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The Government of the Republic of Serbia

In the service of citizens

Belgrade to become centre for monitoring production of natural gas

Belgrade, 25 November 2005

Serbian Minister of Energy and Mining Radomir Naumov voiced hope today that Belgrade will become a regional centre for monitoring production, consumption and distribution of natural gas in southeastern Europe.

Radomir Naumov

Speaking at a press conference held after the Athens Forum, Naumov explained that this forum is a very important event which gathered for the first time in Belgrade the countries of southeastern Europe that signed on October 25 in Athens a treaty on the establishment of an energy community.

He said that this treaty will enable secure electricity supply in the region along with new foreign investment and specified that in the line with the treaty, which Serbia also signed, a large regional energy market with 500 million consumers will be formed soon.

The Ministry of Energy and Mining said that Serbia has done everything necessary in the transition of the energy sector in the fields of adopting laws, institutional reform and reorganisation of the Electric Power Industry of Serbia and the Oil Industry of Serbia.

Naumov said that a gas pipeline from Bulgaria to Nis should be constructed soon, which would be a centre for extending the gas network towards Bosnia and Herzegovina.

The Strategy of Development of the Serbian Energy Sector to 2015 stipulates that foreign investors can enter Serbia's energy market always when their plans coincide with national plans. He added that if there are no interested foreign investors the state will call a public tender for investments.

Assistant Minister for the sector of electrical energy Aleksandar Vlajcic said that by signing the agreement on establishing the energy community, Europe's energy map has been changed and announced that already as of next year, the large, regional market of electrical energy and gas will start operating.

Senior professional collaborator in the electrical energy sector Predrag Grujicic said that the Serbian Energy Agency will start working by mid 2006 at the latest and explained that its role will be to define the methodology on the basis of which the prices of electricity and gas will be proposed.