Serbia Receives 600 million dollars in support for the modernization of its natural gas transmission network and underground gas storage

The World Bank has approved a 600 million dollars program for the development of Serbia’s gas sector, aimed at modernizing infrastructure and enhancing the security and reliability of energy supplies. The funding will be disbursed in phases over the next ten years, with the first investments directed toward the transmission network and institutional development of the sector, BalkanEngineer.com learned from a World Bank press release.

The first phase is valued at 170 million euros, or approximately 195.5 million dollars, and will begin with the Trpale–Pojate main gas pipeline. The project is intended to remove existing constraints on natural gas transmission and improve the country’s supply capabilities; in parallel with the infrastructure activities, the program also calls for the development of technical and organizational capacity in the sector.

The program also covers underground natural gas storage. Investments are planned to improve this infrastructure so that Serbia has greater flexibility in coping with seasonal fluctuations in consumption and changes in supply. Alongside the physical infrastructure, regulatory and planning mechanisms for managing the gas sector will be developed. A Multiphase Programmatic Approach (MPA) has been selected for implementation, allowing individual investments to be carried out sequentially over a ten-year period. The World Bank expects other development partners and private-sector representatives to join in the subsequent phases.

The program is linked to broader changes in Serbia’s energy sector, where natural gas is viewed as part of the transition toward reducing dependence on coal and petroleum products and increasing the share of alternative energy sources. Investments in transmission and storage are expected to ensure more reliable supplies for households, industrial consumers, businesses, and district heating companies across the country.

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