Elektroprivreda Srbije (EPS) has issued a response to an article by New Economy addressing concerns over electricity prices, stating that it does not purchase electricity at stock market prices but at pre-contracted, more favorable rates. However, the denial fails to provide clear and detailed information about the exact prices at which EPS buys its electricity, especially when the public, as the company’s owner, is footing the bill.
One key issue with EPS’s response is the absence of information regarding both planned and unplanned breakdowns, which have significantly impacted Serbia’s energy situation in the past. The public is left with questions about how these incidents could affect pricing and supply in the future.
EPS also touched on coal-related issues but failed to address the key topic of energy prices, offering no substantial clarification on the costs of electricity. Instead, the memo attempts to shift focus by boasting about EPS’s profitability in recent years, despite significant concerns about its performance in 2024. The company, under new management, reported earnings far below expectations—nearly half a billion euros lower than the previous plan—and its investment targets were also scaled back.
EPS also defended its approach to clean energy, citing instances when it purchased green energy at negative prices. However, despite benefiting from these cheap green energy deals, EPS seems reluctant to fully embrace them. The company’s claim that Serbia’s energy needs cannot be met solely by renewable sources overlooks the limited contribution of wind energy to the country’s total electricity production. Experts suggest EPS could benefit from consulting with their own advisors, especially those with experience in countries like Norway, where wind energy accounts for over 9% of electricity production.
In closing, EPS’s denial seems to reinforce the main argument of the article—that it is more cost-effective for the company to buy green energy produced in Serbia rather than relying on expensive imported electricity. The denial raises important questions about transparency and the company’s strategy moving forward, particularly regarding the exact prices EPS paid for imported electricity in late 2024 and early 2025.
As EPS continues to face scrutiny over its operations and leadership changes, answering these questions would be crucial for public trust and the company’s long-term viability.
