Businesses on the Road to the Green Transition

Members of AmCham Serbia have been increasingly vocal in calling for consistent implementation of the Green Agenda, as shown by AmCham’s Lap Time surveys, in which the Green Agenda has risen into second place in 2024 from being ranked 11th on the list of priorities five years ago, registering the largest increase in perceived importance of any issue affecting the business environment identified in these studies.

This rapid growth in the significance of green policies in both energy and environmental protection has been driven by corporate policies, decarbonization requirements, and sustainable business principles, as well as the need for alignment with EU regulations that is a prerequisite for accessing European markets. With these concerns weighing heavily on the business community, the Businesses on the Road to the Green Transition conference focused closely on amendments to the Energy Law, soon to be debated in the Serbian Parliament.

“Consistent implementation of the Green Agenda is a strategic priority for AmCham, and energy, as a part of the Green Agenda, is a key factor in the ongoing decarbonization of the economy. This decarbonization is necessary both for companies to be competitive in the EU, our largest export market, and for all of us who live in Serbia to breathe cleaner air. AmCham is happy with its close and constructive cooperation with the Ministry of Mining and Energy on several issues, as well as with the progress made to date in the energy sector. Going forward, we are set to concentrate on monitoring the consistent implementation of new rules that will allow businesses to invest in their own green energy generation capacity and the continued development of large-scale renewable energy projects, as well as the synergy between the two through corporate power purchase agreements. We also welcome the first green power auctions, with a second round of these hopefully to follow by the end of this year, together with successful efforts to ensure the stability of the electricity grid and its continuous improvement. I hope the regulatory changes will equip SOEs in the energy sector with all the resources and tools they need to address these changes on their side”, said Stefan Lazarević, President of the AmCham Board of Governors.

“Amendments to the Energy Law are designed to improve the performance of the energy system and deliver greater energy security in both the short and the long term as the country shifts to clean energy. These changes to the law are also crucial for fully aligning the electricity market with European rules and for empowering and protecting final consumers. The new regulations will for the first time allow electricity generators to supply final consumers; introducing this option, long a priority for businesses, will promote private sector development. The energy transition concerns us all, and active involvement by businesses can serve as the engine of decarbonization in the energy sector”, commented Stefan Srbljanović, State Secretary at the Ministry of Mining and Energy.

The panel discussion at the conference was attended by Rade Mrdak, Advisor at the Ministry of Mining and Energy, Davor Pupovac, Director of the Market Research and Risk Management Department at Elektroprivreda Srbije, Nenad Šijaković, Assistant to the CEO for International and Regulatory Issues at Elektromreža Srbije, Dalibor Nikolić, Director of the Electricity Distribution System Directorate at Elektrodistribucija Srbije, and Jovan Šljivić, Senior Manager at the consultancy KPMG. The panelists highlighted the proposed amendments to the Energy Law and the innovations the new rules would introduce, including the active consumer concept and the prerequisites for its successful implementation, as well as the variety of roles to be played by the provider of guaranteed supply and the transmission and distribution system operators in this process. The panel also discussed amendments to procedures required for connection to the distribution and transmission grids and plans for future capacity enhancements. The participants also devoted time to opportunities for alignment with the Carbon Border Adjustment Mechanism (CBAM) and ways in which businesses could reduce their direct and indirect CO₂ emissions.