Cabinet Session: TPP Pljevlja Block II, Coal Mine Pljevlja, budget, minority rights and freedoms, judicial issues, public sector, IPA II CBC Programme

Podgorica, Montenegro (11 July 2016) – The Government of Montenegro adopted at today's session the Information on the construction of TPP Pljevlja Block II and discussed the feasibility study for the construction of TPP Pljevlja II which states that the project is economically viable. The information indicated that the final price of 324,878,645 EUR is proposed by the company "Skoda Praha" as the best bidder, while the Government's Working Team for building activities of TPP Pljevlja II as a representative of the state of Montenegro or investors proposed final price of 321,685,000 EUR. The Government tasked the Working Team to complete negotiations with the contractor within seven days, in accordance with the elements defined in the Information and to brief the Government about the results of the negotiations.

Deputy Prime Minister Milorad Vujović and Minister Goran Danilović expressed their opinion.

The Government adopted working conclusion so that Deputy Prime Minister for economic policy and financial system and Minister of Economy in the coming days organise a meeting with members of the Government proposed by the opposition provided that additional formulations, if they are agreed, are verified by the Inner Cabinet. Prime Minister Milo Đukanović rated as important that behind this strategically significant project is the Government as a whole and the Parliament in the widest possible consensus, which would send a good message to the international public and to those who will in the next three years deal with implementation of the project.

The Government established working team headed by the executive director of the Coal Mine Pljevlja, with the task to define and deliver to the Government optimal functioning model of Coal Mine Pljevlja and TPP Pljevlja until November 2016, in order to reduce costs and increase profitability of the two businesses.

Given the fact that the Development service agreement of the project and Agreement on work performance provided that TPP Pljevlja Block II is a heat source for heating of Pljevlja, the Government recommended to the Municipality of Pljevlja to conduct activities on the implementation of the heating system of Municipality of Pljevlja as an important environmental project in this municipality.

Minister of Finance briefed the Government about Information about negotiations with Deutsche Bank, Erste Group Bank AG, Societe Generale and OTP Group on the conclusion of a new credit arrangement and the Information on the Bill on Amendments to the Law on Budget of Montenegro for 2016. The Government adopted working conclusion to organise in the coming days a meeting between the president of the Commission for Political System, Internal and Foreign Policy and the Commission for Economic Policy and Financial System and Minister of Finance in order to formulate further steps.

The Government set the draft law on amendments to the Law on Minority Rights and Freedoms which is consistent with the strategy of the Government on minority policies and international agreements and documents adopted by the United Nations and the Council of Europe. The amendments to the law include new solutions established after the adoption of laws such as Fund for minorities and the Center for the preservation of minority cultures which, with the introduction of two instances in deciding the nominated projects and raising the level of evaluation projects, strengthened the legal and institutional framework for the realisation of the rights of minorities and other minority communities.

The Government adopted amendments to the Bill on Communal Activities and the Bill on the legalisation of informal structures. Deputy Prime Minister Azra Jasavić and Minister of Finance Raško Konjević and Interior Minister Goran Danilović expressed their opinion.

The Government adopted the Strategy for management and development of human resources in the judicial institutions 2016-2018, which defines the strategic directions of the future management and development of human resources in the judicial institutions, namely: the Judicial Council, the courts, the Prosecutorial Council, state prosecutor's offices, the Center for Judicial Training and State Prosecutor's Office, notaries and public executors for the period 2016-2018. The Strategy enhanced the control of budget expenditures for personnel, equalised distribution of resources and workload, and introduced improvements in the field of ethics, discipline and dismissal.

In order to create an efficient, economical and effective public administration, the Government adopted the Report on the implementation of the Plan of internal reorganisation of the public sector in 2015. The implementation of the Plan should contribute to: reduction of employees in the public sector, improvement of human resources planning and wage policy, efficiency, productivity and improvement of service quality. Accordingly, the Government tasked the Ministry of Interior to establish unrealised reform objectives of the Plan and recognise the further course of the reorganisation.

The Government adopted Information on the bilateral agreement between Montenegro and the Republic of Albania, which refers to the IPA II CBC Programme Montenegro – Albania 2014-2020.

The Government approved the decision on the allocation of revenue from games of chance for 2016.