The World Bank Group has approved a €31.0 million loan to aid Montenegro in decarbonizing its energy sector and moving towards a low-carbon economy. The Montenegro Energy Sector Decarbonization Project aims to enhance the energy efficiency of public buildings, focusing on the Montenegro National University and several administrative structures. Additionally, it seeks to integrate more renewable energy capacity into the country's power distribution grid while improving its reliability and resilience against climate change.
Christopher Sheldon, World Bank Country Manager for Bosnia and Herzegovina and Montenegro, stated, "This project plays an important role in supporting Montenegro’s energy transition agenda and efforts toward a modern, sustainable energy sector. The project will also create better and more comfortable conditions for University students and academic staff."
The initiative is anticipated to deliver substantial energy savings, lower greenhouse gas emissions, and strengthen energy infrastructure resilience. It aligns with Montenegro's commitment to decarbonize its energy sector by 2050 in accordance with European Union objectives.
This approval coincides with the release of the World Bank Group’s Country Climate and Development Report for Montenegro. The report outlines a roadmap for sustainable development and climate resilience. It stresses expanding renewable sources like wind and solar alongside existing hydroelectric resources as part of a broader decarbonization strategy.