Two solutions for EPCG menagement

The newspaper writes that the two delegations of EPCG have frequent telephone conferences towards the end of the year when they finally have to sign a new form of cooperation.

Representatives of the Italian company A2A and the Government of Montenegro today have an important conference call in which they expect to make a decision on whether to have shared management in Elektroprivreda (EPCG) or the Italians would get the right of management over EPCG for five more years, with indicators that will have to be fulfilled, learned Pobjeda.

The main stumbling block is the construction of another thermal power plant in Pljevlja. EPCG should be the investor of the project for which compete Chinese company Hubei Power and Skoda Praha, at a price of 277, or 356 million Euros.

Resistance of the A2A to this project is based on two facts. One is that the Italian company, that five years ago invested 430 million in the purchase of 42 percent of the shares of EPCG, has not regained a cent.

Another factor is that their suggestion to solve the KAP debt to EPCG, worth 44 million Euros, through the payment of VAT. This proposal was met with huge resistance in political and civil sectors, KAP was sold for 28 million euros, of which EPCG will not gain a cent, so the last year’s positive operating result of the company was annulled and dividends were not payed.

The initial position of A2A was, according to Pobjeda’s information, to oppose the construction of the second block, if the investor is EPCG. Delegation of the Government in the negotiations, led by Prime Minister Milo Djukanovic, is doing everything to convince Italians to refrain from such decisions.

A2A Owners, assemblies of cities of Milan and Brescia, its resistence base on the annual operations of EPCG. For the nine months the company made profit worth 18.2 million, 6.1 million less than last year.

Izvor: RTV Montenegro