Prishtina, 22 November, 2023
The Prime Minister of the Republic of Kosovo, Albin Kurti, participated today in the launch of subsidy measures for efficient heating equipment for micro, small and medium enterprises.
In his speech, he was very happy that together we are launching the sixth measure in a row – the energy efficiency program for micro, small and medium enterprises, following the successes of the energy efficiency programs in the residential sector.
“By investing in efficient equipment, businesses will save significantly on their electricity bills. This measure will directly affect not only their budget but also the state budget. The more successful the private sector, the better the local economy and the budget of the Republic,” said the Prime Minister.
Energy efficiency is one of the cost-effective measures that we can undertake, so even now, we continue to support Kosovar businesses to invest in more sustainable and long-term investments, he added.
Also, in addition to the energy efficiency measures, the prime minister listed the three main actions that have been undertaken so far to reduce the impact of the energy crisis on businesses and families. The first is to subsidize new tariffs for every household and business in the country from February 2022; the second is subsidizing electricity bills for thrifty families, and the third – additional subsidy for vulnerable low-income families.
Meanwhile, the Minister of Economy, Artane Rizvanolli said on this occasion that they are working on new generating capacities, with a series of projects of 1.2 billion euros that will be developed and tendered over two years, and all of this in renewable sources of solar energy and wind, as well as battery capacities for accumulation and for frequency stabilization, which technically enables to increase flexibility and enable the integration of these projects in the energy system. She added that last year, for the first time, there was a subsidy measure for households with 5 million euros, with which about nine thousand families were subsidized. About 40% reduced electricity consumption in subsidized families, this was done within the 75 million euro emergency package from the European Union.
The Minister of Industry, Entrepreneurship and Trade, Rozeta Hajdari, said that the Minister has drawn up an ambitious strategy for the development of industry and the support of businesses, which was approved in June of this year, and through this strategy it is intended to improve the business environment in Kosovo.
This year, for the first time, it is investing a record figure of 35 million euros in energy efficiency programs for the residential sector and businesses – which is the largest amount ever invested in Kosovo. This investment was made possible thanks to the support from the European Commission within the emergency energy package of 75 million euros. For this, Prime Minister Kurti expressed his gratitude and thanks.
The measures that were presented are aimed at supporting micro, small and medium-sized businesses, as an investment in the installation of efficient heating equipment, which includes: Heat pump; Air conditioning/efficient climate (air-to-air heat pump inverter type with high efficiency); Biomass boilers (wood, pellets, briquettes); Individual biomass stove.
The launch and presentation of the measures took place at the Digital Technology Park “Tech Park Prishtina” in Bërnica, an investment of 1.2 million euros by the Government of Kosovo, which was inaugurated in October of this year.
The subsidy application is divided into two phases and in both phases the application is made online through the e-Kosova platform: https://rks-gov.net/476
The deadline for applications for the first phase is December 12, 2023 or until the budget allocated for this call is spent. Applications received in the first phase will be reviewed based on the principle “Who applies first, first served”. Meanwhile, the deadline for the second phase is until January 10, 2024.
You can find the complete call information in the link: https://me.rks-gov.net/wp-content/uploads/2023/11/1Draft-final-21-11-2023-NMVM-Thirrja-per-Pajisje-ngrohese-eficiente.docx
The Prime Minister’s complete speech:
Honorable Minister of Economy, Mrs. Artane Rizvanolli,
Honorable Minister of Industry, Entrepreneurship and Trade, Mrs. Rozeta Hajdari,
The honorable Mr. Alessandro Bianciardi, representative of the European Union office in Kosovo,
Dear citizens and business representatives,
Ladies and gentleman,
Dear attendees,
Thank you all for being here today with us at the launch of the energy efficiency program for Micro, Small and Medium Enterprises.
This year, for the first time, a record amount of 35 million euros is being invested in energy efficiency programs for the residential sector and businesses – which is also the largest amount ever invested in Kosovo. This investment was made possible thanks to the support from the European Commission within the emergency energy package of 75 million euros.
In the framework of the implementation of the national program, starting from the spring of this year, we started with a series of measures.
We have launched the program for energy efficiency for social housing buildings, worth 10 million euros, from which 13 municipalities benefit for the renovation and adaptation for efficiency of 28 social housing buildings.
In August, we then continued with the opening of the call for thermal insulation of houses for citizens, also worth 10 million euros, for which we received 2,000 applications.
In the same month, also opened the call for the subsidy of efficient household appliances and solar system for heating sanitary water, to continue further with the opening of the call for the subsidy of efficient heating equipment. This program also has a value of 10 million euros and the number of citizens who have applied for the three schemes is over 20 thousand.
After the successes of the energy efficiency programs in the residential sector, from there we are also expanding into the business sector – that is why we have gathered here today.
Therefore, I am very happy that together we are launching the sixth measure in a row – the energy efficiency program for micro, small and medium enterprises.
It is already known to all of us that the war in Ukraine has caused fluctuations in the energy market, the prices of electricity and natural gas have increased significantly. Although Kosovo’s main source is lignite, easily extractable, we are affected by these prices, especially during the winter season when consumption is higher mainly due to heating with electricity. Consequently, we were forced to import at high prices.
To reduce the impact of the energy crisis on businesses and households – we have done three main things, the first is – we have subsidized the new tariffs for every household and business in the country since February 2022; the second – we subsidized electricity bills for thrifty families, we rewarded the family that saved; and the third – additional subsidy for vulnerable low-income families because we know how poverty becomes a disease when needs are great and support is lacking.
Energy efficiency is one of the cost-effective measures that we can undertake as a state at this time, so even now, we continue to support Kosovar businesses to invest in more sustainable and long-term investments.
The energy sector is a sector of strategic importance for the economic development of our country, and there is no doubt that the doubling of exports that has occurred during these two and a half years is an important factor, as is the cheap price of electricity for all businesses of municipalities of Kosovo. But also the reliable and safe supply of energy is a priority for our Government, in addition to being an affordable price.
We have proven this with the start of one of the largest and most innovative projects in our country that we have started, such as the construction of energy storage capacities with a capacity of 170 MWh for two hours, i.e. a total of 340 MWh of energy, solar central heating with a capacity of 50 MW, the solar park in KEK with a capacity of 100 MW, the launch of the first auction of solar technology with a capacity of 100 MW, the application is open until January 31 of the next year. Meanwhile, in the middle of next year, we will also have the auction for 150 MW of energy generated again from renewable sources, but this time from the wind.
By investing in efficient equipment, businesses will save significantly on their electricity bills. This measure will directly affect not only their budget but also the state budget. The more successful the private sector, the better the local economy and the budget of the Republic.
The programs for the implementation of energy efficiency measures in the residential sector have been comprehensive, offering special support to self-supporting parents and citizens in support of the social scheme, because where the needs are greater, we must intervene more and faster.
For businesses we have a similar approach by offering the highest subsidy support to businesses owned or co-owned by women from fifty one percent (51%) onwards as we believe that we cannot have social equality without having equality gender and I belong to that stream of macroeconomic thought that the smaller the inequality in society, the greater the aggregate demand in the economy.
The launch of this program financed by the European Commission shows the continuous support of our friends for the development of the economy of the Republic of Kosovo, therefore I thank the EU Office and the European Commission for the support they have offered us and have given to us. We are forever grateful!
Thank you all.
Last modified: November 24, 2023