Western Balkans will receive €680 million package from European Commission to promote clean energy and sustainable transport
The European Commission has announced a new € 680 million investment package for the Western Balkans to support 5 flagship projects in rail transport and renewable energy.
This is the 6th financial package under the European Union’s (E.U.’s) Economic and Investment Plan for the Western Balkans, which is expected to mobilise € 16.6 billion in investments. The projects have been prepared in close cooperation with the Western Balkans partners and international financial institutions.
Of these € 680 million, € 253.2 million would be in the form of E.U. grants from the Instrument for Pre-accession Assistance (IPA III), and favourable loans from international financing institutions.
Taking it to X, the President of the European Commission – Ursula von der Leyen tweeted,
We need decisive action, right now, to bring Western Balkan partners closer to us.
— Ursula von der Leyen (@vonderleyen) December 13, 2023
This is what the new Growth Plan for the Western Balkans is all about.
It has the potential to double the size of the region’s economy, within a decade ↓ https://t.co/YO9pYLJBg3
She further tweeted,
In an increasingly fragmented world, we need an even stronger & united community of values.
— Ursula von der Leyen (@vonderleyen) December 13, 2023
Enlargement is key to achieve that.
This is why it has been a priority since day one of my mandate.
And why I remain committed to a future with all Western Balkan partners in our Union pic.twitter.com/96S2T2XCVk
The 5 flagship projects cover 2 priority sectors of Sustainable Transport and Clean Energy. Under Sustainable Transport, the funds would be used for the reconstruction of the Corridor VIII railway line in Albania and the rehabilitation of the Bar – Vrbnica railway line in Montenegro. These projects will contribute to upgrading the Western Balkans’ railway transport to TEN-T standards and ensure integration with the E.U. railway network.
Under Clean Energy, the funds will help in the construction of 2 wind farms in Bosnia and Herzegovina. It will also include the deployment of a solar photovoltaic power plant in Albania. These projects will support the transition to low-carbon economies and foster sustainable development in the region.
As a part of Global Gateway, the E.U.’s Economic and Investment Plan for the Western Balkans aims to spur long-term recovery, accelerate a green and digital transition, as well as foster regional cooperation and convergence with the E.U. Adopted by the European Commission in October 2020, the Plan will mobilise up to € 30 billion in investments, including € 9 billion in E.U. grants. Following this new investment package, the E.U. is expected to mobilise € 16.6 billion in investments, including € 4.5 billion in E.U. grants.
