Power Sector Policy Reform - Summary of Achievements and Lessons Learned Report

31 May 2013


This report represents a summary of achievements and lessons learned during the implementation of project “Power Sector Policy Reform to Promote Small Hydropower Development in the Republic of Montenegro” from 2008 to 2013. In the interest of replicating successes and avoiding pitfalls, this analysis provides valuable input for other states wishing to stimulate, mainstream and commercialize the renewable energy markets based on the experiences encountered in the field.


  • As a direct result of project activities, the government issued 13 concessions for small hydro power plant construction (SHPP), with 10 construction permits pending for new SHPP and wind farms, and one SHPP was built with five more anticipated by the end of 2013.
  • Energy generation fueled by renewable sources helps meet the needs of rising energy demand and improves energy security.
  • Small hydropower is cost competitive, offers long-term sustainability, generates electricity without negative social or environmental impacts, and takes advantage of an abundant natural resource.
  • Although two large hydropower plants produce 76% of domestically generated power, the total energy they produce is only about 17% of the total hydropower potential.

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