Montenegro grants 10-month extension for EPCG’s Otilovići small hydropower preparatory phase

Montenegro has approved additional time for the completion of an early phase of a small hydropower project led by the state-owned utility Elektroprivreda Crne Gore (EPCG), underscoring how permitting timelines can shape renewable build-outs even after work starts. A new agreement signed with the Ministry of Energy and Mining grants a ten-month extension for the first stage of the Otilovići SHPP project near Pljevlja.

The decision represents the third amendment to the original concession agreement concluded in 2022. Earlier this year, EPCG accelerated progress by appointing Vigoris Ecotech to manage both design and construction activities after several unsuccessful tender procedures.

Revised timeline targets construction permit by late September 2026

Under the updated schedule, EPCG expects to secure a construction permit by late September 2026, which would formally complete the preparatory phase. The original requirement was to finalize technical documentation and obtain all necessary permits within 18 months, but repeated delays prompted successive deadline extensions.

After completion of the first stage, the second stage will shift to construction and commissioning. The concession agreement sets out a planned duration of two years for that phase.

Planned capacity and expected output

The facility is designed to include two horizontal Francis turbine units with a total installed capacity of approximately 3.2 MW. Once operational, it is expected to generate around 11 GWh of electricity annually—enough energy to match the consumption of roughly 1,800 households—supporting Montenegro’s wider renewable energy expansion objectives.