Construction of the Gvozd wind farm on the Krnovo plateau near Nikšić is entering its final phase, with the first electricity from the turbines expected to reach the grid earlier than originally planned. According to project updates, initial power generation could begin around four months ahead of schedule, marking a significant milestone in Montenegro’s renewable energy transition.
The wind farm represents a strategic addition to Montenegro’s electricity system, which has historically relied on hydropower and the Pljevlja coal-fired power plant for a large share of domestic generation. Once operational, the project will become the first major renewable energy facility built directly by the state-owned utility Elektroprivreda Crne Gore (EPCG) in more than four decades, signalling a new investment cycle in domestic generation capacity.
Located in the high-wind corridor of the Krnovo plateau, the facility will initially operate with eight wind turbines with a combined installed capacity of 54.6 MW. The plant is expected to produce roughly 150 GWh of electricity annually, an amount sufficient to supply the consumption of approximately 25,000 households.
The project also forms part of a broader renewable energy expansion strategy led by EPCG. The wind park is designed in phases, with a second stage planned to increase total installed capacity to roughly 75 MW, adding additional turbines and raising annual electricity generation to more than 210 GWh once fully completed.
Financing for the project has been supported by international financial institutions. The European Bank for Reconstruction and Development (EBRD) provided a major loan package exceeding €100 million to support construction and expansion of the wind farm through the two-phase development structure.
Beyond the direct addition of renewable capacity, the project also required significant grid-connection infrastructure. The development includes a 33/110 kV substation at Gvozd, extensions to the existing Krnovo substation, and new 110 kV transmission lines connecting the wind farm to Montenegro’s transmission network.
In system terms, Gvozd is expected to strengthen Montenegro’s energy diversification efforts. The country’s electricity generation mix has long been dominated by hydropower, leaving the system vulnerable to hydrological variability in dry years. The addition of wind generation introduces a complementary resource profile that can support energy security while lowering carbon emissions.
The wind farm also has a regional dimension. Montenegro already hosts the Krnovo and Možura wind parks, both developed with international partners, but the Gvozd facility is particularly significant because it represents a domestically led renewable project within the EPCG portfolio. Its completion signals a shift toward greater direct involvement of the national utility in renewable generation development.
Once fully commissioned, the project is expected to avoid tens of thousands of tonnes of carbon emissions annually while contributing to Montenegro’s long-term decarbonisation objectives and alignment with European climate policy. In practical terms, the start of electricity production from Gvozd will mark the beginning of a new phase in Montenegro’s energy sector—one in which wind power plays a more visible role alongside hydropower in the national generation mix.
