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Sarajevo Times > Blog > BUSINESS > Many Countries will turn to the Resources they have
BUSINESS

Many Countries will turn to the Resources they have

Published May 30, 2022
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Mirsad Jasarspahic, President of the Chamber of Commerce of the Federation of Bosnia and Herzegovina (FBiH), spoke in an interview about why we have a firewood crisis in a country rich with forests.

”If there is no kind of restriction on the export of pellets, there may be a shortage of pellets, and after that – from other sources, but with much higher prices. The FBiH Chamber of Commerce is aware of this, we think that each country uses the possibility of a temporary ban on exports, to cover the needs of the domestic market,” Jasarspahic pointed out.

He added that half of the pellets exported in the first four months of this year went to Serbia, which means that the country is preparing supplies for the heating season. Jasarspahic recalls a number of incentives in recent years to switch from solid fuel to pellets – companies and people have changed plants and adapted to this fuel, but now it may not be here.

”An alternative could be heating with what we have. One is electricity, and the other is a by-product of the Kakanj Thermal Power Plant so everything connected to the heating pipeline is heated on the stretch from Kakanj to Sarajevo. ”Some experts said that the construction of a new block was needed”, Jasarspahic said: “However, others, and I join them, say that the existing blocks, with finishing touches, can be used and heat the capital, as the largest consumer. This would end the dependence on imported gas.”

In this case, the Kakanj Thermal Power Plant would cease to be undesirable for the construction of a new block, reminds Jasasrpahic: “Elektroprivreda BiH has this project, but due to the protocol with the European Energy Community and the pressure of the European Union (EU), that replacement blocks and thermal power plants are not built – it puts us at a disadvantage. Due to recent events, it is certain that many countries will turn to the resource they have.”

Jasarspahic warned that this is a problem that has been considered five or more years in advance, and not that the heating season will start to be discussed in June.

Regarding the EUR 1 form, Jasarspahic explains: “Problems of export companies can concern raw materials, labor, transport costs. And this is absurd – it is a form on A4 paper. Namely, the tender procedure has not been completed. Exporters, on which we rely on, because of the simplest paper, cannot work.”

Rising prices affect everything that is produced, adds Jasarspahic: “In this case, we cannot accept that the rise in prices may be the reason, that an annex to the contract cannot be made, where it is realistic to determine the price of raw materials that makes these goods more expensive – and this is a form on A4 paper.”

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