Serbian DSO receives €80m loan for 400,000 smart meters
The announcement was made during the first visit to Serbia for EIB vice-president Robert de Groot, responsible for the Western Balkans, during a signature ceremony. Image courtesy EIB.
The European Investment Bank (EIB) has announced an €80 million ($86.7 million) loan with Elektrodistribucija Srbije d.o.o (EDS), a Serbian electricity distribution company, to replace obsolete electromechanical metering devices with around 400,000 smart meters.
As part of a wider electricity grid modernisation programme, the installation of new smart meters will help the Serbian distribution system operator reduce electricity losses, improve collection rates and facilitate the integration of renewables in the near future.
By supporting the rollout of advanced electricity meters, the EIB funds will help Serbia promote energy efficiency, implement optimised tariff methods and provide a reliable electricity supply.
The project will be co-financed by the European Bank for Reconstruction and Development (EBRD) and the EU budget contribution channelled under the Western Balkans Energy Support Package, which was adopted in 2022 to increase energy security in the region.
The loan was announced alongside a €16 million ($17.4 million) EU grant under the Western Balkans Investment Framework to enable the removal of sunken vessels from the stretch of the Danube River between Serbia and Romania, one of the most important rivers in Europe.
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Commenting in a release was EIB vice-president Robert de Groot: “Today’s signatures are a testimony to the EIB’s commitment to enhancing sustainable connectivity in Serbia, in line with the EIB’s role as the EU climate bank and the country’s green transition goals.
“The investments will benefit people in Serbia by providing more reliable and efficient transport and energy infrastructure and will also support the country’s and the region’s economic growth.”
Added minister of mining and energy Dubravka Đedović Handanović: “Today we have signed an €80 million loan agreement with the European Investment Bank to replace 400 000 existing meters and instal new ones that use the most advanced technology.
“This will help to reduce electricity losses and meter reading errors and lead to more efficient consumption management and the easier integration of renewable energy sources in our country.
“The European Union has already donated €110 million ($119.1 million) for the installation of over half a million new meters and we plan to replace most of the existing meters by the end of the decade. We need to make sure our distribution system uses the latest technology to ensure a safer and better supply of electricity for all our people.”
The EIB has been active in Serbia since 1977, providing finance to support key infrastructure projects as well as small and medium enterprises (SMEs), industry, services and local authorities.
Since it began operating in the country, it has enabled over €8 billion ($8.7 billion) of investment in SMEs and in upgrading transport, education, healthcare and utility infrastructure.
