Serbia’s Minister of Mining and Energy, Dubravka Đedović Handanović, has commented on the potential impact of American sanctions on the country’s state-owned oil company, NIS, stating that such a decision is politically motivated and aimed at the Russian Federation. She warned that if these sanctions are enforced, they will have significant consequences for Serbia, but emphasized that the Serbian government will continue to seek ways to protect its economic interests and maintain energy stability.
This situation comes amid rising global gas prices, with concerns about potential issues with Bulgaria. Last year, Bulgaria introduced taxes on the transit of Russian gas through its territory without prior consultation with the countries along the Balkan Stream route. These taxes were deemed legally unfounded according to European Union regulations. Serbia and Hungary filed protests with the European Commission, pointing out that similar precedents had been rejected by the EU in the past. Bulgaria quickly reversed the taxes after the protests.
Regarding Serbia’s gas supply, the Minister noted that while the Serbia-Bulgaria gas interconnection connects to the TAP and TANAP pipelines, allowing for diversification of gas sources, it is not sufficient to meet all of Serbia’s gas needs. To address this, Serbia has focused on securing additional gas supplies by expanding its storage facility in Banatski Dvor and developing new gas interconnectors with Romania and North Macedonia. These efforts aim to ensure more reliable access to gas in the future.
Đedović Handanović also pointed out that Serbia is closely monitoring the relationship between the USA, the EU, and Russia, particularly regarding sanctions on Gazprombank. She assured that Serbia has secured enough gas for the short term and is working on expanding energy infrastructure to enhance security in the long term.
On another front, the Minister highlighted the strategic importance of the new B3 thermoblock in Kostolac, which is being integrated into the national grid by Elektroprivreda Srbije. The 350 MW capacity of the new block will not only help meet the growing electricity demand but will also strengthen Serbia’s energy security in the coming years.
Turning to Serbia’s plans for lithium mining, Đedović Handanović addressed recent discussions about the “Sinwald Lithium” project in Freiberg. She noted that some critics claimed that the EU, particularly Germany, is not interested in exploiting metal ores. However, she emphasized that Germany is actively pursuing lithium projects. One processing plant is already in operation in Germany, and three lithium mining projects with permits were launched in 2023, including in Germany, the Czech Republic, and Finland.
Lastly, the Minister reflected on Serbia’s progress in integrating with the European Union’s electricity market. At the recent Energy Community annual meeting in Vienna, she noted that Serbia is ahead of all other countries in the region in preparing for market integration, paving the way for the merger of Serbia’s electricity market with the EU’s in the near future.
