Andritz wins contract for turbine upgrade in Serbia’s Vlasina hydropower cascade

Serbia’s effort to keep aging hydro assets reliable is moving into a new phase, with Austria’s Andritz selected to provide major equipment for the modernization of the Vlasina hydropower plants. The scope centers on turbine replacement across multiple generating units, a step intended to strengthen performance while allowing power output to continue during reconstruction.

Turbine supply contract tied to broader Vlasina revitalization

The agreement was awarded through Serbian contractor Energotehnika Južna Bačka, with Andritz’s share reportedly valued in the low double-digit million euro range. The work supports the wider revitalization of the Vlasina cascade, an electricity-system component that has been operating since 1955 and remains embedded in Serbia’s grid for decades.

The Vrla River complex comprises four hydropower plants currently delivering about 130 MW of installed capacity. After the upgrade, it is expected to gain an additional 8 MW, alongside improvements aimed at reliability and operational longevity.

Design, production and commissioning supervision for ten units

Under the contract terms, Andritz will cover design, production, and supervision for installation and commissioning of ten turbine units. The equipment mix includes four Pelton turbines and six Francis turbines, together with associated items required for integration into the existing facilities.

A key operational requirement is continuity: the project is structured so that electricity generation can continue throughout reconstruction, reducing potential risks to power supply stability.

State-led program backed by EBRD loan and EU grant

The modernization is being carried out as part of a program led by state-owned EPS, supported by international financing including the European Bank for Reconstruction and Development (EBRD). The initiative seeks higher efficiency, improved safety standards, and stronger dependability—objectives aligned with expanding Serbia’s renewable energy capacity.

The broader Vlasina revitalization project—valued at nearly €110 million—entered its implementation phase in February following a launch meeting involving EPS and project partners.

Project participants and funding package

Alongside Energotehnika Južna Bačka and Andritz Hydro, other named participants include Gamesa Electric and subcontractor Gosa Montaža. The Mihajlo Pupin Institute is tasked with upgrading the control system, while supervision is handled by the Swiss-Serbian consortium Gruner-NET Invest.

The financing package combines a €67 million EBRD loan, a €15.43 million EU grant delivered through the Western Balkans Investment Framework (WBIF), and €27.26 million contributed by EPS.

Why timing matters for EPS given plant complexity

EPS CEO Dušan Živković highlighted that continued modernization remains strategically important, stressing adherence to the agreed implementation schedule. He pointed out that although the Vlasina system has a nominal capacity of 129 MW, execution complexity stems from upgrading four separate plants and ten generating units that have been running for more than 70 years.

Cascade hydropower role in peak demand coverage

The Vlasina hydropower plants occupy a distinctive position within EPS’s generation portfolio because they operate as a cascade system, producing electricity in successive stages. That configuration makes them particularly relevant for peak-load generation, reinforcing their importance within Serbia’s broader electricity system.