Ivovik Wind Farm: Helping BiH’s Energy Transformation

84MW Ivovik Wind Farm in BiH

Jointly funded and constructed by CNTIC under Genertec International and POWERCHINA Resources Ltd., with a total expected investment of 133 million euros, the wind farm is the first energy project invested and constructed based on a concession contract in BiH. When completed, it will become the largest new energy power generation project in BiH, as well as the largest energy project invested by Chinese enterprises in the Southeastern European country. It can help improve the surrounding environment, enhance the quality and stability of the local ecosystem, promote the transformation and upgrading of the energy structure of BiH, and propel the implementation of the country’s carbon emission reduction plan to achieve sustainable economic development.

1、Protecting Biological Diversity

Upon completion, the project is expected to reduce carbon dioxide emissions by 240,000 tonnes, reduce carbon dust emissions by 70,000 tonnes, and save 100,000 tonnes of standard coal per year, which will help BiH improve the level of clean energy utilization and accelerate green and low-carbon development.

In order to protect local biodiversity, the project team painted a top section of each blade in red to help birds identify and avert the wind turbines, protecting them from being harmed. They also carried out bird monitoring and water quality monitoring in and around the wind farm site to ensure that the construction and subsequent operation of the project will have no impact on the surrounding ecological environment.

A wind turbine blade with a red section at the top

The project site is also the habitat of wild horses. In order to protect the wild horses’ home, the project team worked with the local wild horse preservation association to search the traces of herds of wild horses on the plateau 1,200 meters above sea level in Livno to offer them salt. They also repaired the natural watering troughs of the wild horses in the project area to improve the habitat for the animal. All these efforts were aimed to promote harmony between man and nature.

Wild horses galloping across the plateau where the project is located

2、Garnering Honors from BiH Government

The project has been fully recognized by local authorities for its adoption of low-carbon and environmentally friendly concepts and green technologies. In 2022, the minister of the Federal Ministry of Energy, Mining and Industry of BiH issued a letter of confirmation classifying the Ivovik Wind Farm as a national key project that is conducive to the country’s goal of “carbon peaking and carbon neutrality” and aligned with the public interest of the State and Federation of Bosnia and Herzegovina. The government of BiH welcomes and supports Chinese investment in the Ivovik project, creating favorable conditions for project contractors to handle affairs such as acquiring work permit and residence permit, tax registration, and customs clearance.

When operational, the project will contribute 1.5 percent of its annual revenue to the canton where the project is located, and another 1 percent to Livno and Tomislavgrad, where the project is located, to drive local economic development. At the Most Significant Foreign Investor of the Year 2022 award ceremony held by the Foreign Investment Promotion Agency (FIPA) of BiH in East Sarajevo in December 2022, the Ivovik Wind Farm project won the Most Significant Foreign Investor of 2022 award.

3、Advancing Green Development with Innovative Financing

By leveraging domestic and foreign financial institutions’ commitment to supporting the “carbon peaking and carbon neutrality” goals and promoting the construction of a Green Belt and Road, Genertec CNTIC has successfully obtained a green loan by acquiring a “domestic guarantee and foreign loan” financing guarantee issued by China Export & Credit Insurance Corporation (Sinosure) to DBS Bank Hong Kong Branch. This financing guarantee marked the first green loan guaranteed by Sinosure and the first green loan between DBS Bank Hong Kong Branch and CNTIC. In addition, in collaboration with Siyuan Fund, the Ivovik project has successfully achieved financing closure and dual-currency withdrawal in RMB and Euro, becoming CNTIC’s first overseas power plant investment project to attract the participation of state-owned fund and close financing with innovative mode.

4、Enhancing the Public’s Awareness of Low-carbon Development

Through a variety of exchange activities with local people, government, and institutions, the project has provided great support for the promotion of low-carbon development concept and the development of low-carbon projects in BiH, which enhanced local community’s recognition and support for the wind farm and other renewable energy investment and construction projects. Continuous interactions with local community helped the project team win recognition and praise from local residents, community, and mainstream media, creating a favorable external environment for the project construction.