Translated version of this PSD: Bosnian
Project description and objectives
The EBRD is considering extending a corporate loan to Nezavisni operator sistema u Bosni i Hercegovini (“ISO”) of up to EUR 8.5 million for i) upgrade of Emergency Management System (EMS) and Supervisory Control and Data Acquisition (SCADA) system; ii) implementation of new IT systems and iii) construction of ISO premises (the Project).
The Project is critical to the liberalisation and market opening process in Bosnia and Herzegovina (“BiH”). The state of the art EMS/SCADA systems will improve significantly the country’s power system reliability and stability and will be the first important step towards the full implementation of a smart grid in the country, leading to significant reduction of losses and grid carbon emissions.
The Project will support the integration of renewable power in the system and will help reduce losses and carbon intensity of the BiH energy sector in line with international best practices. State of the art SCADA, EMS and IT equipment will be installed, which will ensure ISO can perform its tasks in the unbundled and competitive environment.
The Project will create a platform for greater competition in BiH and allow for penetration of independent power producers. It will enable regional market integration and it will lead to improvements in cross-border trade and allocation of capacity.
The expected transition impact rating is ‘good’.
ISO is a state owned company responsible for operation of the electricity transmission system in Bosnia and Herzegovina.
Loan in the amount of up to EUR 8.5 million
Total project cost
EUR 8.5 million.
Environmental and social categorisation, impact, and mitigation
Categorised B (2014 ESP).
The environmental and social impacts associated with the introduction of SCADA and Emergency Management Systems are limited and should lead to improved operating efficiency. Environmental and social due diligence involved an appraisal of the project and a review of ISO's corporate EHS and labour management systems, including a review of environmental and social compliance under the existing loan with this client. This due diligence was carried out via a questionnaire and no significant issues were identified.
Two TC projects are expected to accompany this Project. The first will support the technical due diligence. The second TC will provide for technical support during project preparation and implementation.
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Project Complaint Mechanism (PCM)
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