The Decarbonisation of the Energy Sector project in Montenegro includes energy renovation in 23 buildings, such as 16 at the University of Montenegro, six government buildings, and one health facility. 

This part of the project, valued at EUR 10.8 million, will be funded by an EUR 8 million loan from the International Bank for Reconstruction and Development (IBRD) and EUR 2.8 million from the state budget. 

The funds for energy renovation will come from savings in energy consumption in these facilities under the ongoing Energy Efficiency in Montenegro – MEEP 2 project with the World Bank. 

Additionally, EUR 21 million will be invested in modernising the electricity distribution grid, including upgrading substations, and transformers, and installing smart meters to improve network reliability and integrate renewable energy.