Aid Council, addressed the attendees.

With 81 votes in favor and 6 abstentions, a conclusion was adopted to grant an energy permit for the construction of Block 7. A conclusion of Elektroprivreda BiH, which was not explained to the public, was adopted with 80 votes in favor and four abstentions.

With 80 votes in favor and six abstentions, the House of Representatives provided a guarantee for the credit borrowing of JP Elektroprivreda BiH from a Chinese bank. Furthermore, with 81 votes in favor and six against, preliminary approval was given for the borrowing of Elektroprivreda BiH from the Export-Import Bank of China, after which the session concluded.

FBiH Prime Minister Fadil Novalić stated that this is a historic project and that he is particularly pleased that it is going to Tuzla, where "a certain tension is felt".

He added that the efficiency of Block 7 is particularly important, as the same amount of energy will be generated with 40% less coal consumption.

European Neighbourhood Policy and Enlargement Negotiations Commissioner Johannes Hahn previously stated in an interview with the Financial Times that he is concerned that some countries are taking very large loans from China to pay for infrastructure, increasing the risk of long-term damage to their fragile economies. According to him, the EU would be a fairer partner.