MCA Kosovo and KOSTT sign Implementing Entity Agreement to implement the Frequency Restoration Response activity through BESS

Jan 26, 2024

The Millennium Challenge Account (MCA) Kosovo, and KOSTT (Transmission, System and Market Operator of Kosovo) have signed the Implementing Entity Agreement (IEA). Through the implementation of this agreement, KOSTT assumes responsibility to support implementation phase of the project, which includes the fulfilment of the condition precedents, preparation during the design, as well as supervision during the construction, commissioning, and energization phase of the BESS project.

The Compact Program, through the BESS project, will install a high-capacity energy storage system of 170 MW (or 340 MWh), with a total value of $180 million, out of which, KOSTT will benefit by attaining a battery storage system with a capacity of 45 MW (or 90 MWh), worth about $46 million. This process has been kick-started through the signature of this IEA, and MCA-Kosovo is very eager to continue efforts in implementing the innovative BESS project.

Speaking on behalf of MCA Kosovo, Chief Executive Officer, Florina Duli Sefaj, emphasized that; "We are very happy to mark this crucial step in the implementation of the BESS project within the Compact. What makes us even more joyful is the fact that this milestone marks one of the first major steps in the betterment of  lives of the Kosovo people. We look forward to what lies ahead, and our team is very eager to build on this to continue common efforts for successful of this activity."

Furthermore, MCC Resident Country Director for Kosovo, Rinor Gjonbalaj, remarked that; “As the Resident Country Director of MCC in Kosovo, I'm very pleased to witness the signing of the Implementing Entity Agreement (IEA) between KOSTT and MCA-Kosovo. This first IEA under the Compact Program is an important milestone in implementing the Energy Storage Project, which will bring significant benefits for the people of Kosovo. It's important to note that this activity is a key component of the $236 million MCC-Kosovo Compact Program. Our objective is to strengthen Kosovo’s energy security and facilitate the transition towards a more sustainable, clean energy future”.

Lastly, KOSTT Chief Executive Officer, Evetar Zeqiri, highlighted that; “We want to express our gratitude towards the Government of Kosovo, the United States of America and MCC for their support in this project. This important step towards the energy transition significantly contributes to increasing the balancing capabilities of KOSTT, helps to provide auxiliary services within KOSTT for the integration of renewable energy sources, and increases the overall security of electricity supply in the country. We pledge that we will dedicate ourselves towards successful and seamless implementation of the project, with the aim of providing our citizens with a sustainable and modern energy system.”.

This great milestone is the result of a close cooperation over the years between MCA-Kosovo, Millennium Challenge Corporation (MCC), and KOSTT with the aim of introducing state-of-the-art battery energy storage system, which is set to benefit and improve the lives of all Kosovans.

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