1. SERBIA IN ЕUROPE

2. REPUBLIC OF SERBIA MINISTRY OF INFRASTRUCTURE AND ENERGY SERBIA IN ЕUROPE Transport and Energy Development opportunities Mirjana Trifunović, Miloš Banjac

3. OBJECTIVE AND COURSES OF ACTION IN THE TRANSPORT SECTOR OBJECTIVE AND COURSES OF ACTION IN THE TRANSPORT SECTOR OBJECTIVE: Transport network of Serbia is integrated in the Trans European network with the efficient use of the advantages of all transport modes 3

4. ROAD CORRIDOR X North branch: New bridge at Beska is constructed, Full profile of a highway from Novi Sad to Horgos is constructed Road bypass around Belgrade : The bridge Gazela is reconstructed, Ongoing construction of Road bypass around Belgrade – 47,4 km, about 360 mil.eur. South branch: Ongoing are works on section Donji Neradovac - Levosoje, Crvena Reka – Ciflik, Pirot – Dimitrovgrad and road bypass of Dimitrovgrad Highway E 80 on the section to the state border with Bulgaria will be finished till the end of 2013, аnd E 75 till the end of 2014 4

5. Under the construction is the section from Ub to Lajkovac - 12,5 km and road bypass of Vrsac In the preparation are: tenders for the sections Obrenovac – Ub (25km) and Lajkovac – Ljig (25км) Ljig-Preljina – for 40km, 300 mil.eur provided through Loan Agreement with Azerbaijan ROAD CORRIDOR XI Around 3.5 billion dinars has been invested for realization of 312 projects in 112 towns and municipalities in the Republic of Serbia 5

6. ROAD ТRАNSPORT Bilateral and multilateral cooperation for more efficient functioning of road transport Annually is issued more than 360,000 licenses for international freight transport Increase of basic quota of multilateral licenses has made Serbian transport economy more competitive on the European market. The first effects of establishment of the Traffic Safety Agency: 6

7. The new building of Air Traffic Control Center (smart building) - investments in the amount The new building of Air Traffic Control Center is constructed (smart building) - investments in the amount of 3.6 billion dinars. Infrastructure works were performed on the airport Nikola Tesla, in the amount of 1.3 million euro Infrastructure works were performed on the airport Nikola Tesla, in the amount of 1.3 million euro AIR ТRANSPORT 7

8. The section of the track Batajnica – Golubinci was completed in the length of 25 km (for 160 km/h). Secured loans – investments for about 500 km of tracks: Russian loan – 700 million dollars ЕBRD - 35 milliоn еuro Czech loan - 120 million euro Kuwaiti loan - 26 million euro ЕIB - 200 million euro RAILWAY CORRIDOR X - INFRASTRUCTURE 8

9. RAILWAY TRANSPORT – ROLLING STOCK EUROFIMA - 47 mil CHF Russian loan - 100 million dollars EBRD - 65 million euro EBRD – 100 million euro The repair of 2,100 freight wagons, 178 passenger wagons and 36 locomotives was finished. 917 new freight wagons was purchased. Today Railways of Serbia annually transport 8 million passengers and 13 million of goods. 9

10. INTERMODAL TRANSPORT PROJECTS: Facilitating intermodal transport in Serbia – 2 million euro Construction of intermodal terminal in Belgrade – 19 million euro 10

11. INLAND WATERWAY TRANSPORT Introduction of River Information Services – 11 million euro Introduction of River Information Services – 11 million euro Preparation of documentation for hydro technical works and dredging at selected locations on the Danube – 2 million euro Preparation of documentation for hydro technical works and dredging at selected locations on the Danube – 2 million euro Removal of unexploded ordnances – 3.8 million euro Removal of unexploded ordnances – 3.8 million euro 11

12. LEGISLATIVE ACTIVITIES - HARMONIZATION WITH EU LEGISLATION - It was answered to the set of questions in the Questionnaire of the European Commission, that refer to transport, infrastructure and energy, It was answered to the set of questions in the Questionnaire of the European Commission, that refer to transport, infrastructure and energy, 45 Laws are adopted, of which 10 are systemic laws ORGANIZATIONAL REFORMS Company Corridors of Serbia, Plc was established Company Corridors of Serbia, Plc was established Transformation of the railway sector was done Transformation of the railway sector was done Company Railways of Serbia, JSC was established Company Railways of Serbia, JSC was established Traffic Safety Agency was established Traffic Safety Agency was established Legal basis was made for establishing the Legal basis was made for establishing the Agency for management of ports and Authority for transport of dangerous goods, etc 12

13. Within four annual programmes 2007-2010, EU through IPA finances projects in transport and energy sector in the amount of around 120 million euro. In programme package for 2011, for transport and energy will be allocated around 30 million euro Some of the projects that are currently being implemented from EU funds: Project documentation for the construction of intermodal terminal in Belgrade Project documentation for hydro technical works and dredging on identified locations on the river Danube Analysis on the state of railway tracks Construction of Zezelj bridge Establishment of River Information Services (RIS) on the Danube of unexploded ordnances from the Danube Removal of unexploded ordnances from the Danube Construction of the substation 400/110 kv Vranje and Leskovac 2 Construction of the substation 400/110 kv Vranje and Leskovac 2 Reducing emissions from TPP Nikola Tesla Environmental protection in PE Elektroprivreda Srbije" PROGRAMMING OF ЕU PRE-ACCESSION FUNDING 13

14. THE MOST IMPORTANT PROJECTS IN THE FUTURE Completion of Corridor X – Highway Е 80 on the section to the Bulgarian border will be completed by the end of 2013, and E 75 until 2014. Construction of Corridor XI – sections Surcin-Obrenovac 25.5 km, Obrenovac-Ub 26.23 km and Lajkovac-Ljig 23.98 km, as well as highway Pancevo-Vrsac Reconstruction, modernization and construction of the second track on Corridor X for double-track, electrified traffic and speed of 160 km/h, sections Stara Pazova-Novi Sad (estimated cost of works around 350 million euro) and Novi Sad-Subotica (estimated cost of works around 360 million euro) Hydro technical works and dredging of critical sections on the Danube - estimated cost of works around 45 million euro for 25 sections Removal of sunk vessels in the area of Prahovo – estimated cost of works is 12 million euro Construction of Intermodal terminal in Belgrade 14

15. 1. * 84. Republic of Serbia * 87. Bulgaria * 95. Romania * 99. Bosnia and Herzegovina * 142. Based on the analysis of Global Economic Forum, on the state of infrastructure, Serbia is ranked on the position 84, out of total 142, which represents a jump of 18 positions on the world list for the state of infrastructure, compared to the year of 2009. 15

16. The most significant investment activities in the energy sector in the period 2008-2011 ELECTRICITY Revitalization and modernization in TENTA and TPP Kostolac B is completed 330 million euro Revitalization of HPP Bajina Basta is completed, revitalization of HPP Djerdap 1 is in progress 110 million euro Construction of transmission lines and interconnections 130 million euro Loan for revitalization and desulphurization of TPP Kostolac is approved 250 million euro 16

17. The most significant investment activities in the energy sector in the period 2008-2011 OIL AND GAS Pipelines Gospodjinci – Banatski Dvor Kula – Odzaci – Ruski Krstur 31 million euro Distribution network in municipalities: Vrbas, Kula, Apatin, Cacak, Smederevska Palanka, Raca, Lapovo, Krusevac, Cuprija, Jagodina, Paracin 100 million euro Underground gas storage Banatski Dvor 31 million euro Facilities Revitalization in NIS 540 million euro 17

18. The most significant investment activities in the energy sector in the period 2008-2011 RENEWABLE ENERGY SOURCES Republic of Serbia introduced feed-in tariffs for electricity generation using renewable energy sources in 2009 that are very attractive for investment in field of renewable energy sources DISTRICT HEATING SYSTEMS Rehabilitation of the district heating systems in Belgrade, Novi Sad, Nis, Kragujevac, Kraljevo, Pirot, Sombor and Zrenjanin 31 million euro 18

19. TOTAL INVESTMENT IN ENERGY SECTOR OF THE REPUBLIC OF SERBIA IN THE PERIOD 2008-2011 AMOUNTS: THREE BILLION EURO 19

20. The most significant development activities in the energy sector in the future ELECTRICITY (till 2017) Continuation of revitalization in TPP Kostolac HPP Zvornik, Bajina Basta, Djerdap 1 330 million euro Environmental improvement of TPPs in the Republic of Serbia 725 million euro 20

21. ProjectCapacity Value, in mill euro Completion of construction ТPP Nikola Tesla B3 750 MW1,3002017 ТPP Kolubara B 700 MW1,5002015 ТPP Kostolac B3350 MW5002020 CHPP Novi Sad (gas fired) 450 MWe 300 MWt 3202014 ELECTRICITY (till 2022) Projects with strategic partners The most significant development activities in the energy sector in the future 21

22. ProjectCapacity Value, in mill euro Completion of construction HPP Ibar103 MW32020 HPP Velika Morava 190 MW42520 PHPP Djerdap 34 X 600 MW5002018 HPP Gornja Drina250 MW4352022 HPP Srednja Drina320 MW8202023 HPP Bistrica700 MW6002016 ELECTRICITY (till 2022) Projects with strategic partners The most significant development activities in the energy sector in the future 22

23. OIL AND GAS (till 2017) The most significant development activities in the energy sector in the future Pipeline South Stream and upgrade of gas storage Banatski Dvor 1,400 million euro Construction of gas storage Itebej 100 million euro Development of transport network for gas 210 million euro Development of distribution network for gas 440 million euro Naftna Industrija Srbije 1,500 million euro 23

24. Continuation of rehabilitation of district heating systems in towns Cacak, Kragujevac, Krusevac, Novi Sad, Nis, Pirot, Subotica, Valjevo, Sabac, Backa Palanka, Bor, Jagodina, Knjazevac, Leskovac, Negotin, Novi Pazar, Ruma and Trstenik 55 million euro DISTRICT HEATING SYSTEMS The most significant development activities in the energy sector in the future 24

25. Thank you ! 25