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Home > Archives for Coal in the Balkans

Coal in the Balkans

High risk of corruption in Sostanj TES 6: Report by Slovenian Commission for the Prevention of Corruption (unofficial translation)

February 23, 2012

For many years TES 6 has been surrounded by rumours of corruption. In February 2012 the Slovene State Commission for the Prevention of Corruption published a report stating that acts of corruption could have influenced the awarding of the contract to French company ALSTOM and that the law on the state guarantee itself was initially drafted by employees of HSE, the owner of the Sostanj power complex. Slovene NGO Focus Association for Sustainable Development has translated the report to English. (The original report (in Slovenian language) is available for download here (pdf).)


Complaint to EBRD’s Public Complaint Mechanism: The Sostanj thermal power plant project

January 17, 2012

Bankwatch, Slovenian NGO Focus and Environmental Legal Service (CZ) ask the EBRD’s Project Complaint Mechanism to undertake a compliance review of whether the bank has complied with its Environmental and Social Policy 2008 in relation to two aspects of the Sostanj lignite thermal power plant: (a) Claims by the EBRD that the project in question is “CCS ready” and (b) the EBRD’s assessment of whether Slovenia can fulfil its obligations in meeting long-term EU climate goals if it undertakes the project.


Complaint regarding Sostanj TES6: CCS, public procurement, economic vialbility

January 9, 2012

The complaint, filed with the European Investment Bank by Environmental Law Service (CZ) and Focus Association for Sustainable Development (SI), outlines controversies in relation to the Sostanj lignite thermal power plant with regards to the following aspects: insubstantial allegation that the project is „carbon capture ready“ and that the assessment submitted by the operator fulfils the criteria set up by the relevant EU Directive, failure to comply with the relevant EU directive for public procurements, questionable economic viability of the project.


Poročilo CE Delft znižuje notranjo stopnjo donosa Teš 6

November 28, 2011

Neutemeljene predpostavke omogočajo večanje tveganj in če se ta uresničijo, lahko stopnja pade celo na 5,12 odstotka, je danes ob predstavitvi metodoloških napak investicijskega programa Teša 6 dejal Geert Warringa iz CE Delft.


Independent analysis questions economic viability of TES 6

November 28, 2011

Ljubljana – An independent analysis commissioned by Bankwatch and Focus published today reveals a number of unsubstantiated claims and methodological mistakes in the investment plan for the TEŠ 6 lignite plant in Slovenia. Correct calculations show that the internal rate of return is in reality lower than estimated by the project promoter, state-owned TEŠ. Had the rate of return been calculated properly, the project would not have qualified for the EIB loan of 440 million euros it is set to receive.


A critical examination of the investment proposals for Unit 6 of the Sostanj power plant

November 28, 2011

Four investment plans have been produced for the Sostanj lignite fired power plant in Slovenia with many differences in calculations and outcomes. This review of the latest investment plan illustrates a number of shortcomings including both methodological mistakes and unsubstantiated claims.


Sostanj power plant in Slovenia: Against EU laws and policies

November 21, 2011

The project is a plan to construct a sixth unit at the Sostanj lignite-fired power plant in Slovenia. It has received significant backing from European public banks adding up to more than 50% of the overall costs of the investment. Doubts about the economic viability of the project, alleged irregularities in the tendering procedure and its climate impact caused strong opposition to the project within Slovenia. A recent study conducted by an independent consultant as well as two complaints submitted to the European Commission by NGOs bring new arguments against TES 6.


EBRD support for Kolubara paving the “ash way” for development of Serbia

November 21, 2011

Linked to a slew of controversies, the Kolubara lignite mining project in Serbia is in line for support from European public banks. Corruption allegations, pollution at local level, irregularities in resettlement of local populations and not to forget a climate damaging approach to energy investments should be reason enough to find alternative options. An updated version of this briefing is available here (May 12, 2012).


Letter to EBRD re complaints against Sostanj power plant project

November 16, 2011

The letter notifies the EBRD of two complaints filed against the Sostanj lignite thermal power plant unit 6 project and calls on the EBRD to also undertake a thorough review of its involvement in the project, as it seems that when approving the project, some relevant facts were omitted by the bank.


Complaint to European Commission: Public procurement procedure for the Sostanj lignite power plant

November 2, 2011


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