Tiziano Giovannetti, Executive Manager at MK Fintel Wind - Only cooperation of the government and investors can use wind energy

Tiziano Giovannetti (Photo: Miloš Vlahović)

In mid-November, MK Fintel Wind officially opened a wind park in Kula. Tiziano Giovannetti, the Executive Manager at Fintel Energia Spa and MK Fintel Wind, in his interview for eKapija says EUR 15 m was invested in the construction in the construction of the first wind park in Serbia and that three wind generators of the biggest world producer Vestas from Denmark will produce app. 27 m Kwh green energy.

- It is sufficient for the needs of nearly eight thousand households. Apart from the importance of the wind park itself for energy system, with this project we created terms for opening some 50 new vacancies in Serbia - Giovannetti says and announces further investments in wind energy in Serbia.

eKapija: How long did entire process from the decision to build a wind park in Kula through location selection to opening last?

- In 2007, MK Fintel Wind together with other investors gathered in the Serbian association for wind energy started project development, We needed six years to collect entire documentation, permits, built and opened the first wind park in Kula.

eKapija: To what extent are companies from Serbia engaged on the project of wind park construction in Kula?

- Apart from hires of solely local residents at the positions for maintenance of wind parks, in preparation works on construction of wind park Kula, concrete and steel from Serbia were hired, local companies and design companies also. This and similar investments which are planned, will contribute to employment rate reduction since we will engage solely Serbian employees in the future.

eKapija: You announced construction of wind park in Vrsac as well. What is the status of that project?

(Photo: Miloš Vlahović)

- After the opening of a wind park in Kula, our plans are focused on wind park near Vrsac which will supply app. 5500 households with green energy. We are near the end of construction works.

eKapija: You received construction permit for wind park in Veliko Gradiste. What are the plans for that project?

- Early this summer we got a construction permit for 9,0 megawatts of wind park in Veliko Gradiste in central Serbia. As for wind park "Ram" in Veliko Gradiste, when it comes to this project, we are at the level of funding and negotiations with financial institutions. In the upcoming period, after completion of our projects in South Banat, we will focus on Ram wind park as well.

eKapija: How important is it for you a foreign investor in Serbia to have big local company such MK Group as a partner?

- MK Group is one of the biggest business systems in Serbia and it is definitely useful for investors to have partnership with local lieder companies and mainly since they know local market the best.

eKapija: At the moment, you are selling electricity to EPS. Are you planning to deliver it directly to end users in the future?

- If enabled through legislation and if trading in electricity develops, it should be considered. As for now, we are focused on construction and exploitation of wind parks.

eKapija: How complicated was to collect all necessary permits?

- Period from starting the first wind park to its opening speaks most about complexity of the process and procedures for obtaining all necessary permits. There is still extensive bureucrarcy and administration which must be obeyed and at the same time they extend construction and opening.

eKapija: You could read in media that the construction of wind park was halted with non-existence of some legal and by legal documents which make it more difficult for investors to get banking loans. What is the situation like now?

(Photo: Miloš Vlahović)

- During collection of necessary documentation and all necessary permits, at one moment legislation framework was not convenient for financial institutions which monitor all that and fund. At the same time, administration earlier did not have experience with wind power plants. Today, the situation is much better. Legislation more clearly “sees” wind parks but there is a space for further progress definitely.

eKapija: By 2020, Serbia should increase stake of REI in final consumption from current 20 to 27%. Do you this is feasible?

-With focus on renewable sources and better exploitation of potential, I think it is feasible. If we want to join EU and keep up with their standards, we must focus on diversification of energy sources since only increase in production capacities using our own fuel economic stability and independency of the country could strengthen.

eKapija: How much could, according to your estimation, Serbia have energy generated from wind? Is it 500 MW for which the Government provides incentives or could it be even higher?

-As for capacity increase for which incentives are provided, we are realistic about that and trying to see the situation from both perspectives: from the one who provides incentives and investors. We have a few projects which are ready for construction and if the Government and responsible ministers estimate and increase incentive quota, it is sure we will be ready for additional investments in production capacities.