Renewable energy

State of compliance

No progress was recorded in the renewable energy sector of Bosnia and Herzegovina in the reporting period.

For years, the institutions in Bosnia and Herzegovina have worked on reforming the support scheme for renewable energy projects with the support of international organizations but to no avail. Working groups are preparing amendments to the entity renewable energy laws scheduled to be adopted by the end of 2021. Amendments should enable market-based support schemes.

The targets for 2020 have expired. However, it remains unclear if planned quotas were fulfilled due to the lack of transparency on the projects which received the support, as the project list has not been published by the responsible institutions (operator for renewable energy in the Federation, and Ministry of Energy and Mining in Republika Srpska).

While Federation of Bosnia and Herzegovina is yet to allow self-consumption, Republika Srpska enabled net metering for  installations up to 50 kW. However, the issue of taxing natural persons for self-generated electricity that is fed into the grid remains to be resolved.

Bosnia and Herzegovina should focus on support scheme reform and transition towards market-based mechanisms. Transposition of provisions related to sustainability of biofuels as well as the establishment of an electronic system for guarantees of origin should also be a priority.