Energy lending in south-eastern Europe

South-eastern Europe is riddled with poor planning and corruption in the energy sector and its governments are proving slow to react to the challenges and opportunities offered by the decarbonisation agenda.

Above: planned coal power plants in south-eastern Europe

This should be an opportunity for international lenders like the EBRD, the EIB and the World Bank to promote energy efficiency and sustainable renewables to shift the region's energy sectors towards lower carbon emissions.

So far, however, it is only happening in a few positive exceptions as our study and the projects that we monitor show.

Infographic

The damaging Projects of Energy Community Interest (click to see full size)

Note: This infographic is out of date. It contains projects that were not accepted as priority projects. For comparison, see the final list of approved PECIs.

The European Energy Community

The European Energy Community was established between the EU and a number of third countries in order to extend the EU internal energy market to south-eastern Europe and beyond. (Members include the EU, Albania, Bosnia and Herzegovina, Croatia, Macedonia, Montenegro, Serbia, Moldova, Kosovo, plus Ukraine.)

The Community's priority projects, however, are set to include several environmentally damaging coal and hydropower projects that will be fast-tracked for financing over the next years.

Read more:
Dirty power plants in Europe's Neighbourhood set to become EU priority
Press release | October 22, 2013

Western Balkans and Ukraine: EC-backed Energy Community to prioritise coal plants that threaten EU long-term climate targets (pdf)
Briefing | October 22, 2013

Blog entry | June 1, 2017

The European Union’s and China’s joint commitment to climate action is tarnished by Chinese support for and the EU’s neglect of coal projects in the Balkans, as a new briefing shows. But it is still not too late to change course.

Chinese investors

Export credit agencies

Energy & climate

Tags: Balkans, China, China ExIm Bank, coal, EU neighbourhood, Kostolac, Pljevlja, Stanari, Tuzla

Locals oppose dam that is set to endanger critical fish habitat in Bosnia-Herzegovina

Blog entry | May 30, 2017

We are passing through the canyon of the river Vrbas, in north-west Bosnia-Herzegovina. I am looking through a car window, mouth wide open in awe. While I look up to the rocky, edgy peaks hundreds of meters above and down to the heavenly blue river, I am wondering why anyone would want to dam this river, flood the canyon and destroy its beauty.

Then again, rather than seeing beauty, hydropower companies see wasted water resources, or in the words of a Bosnian official “euros flowing away in vain.”

EBRD

Energy & climate

Other harmful projects

Tags: Balkans, biodiversity, energy, hydropower, public participation

The Runcurel expropriations, Europe's second most harmful subsidy

Press release | May 22, 2017

The Romanian Government has been named and shamed today in a public fossil fuel subsidies awards ceremony in Brussels. From 10 April till 8 May, the public voted on the deadliest, dirtiest and sneakiest subsidies to fossil fuels in Europe. Our country was shamed for fostering land expropriations required for expanding a coal mine, displacing families and destroying nature.

Tags: Balkans

[Campaign update] Environmentalists take planned Montenegrin coal plant to court

Blog entry | May 16, 2017

Green Home, a Montenegrin environmental non-governmental organisation, on Friday submitted a complaint to the Administrative Court of Montenegro requesting the cancellation of the environmental approval for the controversial Pljevlja II coal power plant the government seeks to build.

Energy & climate

Tags: Balkans, BAT, coal, court, environmental permit

The dirty secret in Sofia's backyard - the coal dust that only comes at night

Blog entry | May 10, 2017

Brussels may fine Bulgaria for its excessive air pollution. But living in Pernik, the most polluted town in Europe, remains a hazard to peoples’ health as the results of Bankwatch’s independent dust monitoring show.

Energy & climate

Social & economic impacts

Tags: air pollution, Balkans, coal, EU, EU standards, health, local impacts, Pernik, pollution