Bar LNG terminal project under scrutiny over environmental concerns
Balkan Energy
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The construction of liquefied natural gas (LNG) terminal in the port of Bar will not proceed if analyses indicate that it threatens the environment and the health of citizens.
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This was concluded at a session of the parliamentary Committee for Tourism, Agriculture, Ecology and Spatial Planning, which discussed a proposal on the justification of implementing Bar LNG terminal project through the Spatial Plan of Montenegro.
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Minister of Energy and Mining Sasa Mujovic said that, in his opinion, the construction of the terminal should not have negative implications. On the contrary, it would be a good solution from an economic development perspective.
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Minister of Spatial Planning, Urbanism and State Property Janko Odovic said that all standards prescribed by European and national practices have been established when planning the location of the reservoirs. This includes environmental protection and fire protection. Mount Volujica will serve as protection for the city and the port in case of accidents.
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However, some MPs, both from the ruling coalition and the opposition, do not share the same views on the construction of the terminal.
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Branislav Nenezic from SD believes that the potential downsides of the terminal include possible leakage of harmful substances, degradation of coastal ecosystems and endangerment of marine species. He also highlights concerns about job losses in fishing and tourism, potential decrease in property values, which is why he opposes the construction of the terminal.
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Last May, Montenegrin Government announced that it has signed a Memorandum of Understanding on the construction of liquefied natural gas (LNG) terminal and gas-fired power plant in Bar with US-based companies Enerflex Energy Systems and Wethington Energy Innovation. Based on preliminary data, Enerflex estimates that the investment in the LNG terminal project would be between 130 and 250 million euros. According to the initial proposal, the offloading pier would be able to handle 25,000 barrels of oil equivalent per hour and the storage facility would have the capacity of 250,000 barrels of oil equivalent. The MoU also envisages the construction of combined cycle gas-fired power plant with the capacity between 240 and 440 MW, in the vicinity of the terminal. Total investment in the plant should amount between 100 and 500 million euros, depending on the installed capacity. The power plant will use General Electric equipment.
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