News, Interview with the Chairman of the Board of Directors
In the Montenegrin electricity transmission system (CGES) are satisfied with the realisation of the Montenegro-Italy subsea electricity interconnector project, especially considering the complexity and scale of the investment and the specific nature of the partnership between one of Europe's largest transmission system operators, Terna, and one of the smallest, CGES, said in an interview with 'Vijesti' , chairman of the board of directors of the Montenegrin company Dragan Laketić.
He admitted that CGES has been experiencing liquidity problems recently, but stressed that the capital investment for the construction of the undersea cable will be completed by the end of 2018.
What problems are you encountering with the construction of the undersea cable, and will this capital investment be completed by the end of 2018?
We are facing serious challenges, particularly concerning the construction of power lines, which are, to some extent, to be expected, as building power lines is a lengthy and arduous task throughout Europe. The main problems are related to the large number of sites, often on inaccessible terrain, where construction is taking place and access needs to be secured, the state of the cadastral records in certain cadastral municipalities, resolving a large number of property rights issues, resolving numerous conflicts between the power line route and its surroundings within the corridor defined by the spatial plan...Although the main contractors are renowned European companies, the inconsistency between domestic and European technical regulations, as well as some other specificities of a small market such as ours, have caused certain difficulties which have affected the desired pace of the works. Nevertheless, the answer to your question as to whether this capital investment will be completed by the end of 2018 is a positive one.
Could A2A's potential exit from Elektroprivreda affect the partnership relationship within CCES with the Italian company Tema?
'Elektroprivreda, and by extension the company A2A as one of EPCG's owners, are important partners for CGES with whom we strive to develop good business relations. However, in my opinion, any potential change in the ownership structure of EPCG should not have negative implications for the partnership between CGES and Terne'".
When will the loan be withdrawn for which the state provided guarantees as early as the middle of last year?
'I assume you are referring to the loan for the construction of the electricity infrastructure on the Luštica peninsula, for which a state guarantee is provided for in the Budget Law. The plan is to conclude the loan agreement during this year, and the schedule for drawing down the loan funds will be aligned with the project's implementation schedule.'
Are CGES having problems meeting its short-term obligations due to overdue liabilities?
As is known to the interested public, CGES has recently been experiencing liquidity problems which are, first and foremost, a consequence of the high level of receivables that CGES has held for a prolonged period. Given the high level of investment activity and the obligations that have arisen from it, it is essential to maintain the company's financial stability, and this will be very difficult without a swift resolution of our receivables.'
They hope to resolve the problem with EPCG.
Will CGES in 2017 finally collect the outstanding debt of 12 million from EPCG, or will it once again enter into some new out-of-court talks?
I sincerely hope that this year we will finally resolve this issue, either through legal proceedings or by agreement.
Institutional support and backing from all stakeholders are an essential prerequisite for success, particularly given the complexity and specificity of the problems we are addressing, whilst respecting the obligation to create the conditions for the performance of activities of public interest, for the benefit and satisfaction of our clients, as well as the shareholders and owners of energy entities.8221;.