Bosnia and Herzegovina Advances Largest Energy Project in Years

Bosnia and Herzegovina is developing what is being described as its largest energy project, centered on the construction of a major hydropower system on the Drina River. The project, backed by regional cooperation and significant financial investment, is expected to substantially increase electricity generation capacity while strengthening long-term energy security.

Beyond boosting output, the initiative is also framed as a strategic effort to modernise the country’s energy sector and better utilise its natural resources.

However, large-scale hydropower developments continue to raise questions around environmental impact, regulatory oversight, and cross-border coordination, all of which remain key considerations as the project progresses. Nedeljko Elek, director of Sarajevo-gas, said that the future gas pipeline is expected to be completed within four years and is a crucial project for Republika Srpska.

As planning and implementation advance, the project underscores Bosnia and Herzegovina’s broader push to reinforce its role in regional energy markets while balancing sustainability concerns with growing demand.