Investments in Renewable Energies

A predictable business environment n A business friendly environment and a functioning and stable legislative are the two key aspects for international investments n The Montenegrin macroeconomic system is characterised by many indicators reflecting these key aspects, i.e. l an existing stable economic growth with a realistic forecast up to 2025 (~6%/a), l a low inflation rate and a continuous reduction of unemployment, l the “construction” of an open and competitive market under harmonizing the local legislation with the EU regulations n In case of the envisaged energy development of MNE this growth-approach is documented in a clear framework. The white book on the “Energy Development Strategy of MNE by 2025”

MNE Hydro potentials for energy utilization n Compared to its surface, MNE has extremely rich water resources; water is the MNE's key resource of highest strategic interest n From its total hydro potential MNE is exploiting just 17% (1,8 TWh); at least another 5 TWh are still technically useable n Import of Electricity amounted one year ago 1,8 TWh – in the future, this dependency will tendentiously increase rapidly n Under the consideration of the preservation of the natural heritage of MNE there is a vital need for wise and rational investments in HPPs of each size

Major business areas of our company n Electricity - our largest field of business l 67 power stations with an installed capacity of about 500 MW generating about 1 TWh el /a l Additional energy purchase rights primarily from common HPPs with AHP amounting to 1,5 TWh el /a l core competence: electricity from storage and pumped storage HPPs as well as run-of-river HPPs n Heat - operated by our affiliate l 48 distance heating plants and 575 central heating stations l sales of around 0,7 TWh th /a l leading supra-regional heating supplier in Austria l core competence: heat from renewable energy sources, as they are i.e. biomass, geothermal or waste heat

If you would like to receive our consolidated annual report, please contact or visit our homepage KELAG is represented in Montenegro by Dr. Rodoljub Nikolic Thomas-M.Maier Director MNE activities Tel.: Thank you very much for your attention!