Montenegro Says 220 MW Pljevlja Coal Complex Must Stay Until Reliable Replacement Emerges

Coal complex dominates summer generation

Montenegro cannot complete its exit from coal until it finds a dependable replacement for the 220 megawatts generated by the Pljevlja thermal power plant and the employment supported by the surrounding coal system, Laković said in an interview published by Press. He argued that closing the Pljevlja coal mine and power station is not realistic in the near future because the complex remains central to the country’s electricity supply.

The mine and power plant accounted for 64.8% of total electricity production at state utility Elektroprivreda Crne Gore, or EPCG, during June, July and August. Laković valued that output at more than €51 million. The summer contribution is particularly significant because hydroelectric production is lower during the second and third quarters, increasing the system’s dependence on stable thermal generation.

According to Laković, the complex directly employs 1,500 people and supports roughly the same number of additional jobs in Pljevlja, taking its direct and indirect employment impact above 3,000. Over the past five years, the system has produced electricity with a market value exceeding €800 million. Those figures make the timing of any coal phaseout an issue not only for power security but also for municipal employment and income.

Mine returns to profit after extended plant outage

Rudnik uglja Pljevlja reported a profit of €3.26 million for the first six months of the year, its best result in three years. Revenue exceeded the company’s target by €5.5 million, while expenditure was €4.1 million below plan. Coal production was 22% above plan, and deliveries to the Pljevlja power station exceeded the target by 22.3%.

Laković described the year as one of stabilization after the power station underwent an environmental reconstruction and remained offline for more than seven months during the previous year. Elsewhere in the interview, he referred to an eight-month stoppage and said it had affected the financial performance of the EPCG group. The return to regular operations has restored demand for mine output and supported profitability.

The coal mine has also signed a new 24-year concession agreement worth €64 million. Of that amount, €45 million is expected to accrue to the municipality of Pljevlja, further tying the complex to local public finances. At the same time, the mine’s business transformation and just-transition plan is intended to redirect workers toward new projects and create additional economic activity.

River diversion secures access to coal

A major infrastructure project to divert the Ćehotina River has now received its water permit and is officially complete. The €20 million project, excluding VAT, created 3,200 metres of new riverbed. Work involved blasting 120,000 cubic metres of limestone, excavating more than 500,000 cubic metres of material and installing over 15,000 cubic metres of concrete.

The diversion was designed to improve worker safety, allow coal extraction to continue and protect fuel supplies to the power station. January flooding provided an early test: water entered the open pit for 15 days, with more than 100,000 cubic metres arriving within 24 hours. The mine used high-voltage pumps and maintained coal deliveries despite the flooding and landslides. For Montenegro, the project reduces an immediate operational risk, but the larger question remains unresolved: no replacement source identified in the material yet matches both Pljevlja’s 220 MW capacity and its role in the local economy.