The 51st Cabinet session – 16 December 2021

Prime Minister Zdravko Krivokapić acquainted the Montenegrin Cabinet, at its 51st session held on 16 December 2021, with the Information on the situation regarding the contractual relations between Montenegrin Electric Enterprise (EPCG) and UNIPROM (KAP). In this regard, the Cabinet reached the following conclusions:

• The Cabinet adopted the Oral Information of the Ministry of Capital Investments to continue negotiations between EPCG and Uniprom, which should agree on the best solution to reduce Uniprom's production (which is the practice of other similar plants in Europe) in order to maintain the technological process and define the energy price, which is defined as the minimum until June 2022.
• In order to be socially responsible, which is the practice of other private companies in Montenegro, the owner should provide paid leave to all workers who are not involved in the production process.
• The Cabinet calls on the relevant institutions to reconsider the privatisation of KAP.

The Draft Law on the processing of data on passengers in air transport in order to prevent and detect criminal acts of terrorism and other serious crimes was adopted. The Draft Law is one of the key measures in the Chapter 24 of the Programme of Accession of Montenegro to the European Union 2021-2023. Its adoption for the first time in Montenegro regulates the obligation of air carriers to submit passenger data to the Police Directorate as part of their regular operations in order to process these data in order to prevent and detect terrorist and other serious crimes, conduct criminal proceedings and find persons wanted for these crimes.

The Cabinet adopted the Proposal of Amendments to the Draft Law on Amendments to the Law on Companies.

The Information on the European Union support programmes for Montenegro for 2021 was adopted. The Information states that during 2021, the preparation and implementation of projects covered by the 2014-2020 perspective (IPA II) continued. Despite the circumstances caused by the spread of the COVID- 19, which significantly affected the activities and dynamics of the implementation of all projects, most of the planned activities were implemented without significant delays. When it comes to IPA 2021-2027, negotiations at the level of the European Union concerning the legal framework for IPA III were continued during 2021. In this regard, during September 2021, negotiations between the European Commission, the European Parliament and the Council were completed and on 15 September 2021 the Regulation establishing the Instrument for Pre-Accession Assistance (IPA III) was adopted and the amount of EUR 14.162 billion will be available to IPA beneficiary countries over the next seven years.

The Cabinet adopted roadmaps for meeting the final benchmarks for the temporary closure of negotiations in Chapter 5 - Public Procurement, Chapter 9- Financial Services, Chapter 16- Taxation, Chapter 17 - Economic and Monetary Policy, Chapter 20 - Enterprise and Industrial Policy and Chapter 22- Regional Policy and Coordination of Structural Instruments. These are documents prepared by the working groups for these chapters, which adequately address the remaining obligations from the negotiation process.

The Analysis of the implementation of the Schengen Action Plan in the period 2017-2020 was adopted. The analysis is important for reviewing the results of activities and degree of fulfillment of obligations in order to determine the conclusions and recommendations for further implementation of this strategic document which is an integral part of the Government's political goals in Montenegro's accession to the EU and Schengen area. The achieved goals of the implementation of the Schengen Action Plan will contribute to the successful completion of negotiations for Chapter 24, within the framework of the Stabilisation and Association Agreement. It was stated that in the coming period, administrative, infrastructural and technical capacities should be further improved, and efforts should be continued to strengthen the capacity of human resources within the Border Police and Customs, in order to prevent and detect all types of cross-border crime. Having in mind the current level of implementation of the Schengen Action Plan, concrete measures have been defined that need to be taken in the EU accession negotiation process and for further harmonisation with the Schengen requirements.

The coronavirus pandemic has accelerated digital transformation, brought about numerous changes in the way we work and live, and "remote work" has become a new norm. Accordingly, the Cabinet adopted the Programme for Attracting Digital Nomads in Montenegro until 2025 with the Action Plan for 2022, which intends to increase the number of digital nomads residing in Montenegro and the recognition of Montenegro as an attractive destination for digital nomads, strengthening economic activity in the country, primarily through encouraging foreign investment and the promotion of Montenegrin tourism. The program defines strategic priorities and goals for the introduction of visas for digital nomads, conditions for defining their status, activities and analysis to assess economic and social potential, as well as competent institutions for implementation of activities, success indicators, funding sources and other issues of importance. Funds in the amount of 110,000 euros are planned for the implementation of activities from the Action Plan for 2022.

The Cabinet adopted the Information on taking over one-year presidency of US-Adriatic Charter (A5). The Information states that the priorities of chairing the Charter in 2022 are in line with Montenegro's commitment, as a NATO member, to promote the Euro-Atlantic perspective of the strategically important region of the Western Balkans. In this regard, one of the goals of the upcoming presidency of the Charter will be to strengthen cooperation between NATO and the countries of the region. In addition, Montenegro will strive to encourage and point out the need for a complementary approach of NATO and the EU in the Western Balkans, strengthen military-defence cooperation, and encourage the adjustment of the work and activities of the Charter in accordance with the current security environment. In order to achieve these results, the Plan of the Montenegrin Presidency of the American-Adriatic Charter (A5) during 2022 has been prepared. The funds in the amount of 87,500 euros have been provided for the implementation of the Plan.

The Information on the implementation of the Wage Subsidy Programme in 2021 (Q1 and Q2) was adopted. In order to reduce the negative impact of COVID-19 on the business sector, the Cabinet has created several different segments of support for the economy.

The Cabinet adopted the Information on the activities for the implementation of the "Special Investment Programme of Special Importance for the Economic Interest of Montenegro" for the third quarter of 2021. 

The Information on the activities on the implementation of the project of the thermal energy complex in Pljevlja was adopted. The Information provides an overview of previous activities and open issues, with proposed solutions. The aim of the project is to adjust the operation of TPP Pljevlja to the requirements of EU and domestic legislation when it comes to industrial emissions for plants such as TPP, i.e. enabling the TPP to continue its work in the next 15 years while meeting environmental standards. It is emphasised that the Project of ecological reconstruction of the existing block of TPP Pljevlja is not only of vital importance for the company but also for the entire economy. This project would extend the working life of the TPP itself, whose participation in the energy balance of Montenegro is of great importance. The operation of TPP achieves significant electricity production, which is confirmed by the fact that its production represents a share of 35% in total electricity production in Montenegro for the first ten months of 2021, as well as about 42% in total electricity consumption for the same period.