Bosnia And Herzegovina: European Union And Its Bank EIB Global Support Construction Of Vlašić Wind Farm

The loan comes in addition to the €21 million in grants allocated by the European Union in December 2023 through the Western Balkans Investment Fund (WBIF).

Aligned with national strategies for renewable energy, the plant includes up to 18 wind turbines and their connection to the national energy grid and is expected to produce 115 GWh/year of electricity. This production is equivalent to the energy demand of 20 000 households and will displace 140 000 tons of CO₂ a year. Beyond contributing to the country’s renewable energy goals and reducing reliance on coal, this project will support the transition to a low-carbon economy and foster sustainable development.

In view of Bosnia and Herzegovina’s commitments to the implementation of the Green Agenda, the country has already started investing in renewable energy production, which will help fight climate change, ensure clean air and boost the national economy. 

The Vlašić Wind Power Plant project — estimated at over €91 million — has been identified as falling under Flagship 4 — Renewable energy in the EU Economic and Investment Plan. The European Union allocated in total €21 million in grants for its construction. In addition to the EU funds, Bosnia and Herzegovina is providing a contribution of €16.7 million, while the KfW development bank is offering a €16.5 million loan.

In addition, the EIB has provided around €300 000 in technical assistance grants under its Economic Resilience Initiative for the development of this flagship renewable energy project, with the goal of supporting resilient and inclusive growth in the Western Balkans. The investment is expected to be implemented in cooperation with Germany’s KfW development bank under the Mutual Reliance Initiative (MRI), which is able to offer not only financing, but also expertise.