Montenegro is preparing a major reform of its renewable energy planning framework through the introduction of dedicated Energy Zones, a system designed to identify and pre-approve areas most suitable for solar, wind and other renewable energy projects. The initiative aims to reduce permitting delays, provide greater certainty for investors and align the country with evolving European Union renewable energy regulations.
Under the planned approach, state institutions will map areas with the highest renewable energy potential while simultaneously assessing environmental, spatial-planning and grid-connection constraints. The objective is to create a transparent development framework where investors can focus on locations already identified as technically and environmentally suitable for energy projects.
The reform mirrors the EU concept of Renewables Acceleration Areas (RAA) introduced through the revised Renewable Energy Directive. These zones are intended to shorten project development timelines by directing renewable investments toward locations with lower environmental conflict and stronger infrastructure availability.
For Montenegro, the timing is significant. The country is experiencing an unprecedented wave of renewable energy development proposals. Major projects include the Briska Gora solar complex near Ulcinj, continued expansion of wind generation following the commissioning of Krnovo, Možura and the new Gvozd wind farm, as well as multiple utility-scale solar projects under development around Podgorica and Nikšić.
The mapping exercise is expected to address one of the largest obstacles facing investors today: uncertainty regarding land suitability, environmental restrictions and transmission-system capacity. Numerous renewable projects across Southeast Europe have encountered delays due to environmental reviews, spatial planning conflicts and limited grid access. By identifying preferred development areas in advance, Montenegro hopes to reduce project risk and improve investment visibility.
Recent studies examining renewable development potential in Montenegro suggest that the country possesses exceptionally large low-conflict renewable resources. Analysis conducted under the MEGA (Montenegro Energy Growth and Acceleration) initiative identified potential for approximately 15,630 MW of solar capacity and around 650 MW of wind capacity on land considered suitable for development with relatively limited environmental conflicts. The study concluded that only a fraction of these identified areas would be sufficient to cover Montenegro’s current electricity consumption requirements.
The introduction of Energy Zones also carries important implications for the electricity market. Montenegro is moving toward deeper integration with the European electricity market while simultaneously seeking to increase domestic renewable generation. Government officials and industry representatives have increasingly emphasized that additional renewable investment is essential to stabilize long-term electricity prices and reduce exposure to imported energy and carbon-related costs.
From an investor perspective, the initiative could become one of the most important energy-sector reforms undertaken since the development of the country’s first commercial wind farms. Clearly designated energy zones would improve project bankability, simplify due diligence, support transmission planning and provide lenders with greater confidence regarding permitting outcomes.
For Montenegro’s energy transition, the measure represents a shift from project-by-project development toward a more strategic national planning model. As the country advances toward EU membership and pursues higher renewable energy targets, Energy Zones could become the foundation for the next generation of utility-scale solar, wind and battery storage investments, particularly in areas where grid infrastructure and renewable resources can be developed simultaneously.
