On 22nd of October the new biomass heating unit, with capacity of 1.8 MW,  was opened in Municipality of Priboj.

The new boilers on woodchips will supply heat to five public institutions –  four primary and secondary schools and the children’s dispensary.

Construction of new boiler house and small heating grid was funded by Government of Republic of Serbia, through the Public Investment Management Office. The value of the investment is 126 million dinars. Technical support was provided by German Development Organisation (GIZ), through the DKTI programme Development of a Sustainable Bioenergy Market in Serbia.

With this project, the Municipality of Priboj has significantly developed the heating conditions on their territory, but on the same time has enhanced municipal economic growth and more rational budget spending.

The private sector in Priboj has already invested in the equipment for woodchips production. Supply of the raw materials within the region has a direct impact on new working places creation.

Opening of new heating unit was only part of municipal strategy, aiming to switch all heating systems in Priboj to usage of ecologically friendly fuels. The frist phase was small boiler house on pellet, with capacity of 0.9 MW. Within the third phase, the trilateral agreement between German Development Bank KfW, Ministry of Mining and Energy and Ministry of Economic, for the project of construction of heating unit with capacity of 8 MW, was recently singed. The value of investment is 6 million euros.

A few weeks ago, good practice example for Priboj was presented at the International Conference for Biomass and Energy Efficiency in Berlin.