The fate of the district heating system in Zenica is once again in serious doubt after a proposal to open pre-bankruptcy proceedings for Toplana d.o.o. Zenica was submitted to the Municipal Court in Zenica. At the same time, a preliminary proceeding was initiated for Nova željezara Zenica to determine the conditions for opening bankruptcy.
This situation could have direct consequences for tens of thousands of Zenica residents, public institutions, and the local economy, given that the district heating system has relied for years on energy sources generated by the ironworks’ production process.
Nova Toplana Zenica was formally opened in 2022 as one of the largest infrastructure and environmental projects in the city. It was presented as a long-term solution for stable, high-quality, and environmentally friendly heating in Zenica, with an investment of more than 50 million euros.
The system was designed to use coke oven and blast furnace gas from metallurgical processes, with natural gas designated as an alternative energy source. This connection with the steelworks now represents the biggest problem.
The shutdown of production and the growing operational issues at the Nova željezara steelworks have raised concerns about the survival of the entire heating system. If bankruptcy occurs, the contracts currently regulating energy delivery could become null and void, further jeopardizing the next season.
Warnings about the seriousness of the situation were issued earlier this year during a themed session of the Zenica City Council dedicated to heating. At that time, it was noted that the city has two years to find a long-term solution.
Mustafa Mehić, Financing Director of Toplana Zenica, warned that a potential bankruptcy of Nova željezara would automatically call the city’s current heating model into question.
If the court approves the bankruptcy, which is likely, all contracts will become null and void, including the agreement on the city’s heating system. As a result, Nova željezara, or rather Toplana Zenica, would no longer be obliged to provide heating under these conditions.
Another problem is that switching the entire system to natural gas would lead to significant price increases. Toplana had previously warned that just one heating season on gas could cost an additional 35 million BAM, while citizens’ bills could be several times higher.
The Zenica City Administration also noted that one of the biggest issues is the outdated distribution network, specifically worn-out pipes and substations, whose complete reconstruction would require between 70 and 80 million BAM.
In the meantime, the pre-bankruptcy proceedings for Toplana should determine whether financial consolidation and reconstruction are possible, or if Zenica will enter an even deeper energy and social crisis.
This morning, the Zenica branch of the SDA (Party of Democratic Action) stated that, in a response from Nova željezara Zenica, they received information that the public enterprise JP Grijanje caused 2.26 million BAM in damages to Nova željezara Zenica for consumed electricity, leading to the initiation of legal proceedings. They added that this amount does not include an additional debt of around 230,000 BAM for the January–April 2026 period.
Consequently, the citizens of Zenica still do not have a clear answer to whether the central heating system will function next winter, nor what heating prices they will face if a complete switch to alternative energy sources occurs, Klix.ba writes.
