CEDIS and EBRD sign agreement for €35 million smart digitalization project

It is my great pleasure to have participated in this significant event, marking a major step forward in the modernization of Montenegro's energy sector. The signing of the loan agreement between CEDIS and the European Bank for Reconstruction and Development (EBRD) to finance the CEDIS SCADA – Smart Digitalization Project, which will enable remote monitoring and management of the distribution network, represents a milestone in the development of our energy infrastructure.

The implementation of projects for remote monitoring and management in the distribution system has been in planning for many years, with its roots going back 12 years when it was approved by the Regulatory Agency for Energy. However, this project was not previously prioritized, leading to its delayed implementation. Consequently, Montenegro's distribution system remains one of the few in 2025 without remote management capabilities. Today, we witness the long-awaited start of its implementation—a result of dedicated work, strategic planning, and the commitment of all involved parties.

The total value of this project is €35 million, of which €25 million is allocated for the implementation of the SCADA/ADMS system, while the remaining €10 million is earmarked for the procurement of next-generation smart meters. The project also aims to utilize a €5 million grant from the Western Balkans Investment Framework (WBIF) under the European Union.

These resources will transform Montenegro's electricity distribution system into a modern, reliable, and efficient network.

I want to emphasize that this project has been significantly enhanced compared to earlier plans. While previous versions only covered the central and southern parts of Montenegro, the updated two-phase implementation of SCADA/ADMS, with a total value of €25 million, will encompass the entire territory of Montenegro. This ensures that all distribution system users across the country will benefit equally from the project's implementation.

The key benefits of this project include improved reliability and quality of electricity supply, reflected in a significant reduction in the number and duration of power outages for users. Remote monitoring and management of the network enable faster responses to potential faults, lower maintenance costs, and elevate service standards to higher levels.

Additionally, the procurement of smart meters will provide users with more accurate insights into their electricity consumption, encourage more rational use of resources, and facilitate better cost management.

This partnership between CEDIS and the EBRD demonstrates how, with the support of international institutions, we can implement projects of strategic importance for our country.

I wish to express my gratitude to the European Bank for Reconstruction and Development for the trust they have placed in Montenegro, and to CEDIS for their dedication to implementing this demanding but extremely important project. Special thanks go to the Electric Power Company of Montenegro (EPCG), which provided essential support by issuing a guarantee, thereby enabling the realization of this project. EPCG's engagement highlights its readiness to be a key partner in advancing the energy sector, further strengthening our shared vision of modernization and sustainable development. The Government of Montenegro strongly supports this initiative and all future steps toward improving our energy infrastructure because we firmly believe that investing in infrastructure is investing in the future of Montenegro, concluded Deputy Prime Minister Milun Zogović.