Ugljevik Thermal Power Plant ceases production due to coal shortage

The Ugljevik Thermal Power Plant (RiTE Ugljevik) is scheduled to disconnect from the power grid and cease electricity production due to a critical shortage of coal. Žarko Novaković, the director of the mine and power plant, stated that the facility lacks sufficient coal for continuous operation and currently has no reserves in its landfill.

The shutdown is attributed to unresolved property rights issues at the ‘Istok dva’ exploitation field. Mining operations in that area have been suspended because the field is obstructed by private property. While expropriation and land acquisition processes began in January, Novaković noted that these are slow processes, particularly when involving residential buildings and complex inheritance issues.

Currently, all mining efforts are focused on the ‘Istok jedan’ field, which is less productive and has higher overburden coefficients. The company is considering purchasing coal, but this would require establishing new economic terms with its parent company. The timeline for returning to the grid depends on how quickly the property disputes at ‘Istok dva’ are resolved.