Waters of Montenegro No. 1 by eutopia.pro

NO. 1, YEAR I 29. SEPTEMBER, 2017.

info 1 THE WATER OF THE “BOLJE SESTRE” UNDERGROUND SOURCE IS OF HIGHEST QUALITY AND IS AVAILABLE TO THE USERS IN MONTENEGRIN COASTAL AREA. WITH THE CONSTRUCTION OF THE REGIONAL WATER SUPPLY, VALUED AT AROUND 110 MILLION EUROS, ONE OF THE BASIC LIVING PRECONDITIONS FOR THE CITIZENS OF MONTENEGRO WAS SOLVED IN A QUALITATIVE AND STABLE MANNER.

VODA PODZEMNOG IZVORA “BOLJE SESTRE” IZUZETNOG JE KVALITETA I DOSTUPNA JE KORISNICIMA NA CRNOGORSKOM PRIMORJU. IZGRADNJOM REGIONALNOG VODOVODA, U VRIJEDNOSTI OD OKO 110 MILIONA EURA, KVALITETNO I STABILNO RIJEŠENO JE JEDNO OD OSNOVNIH ŽIVOTNIH PITANJA GRAĐANA CRNE GORE.

info 1

IMPRESSUM:

CONTENTS Water supply of the coastal area of Montenegro vision of the Government of Montenegro Pavle Radulović: Decades-long dream realised Predrag Nenezić: From a Bold Idea to a Tangible Reality

7 14

Cover story How the project that changed Montenegro came to be

Official opening of the first stage of the water supply system for the municipalities of Budva, Kotor and Tivat 29. 09. 2010 . Milo Đukanović: Montenegro to turn to its rich potentials

Branimir Gvozdenović: No more obstacles for the big project

Miodrag Pejović: World crisis did not hinder our plans

Zoran Bošnjak: We created conditions for tourism development

Celebration after four decades from the founding of the enterprise 29. 09. 2016. Milo Đukanović: Project for current and future generations

Branimir Gvozdenović: System for certain quality

Goran Jevrić: Incentive for Montenegro

Cooperation of Regional waterworks with Government of Montenegro and international institutions in 2017. Public enterprise “Regional Waterworks for the Montenegrin Coast” first Montenegrin enterprise that became a member of the international association of water supply companies in the Danube river catchment area, Vienna

Žabljak: 2017. The first season without water supply problems

EXPERT PUBLICATION WATERS OF MONTENEGRO Number 1 29 September 2017 PUBLISHED BY: Public Enterprise “Regional Waterworks for the Montenegrin Coast” PUBLISHER: Goran Jevrić, Public Enterprise Director “Regional Waterworks for the Montenegrin Coast” COLLEGIUM: 1. Goran Jevrić, Director of Public Enterprise “Regional Waterworks for the Montenegrin Coast” 2. Academician Petar Vukoslavčević, Montenegrin Academy of Sciences and Arts, Podgorica 3. Prof Mićko Radulović, PhD, professor of the Faculty of Civil Engineering of the University of Montenegro, Podgorica 4. Prof Zoran Veljović, PhD, Dean of the Electrical Engineering Faculty of the University of Montenegro, Podgorica 5. Prof Mira Vukčević, PhD, Dean of the Faculty of Metallurgy and Technology of the University of Montenegro, Podgorica 6. Prof Igor Vušanović, PhD, Dean of the Machine Engineering Faculty of the University of Montenegro, Podgorica 7. Prof Goran Sekulić, PhD, professor of the Faculty of Civil Engineering of the University of Montenegro, Podgorica 8. Prof. dr Srđa Aleksić, dean of the Faculty of Civil Engineering of the University of Montenegro, Podgorica 9. Prof Zoran Stevanović, PhD, professor of the Faculty of Mining and Geology of the University of Belgrade, Belgrade 10. Dragana Bjelobrković, head of the service for the regulation of utility activities, Energy Regulatory Agency of Montenegro, Podgorica 11. Vladimir Taušanović, president of the International Association of Water Supply Companies in the Danube River Catchment Area (IAWD), Vienna 12. Stjepan Gabrić, senior specialist for environmental infrastructure, World Bank, Zagreb 13. Vladimir Šimić, member of Council for Water Services of Croatia, Zagreb 14. Aleksandar Krstić, project manager at IAWD, Belgrade 15. Boban Mugoša, Director of the Public Health Institute of Montenegro, Podgorica 16. Damir Gutić, PhD, Acting Director of the Montenegrin Directorate for Water, Belgrade 17. Predrag Bjelobrković, Public Enterprise “Regional Waterworks for the Montenegrin Coast”, Budva 18. Marijana Zenović, Public Enterprise “Regional Waterworks for the Montenegrin Coast”, Budva 19. Ivan Špadijer, Public Enterprise “Regional Waterworks for the Montenegrin Coast”, Budva EDITOR: Snježana Avramović DESIGN: Dejan Popović PHOTOGRAPHY: Dejan Kalezić PRINTED BY: Golbi d.o.o. CIRCULATION: 1000 WEB PGAE: www.regionalnivodovod.me EMAIL: vode.crnegore@regionalnivodovod.me TEL: +382 (0) 33 451 921; +382 (0) 33 451 460 FAX: +382 (0) 33 451 937 THE EDITORIAL STAFF WOULD LIKE TO THANK ASSOCIATES AND FRIENDS WHO PARTICIPATED IN CONCEPT CREATION AND THE PREPARATION OF THIS PUBLICATION

Goran JEVRIC

Director of Public Enterprise “Regional Waterworks for the Montenegrin Coast”

Instead of an introduction

WATER IS THE RESOURCE OF THE FURUTRE

society’s natural resources and its determination to manage those resources in a rational and sustainable manner, are the factors that define the level of quality of life of its population, as well as the level of a country’s economic progress. Access to water as one of the most important natural resources, is a key factor for sustainability of the entire economic system of Montenegro taking into consideration the fact that each year it is becoming a more and more prestigious global tourist destination. Montenegro has continuously been achieving intense growth of income from tourism which is best illustrated by data showing that this income amounted to 222 million euros in 2005, while current estimates indicate that this income in 2017 will reach the amount of 1 billion euros. The completion of the part of phase 1 of the regional water supply system that was officially opened on September 29, 2010 by Prime Minister Milo Djukanovic, brought immeasurable benefits to the Montenegrin society, including better quality of life for the population of the Montenegrin Coast, as well as growth of direct foreign investments into prestigious projects such as Porto Montenegro, Lustica Bay and Porto Novi, whose total value reaches the amount of over 2 billion euros. Montenegro is one of a few countries in Europe that has access to remarkable water richness. However, our attitude towards water as a valuable, yet, free gift of nature, is very often questionable. Therefore, WATERS OF MONTENEGRO is designed to address and integrate into one whole all aspects of governing water resources of Montenegro, starting with technical and technological aspect, through environmental, and finally, social and economic aspects, being conceptually intended for and available to interested citizens. It was in order to secure sustainable management of this natural resource and improvement of the quality of life for the population of the Montenegrin Coast, that the

Government of Montenegro, on February 15, 2007, passed the brave and visionary decision to step up the works on the construction of phase 1 of the regional water supply system for the municipalities of Budva, Kotor, Tivat, Bar and Ulcinj. What makes this decision especially significant is the fact that it was passed in the year when global economic crisis started affecting the financial system of Montenegro. Hence, February 15, 2007 represents a milestone in the realization of the project for the construction of the regional water supply system for the Montenegrin Coast whose total investment value has so far reached the amount of 107 million euros. Regional water supply system for the Montenegrin Coast is the most important infrastructure project that the Government of Montenegro has realized in the last ten years since restoration of Montenegro’s independence, and during its 7 years of functioning, it has absolutely confirmed the soundness of the Government’s vision reflected through investing into infrastructure projects as the most efficient method for creating environment for rapid economic progress of Montenegro, better quality of life for its citizens, creating new work opportunities, etc. Given the aforementioned, while honoring the principles of sustainability, Montenegro should exploit its abundant natural resources putting them into function of development projects in order to secure faster economic progress of the entire society. This is what prompted us into dedicating the theme of WATERS OF MONTENEGRO’s first issue to the regional water supply system as the PROJECT THAT CHANGED MONTENEGRO, wishing to use this opportunity as well to mark the ten year anniversary of the Government’s strategic decision passed in 2007 related to the completion of phase 1 of the system. Public Enterprise “Regional Waterworks for the Montenegrin Coast” is a state owned enterprise that in 2013 fully applied to its business operations the Government’s

anti-crisis measures and, consequently, absolutely reduced its expenses and optimized its business conduct. Thanks to such sound business policy, Public Enterprise has made a significant step towards stability and increase of income in 2016 by 50% in comparison to previous business years. Having achieved positive financial results, in 2017, Public Enterprise “Regional Waterworks for the Montenegrin Coast” is finally in the position to use its own funds for financing further development of the regional water supply system involving the municipality of Herceg Novi as the finalization of construction of phase 1, as well as the beginning of construction of phase 2 of the system (this part of the works was originally planned to be executed no earlier than in the 2025; the purpose of these works is providing larger quantities of water for the municipalities of Tivat, Kotor and Herceg Novi, i.e. 600-750 l/s, as opposed to the current capacity of 330 l/s). Simultaneously, Public Enterprise is dedicated to developing two new business visions – projects for constructing plants for water bottling and production of iced teas, while it is also considering another promising idea of producing solar and hydro power. The purpose of the magazine WATERS OF MONTENEGRO is to bring public attention to issues related to the importance of water as a strategic resource of the future, and, besides news and other important information on sustainable management of this significant economic resource, it is to address various scientific topics that will be elaborated by the respectable Editorial Board consisting of distinguished members of Montenegrin academic community and international experts. Hereby I would like to sincerely thank the members of the Editorial Board for generously sharing their knowledge, expertise and authority for the purpose of successful realization of this idea and the project of WATERS OF MONTENEGRO as an expert publication.

20 20

Pavle RADULOVIÄ&#x2020;

â&#x2014;? Minister of Sustainable Development and Tourism

espite being a very small espite espite being being a very a very small small cococountry, Montenegro abountry, untry,Montenegro Montenegroabounaboununds in natural particuladsds ininnatural natural particularities particularities rities and beauties due which and and beauties beauties due due toto which which itto is it is conconit is considered one of the most sidered sidered one one of of the the most most attractive attractive attractive global tourist deglobal globaltourist tourist destination. destination. HoweHowestination. However, to facilitaver, ver, tonormal to facilitate facilitate normal normal functioning functioning te functioning of inhaofbitants of inhabitants inhabitants occupying occupying this parparoccupying thisthis particuticular ticular place place and and toto create create the the conconlar place and to create the conditions ditions forfor development development ofof tourism tourism ditions for the development of tourism and other branches of and and other other branches, branches, the the adequate adequate economy, the adequate infrainfrastructural infrastructural prerequisites prerequisites would would bestructural be required. required. prerequisites have to be provided.

Hence, in the last decaWhen Whenspeaking speaking ofof wawade insupply particular, aMontenelot has beter tersupply ofofthe the Monteneen done in order to increase grin grin Coastal Coastal region, region, we wehahaand develop all by types ofyeinve vetoto state statethat that bythe the yefrastructural prerequisites ar ar2010, 2010,lack lackof ofwater waterchacha-. When speaking of peak water racterised racterised summer summer peak supply the Montenegrin season, season,of and and that that this thisparparCoastal region,was we to ticular ticularproblem problem washave solved solved state that by yearofof 2010, thanks thanks totothe thethe vision vision the the lack of water Government characterised Montenegrin Montenegrin Government peak summer seasons, and that thatwas wasreflected reflected ininururthat this particular problem gent gentcompletion completion ofofthe thefirst first was solved thanks to the vi-

sion of the Montenegrin Gophase phase ofof the the regional regionalwater water vernment thatfor was reflected supply supplysystem system forthe the MonMonin urgentCoastal completion of the tenegrin tenegrin Coastal Region. Region. first phase of the regional The The Montenegrin Montenegrin CoaCoawater supplyisis system for the stal stalRegion Region a avery very spespeMontenegrin Coastal Region. cific cificarea areaininterms termsofof geogeoThe Montenegrin Coastal graphy. graphy. The ThemountainomountainoRegion is aextending very specific area us usbarrier barrier extending from from in terms geography. Ulcinj Ulcinj totoof Herceg Herceg Novi NoviThe li-limountainous extenmited mitedalmost almostbarrier completely completely ding from Ulcinjofto Herceg the thepossibility possibility ofinterinterNovi limited and almost compleconnection connection andintegraintegrately the possibility of inter-

WATER SUPPLY OF THE MONTEGRIN COASTAL REGION

THE VISION OF THE DECADES-LONG MONTENEGRIN GOVERNMENT ACHIEVED TRUE SUCCESS DREAM REALISED THE MINISTER OF SUSTAINABLE DEVELOPMENT AND TOURISM PAVLE RADULOVIĆ

connection integration tion of theand water supply of the water supply system system and developed the and developed theprinciple isolated isolated “island” “island” principle of development of of thedevewalopment of networks the water supply ter supply in the networks in the MonteneMontenegrin Coastal Munigrin Coastal Municipaliticipalities. In fact, the prines. In fact, principle ciple was the confined to was the confined to the approach approach that each municithat each was pality wasmunicipality to rely on exploto rely on the very exploitation itation of the limited of the very limitedWith waterresrewater resources. sources. With respect to the

available quantities, pect to thewater available water the local springs chaquantities, the localare springs racterized by extreme seaare characterized by extresonal oscillations with resme seasonal oscillations pect their yield and, yield occawithtorespect to their sionally, in some municipaand, occasionally, in some lities by poor water quality. municipalities by poor waconstruction of the ter The quality. regional supply system The water construction of has created thesupply condithe finally regional water tions which eliminate system haswould finally creaall factors which wetedlimiting the conditions which re common in the period prior

ä Porto Montenegro

its construction andall commiwould eliminate limissioning and would ting factors whichpromowere te the development common in the periodpolicy prior which would enhance the its construction and comwhole Montenegrin Coastal missioning and would proRegion to be covered by wamote the development poter network, enalicysupply which wouldthus enhanbling regular, continuous and ce the whole Montenesafe supply to alltoexigrinwater Coastal Region be sting and by future consumers, covered water supply regardless whether the hounetwork, thus enabling reseholds or commercial clients gular, continuous and safe are in question.

208

WATERSvode F MONTENEGRO CRNEGORE The justification of water supply to all existing the future investment made and consumers, rein the water supply ingardless whether the houfrastructure may not be seholds or commercial clidisputed as the regional ents are in question. The water supply system justification of the inveshas made a huge impact tment made in the water on quality of life ofmay the supply infrastructure local population and denot be disputed as the regivelopment of tourism onal water supply system and as it enhanced the has made a huge impact investment climate and on quality of life of the encouraged the invelocal population and destors to invest overall velopment of tourism and2 billion EUR in the prestigioas it enhanced invesus projects in theencouMontment climate and tenegrin Coastal Region raged the investors to in(Porto Novi, PortoEUR Monvest overall 2 billion in tenegro, Luštica Bay… ) prestigious projects in the There would have beMontenegrin Coastal Regien(Porto no interests andMonreaon Novi, Porto diness to makeBay… such) hutenegro, Luštica ge There investments, if bethe would have conditions for provision en no interests and readiof of to required quantitiness make such huge es of high quality water investments, if the condihad not been created. tions for provision of requFrom year 2006 ired waterthe quantities of on, the special attentihigh quality had not been on is being paid to wacreated. terFrom quality, so that a larthe year 2006 on, ge number of projects the special attention is bethat resulted improing paid to waterin quality, so vement of number the old of and in that a large pro-

construction of the jects that resulted in new iminfrastructure provement of thefor oldwater and supply and wastewater in construction of the new treatment andfor disposal, infrastructure water were implemented supply and wastewaterfrom trethe loan provided atment andfunds disposal, were under the agreements implemented from the loentered into between the an funds provided from the Government of Monteneagreements entered into gro and the international fibetween Government nancial institutions (EIB, of Montenegro and interEBRD, KfW and WB). Sonational financial instime 150 km of the water tutions. Some 150 km of supply networks and 190 the water supply networkm of sewerage networks and 190 km of seweraks networks along with accomge along with panying facilities such as accompanying facilities pump and resersuch asstations pump stations and voirs were built and rereservoirs were built and habilitated in the stated rehabilitated in the stated period. Also, period. It is very wastewaimportant termention treatment in to thatplants the waMojkovac, Žabljak, Kostewater treatment plants

107 MILLION TOTAL MILIONAEUROS EURA IS JETHE UKUPAN AMOUNT OF INVESTMENTS IZNOS U OVAJ INFRASTRUKIN THIS INFRASTRUCTURE TURNI PROJEKAT PROJECT

The Minister of Sustainable Vision of theDevelopment Government of and Montenegro Tourism tor, Tivat and Žabljak, Nikšić wein Mojkovac, Kore constructed, tor, Tivat, Budvathe and plant Nikšić in Podgorica was too rehabiwere constructed, whelitated, comreas the while plant inthe Podgorica pletion of the plants in was rehabilitated. Herceg andofŠavnik, TheNovi amount means as well asin the continuainvested implementation actitionofofconstruction the stated project vities in Pljevlja and Be(not taking into account rane is expected to take the projects the implemenplace The commentation, too. of which is in procecement of construction ss) is assessed to over 250 activities on a pimillion EUR, outnew of which peline 82 Mio.for EURwastewater was invested treatment PG, incluthe regionalinwater supply ding the implementatisystem. on ofThe theprevious similar projects tourist in other(2017) municipalities, season is one of the for which the technical best and has beaten all the documentation has been records with respect to all already prepared, is anparameters with a billion ticipated, too. made from EUR revenues The amount funds intourism thus oflaunching vested in the among implementaMontenegro the top tion of the stated projects destinations on the world’s (not taking account tourist maps,into which has bethe project by whose impleen proved a numerous mentation is in process) is renowned tourist organizaassessed to over 250 Millitions and institutions that on EUR, out which 82 assessed ourofstate as one Mio. EUR was invested in of the best places to travel continuation constructo that marksofrapid devetion of theand regional lopment whosewater popusupply system. larity continuously grows. ä Porto Montenegro

21 9

22 10

WATERSvode F MONTENEGRO CRNEGORE The previous tourist The importance and poseason (2017) isofone of the sitive impacts construcbest hasregional beaten all the tionand of the water records respect to all supply with system are becoparameters a billion ming more with visible throuEUR revenues made from ghout the years, whereas tourism thus launching in real life these effects Montenegro amongon the datop are perceivable destinations on the worldâ&#x20AC;&#x2122;s ily basis proving that this tourist has system maps, is verywhich important been proved by a numerous for the Montenegrin Coarenowned tourist organizastal Region, and, therefore, tions and institutions that for Montenegro as a state, assessed our state as one too. Currently, the impleof the best places travel mentation of thetoproject to, marks rapid deveonthat connecting the munilopment and whose popucipality of Herceg Novi to larity continuously grows. the regional water supply The importance andplaposystem is about to take sitive construcce, butimpacts also theofconstructition theanother regional waon ofofthe pipeliter systembetween are bene supply on the section coming more visible Budva and Tivat whichthrowoughout the 11 years, whereas uld extend km in length in real life these effects and would increase the are caperceivable dailyfor basis pacity of theon system the proving that this system municipalities Tivat, Kotor isand very important fornow the Herceg Novi from Montenegrin Coastal Reavailable 330 l/s to potengion, therefore, for tially and, available 750 l/s. The Montenegro state, construction ofas thea new pitoo. Currently, the implepeline would mark the inmentation of second the project ception of the phaon connecting thethe munise of construction regiĂ¤ Perast

cipality of Herceg Novi to onal water supply system the regional water supply that was according to the system is about documento take plavalid planning ce, but originally also the constructation, foreseen tion of the another pipelifor the year 2025. However, ne on the section between the accelerated growth of Budva and which wotourism andTivat the population uld extend km in length inflow have11significantly and would increase thefor caincreased the demand pacity ofwater, the system forten the potable almost municipalities Tivat, Kotor year prior the originally set and Herceg Novidata fromconnow deadline. These available 330 l/s to potenfirm best the soundness tially available l/s.GoThe of joint efforts 750 of the construction of a new pivernment of Montenegro peline mark the inand thewould company that maception of the second phanages the system that the se of construction the regicapacities of the regional onal water system water supplysupply system shall thatthoroughly was according the be usedtoand valid planning documenput into function of water tation,of originally supply the wholeforeseen Montefor the Coastal year 2025. However, negrin Region. theWhen accelerated growth of considering the tourism and the population prospects of the water inflowsector have of significantly supply the Monteincreased the demand for negrin Coastal Region, the potable for water, ten priority the almost next periyears prior originally od is for surethe to reconsider set model deadline. Thesesector data the for water confirmincluding best the soundnereform establisss of joint efforts of the Gohing the new institutional vernment of Montenegro framework through Regulaand the company matory Agency, whichthat would,

The Minister of Vision Sustainable of theDevelopment Government of and Montenegro Tourism

Ă¤ Islands of Perast Ă¤ Peraski otoci

nages the system that the in particular, be focused on capacities of conditions the regional establishing for water supplythe system shall increasing efficiency be thoroughly used and and the overall sustainabiput functionCoaof lity into of thethe Montenegrin water supplybetter of thequality Monstal Region, tenegrin Coastal Region. life of the local population When considering the and creating the prerequisiprospects of the water tes for development of ecosupply in the Monnomy sector and attracting the tenegrin Coastal Region, new investments. In that the priority for the next sense, the EBRD provided period is for sure to recongrant funds for drawing-up sider the model for water the study that would provisector reform including de cross sectional data of a establishing newMonteinstiwater sectorthe in the tutional framework thronegrin Coastal Region. It is ugh Regulatory important to stressAgency. out that In that sense, theRegulaEBRD foundation of the provided grant funds fora tory Agency would have drawing-up the study that significant impact on the will provide sectiowater tariff cross methodology, nal data to ofovercome a water sector in order the cuinrrently the Montenegrin applied practiceCoathat stal Region. It is imporeach utility creates its own tant stress out that fotarifftomethodology. Thereundation of the Regulatory fore, the optimization of the Agency will have a signiwater supply and wastewaficant impact on the ter disposal sector inwathe ter tariffregion methodology, in coastal is one of our order to overcome thehave cutop priorities and we rrently already applied started topractice conduct that each utility creates its the activities and support own tariff methodology. the development of the re-

23 11

24 12

WATERSvode F MONTENEGRO CRNEGORE Therefore, optimization gional waterthe supply systemof the water supply and wastewater and its infrastructure. disposal sector in the coastal regiI stress out that besides is one of our topfinancial priorities siand aonvery complex we have already started to contuation, the Government of duct the activities and we Montenegro is ready to thororenughly support the further improder very complex and diffivement and development the cult decisions in orderof to regional water system and support the supply projects that its infrastructure. contribute, in particular, to I stress out that besides a very improvement of the life stancomplex situation, Godard of financial inhabitants, butthe also vernment of Montenegro is ready to creation of investment cli-to render very andof difficult demate. Thecomplex example the recisions in order to support the progional water supply system jects that in particular, points outcontribute, the benefits of mato improvement of theand life standard king courageous, someof inhabitants, but alsobut to creation times challenging essen-of investment climate.decision, The example tially righteous ha-of the regional supplygoal system poving for itswater ultimate the ints out the benefits of makingdecouprosperity and economic rageous, and sometimes challenging velopment of the Montenebut essentially grin society,righteous and thedecisions, MinihavingofforSustainable its ultimate goal Devethe prosstry perity and and economic development lopment Tourism headedof themyself, Montenegrin society, and the Miby is highly devoted nistry of Sustainable Development to achieving this goal. and Tourism headed by myself, is highly devoted to achieving this goal. In September, 2017. In September 2017. The Minister The Minister of of Sustainable Sustainable Development and Development andTourism Tourism PavleRadulović Radulović Pavle äGospa Our lady of the rocks ä od Škrpjela

The Minister of Vision Sustainable of theDevelopment Government of and Montenegro Tourism

25 13

WATERS F MONTENEGRO

FROM A BOLD IDEA TO A TANGIBLE REALITY I

mproving quality of life on the Montenegrin Coast and Montenegro’s development into an investment and tourist destination of distinguished identity which, nowadays, represents one of the fastest growing tourist areas in the world, would not have been as efficient and of high quality without realization of the project for construction of the regional water supply system.

Regional water supply system is one of the largest projects that have been implemented in Montenegro in the past 30 years, and, possibly, one of the

Predrag NENEZIĆ

● Minister of tourism in six governments, from july of 2001. until december of 2010.

projects that had a great impact on economic development and generated a multitude of benefits for Montenegro, turning it into a destination that found its way to the “Top 10” list of tourist destinations put together by the most prestigious Western Europe media and international tourism organizations and institutions. Bold – and, from the per-

Vision of the Government of Montenegro ä Porto Montenegro

spective of the moment in which it arose 30 years ago, almost impossible, the idea of distributing water from a spring near the Skadar Lake to the Montenegrin Coast, now is a tangible reality of crucial importance for a dynamic development of tourism as an industry that produces a significant portion of gross domestic product. Realization of the regio-

nal water supply project is perhaps the most important condition for an overall tourism development and sustainable development of the Montenegrin Coast, a motor that strongly pushed forward the most delicate and the most significant economic chain in Montenegro. “The heart” of the system – Bolje Sestre spring, and its “veins” consisting of over 100

km long pipeline and structures, bring, metaphorically speaking, not just water, but also life to the Montenegrin Coast. Having completed the works on this project, we are now significantly closer to the vision of Montenegro as a highly developed tourist destination and a society headed towards better quality of life and further development.

WATERS F MONTENEGRO Ă¤ Porto Novi

In a century in which water is regarded as a strategic resource, while many areas in the world are faced with increasing and worrying imbalance between demand for and availability of water resources, in Montenegro, thanks to the regional water supply system, there is almost no such imbalance at all. Construction of the regional water supply system provided a

high quality solution for one of the most important life issues for current population of Montenegro and future generations. The Ministry of Tourism and Environmental Protection was the coordinator for this complex process during its most vital phase between 2006. and until mid 2009, and I am very proud of being a part of this historic endeavor.

Vision of the Government of Montenegro

ä Luštica bay

WATERS WATERS FFMONTENEGRO MONTENEGRO

HOW HOWTHE THEPROJECT PROJECT THAT THATCHANGED CHANGED MONTENEGRO MONTENEGRO CAME CAMETO TOBE BE “WHEN “WHENTHE THEWELL WELLISISDRY, DRY,WE WEKNOW KNOWTHE THEWORTH WORTHOFOFWATER” WATER” BENJAMIN BENJAMINFRANKLIN FRANKLIN

ää company company logo logo in in use use until until 25.25. 0909 2014. 2014.

COVER COVERSTORY: STORY: How Howthe theproject projectthat thatchanged changedMontenegro Montenegrocame cametotobebe

Ă¤Ă¤ Works Works onon thethe construction construction of of Budva-Tivat Budva-Tivat section section during during thethe 1980s 1980s

20 WATERS WATERS FFMONTENEGRO MONTENEGRO

D D

uring uring thethe second second half half of the of the lastlast cencentury, tury, thethe MonteneMontenegrin grin coast coast was was faced faced with with pronounced pronounced lack lack of drinof drinking king water, water, so the so the relevant relevant political political factors factors in 1975 in 1975 en-entered tered into into a Social a Social agreeagreement ment onon thethe constructiconstructionon of the of the Regional Regional WaWaterter Supply Supply System System forfor thethe Montenegrin Montenegrin Coast Coast and and thethe Cetinje Cetinje Municipality. Municipality. AnAn earthquake earthquake of devaof devastating stating proportions proportions in 1979, in 1979, shook shook thethe area area of the of the MonMontenegrin tenegrin coast, coast, which which addiadditionally tionally complicated complicated thethe activities activities aimed aimed at solving at solving

18 18

KILOMETERS KILOMETERS OF OF PIPELINES PIPELINES WAS WAS MADE MADE AT BOTTOM AT BOTTOM OF OF SKADAR SKADAR LAKE LAKE WITHIN WITHIN REGIONAL REGIONAL WATER WATER SUPPLY SUPPLY SYSTEM SYSTEM ä Water ä Water spring spring “Bolje “Bolje sestre” sestre”

COVER STORY: How the project that changed Montenegro came to be the water supply problem. In order to speed up the implementation of the project, the Government of Montenegro, in 1986, adopted by the Law on Construction of the Regional Water Supply System. After that, a part of the infrastructure was built in Herceg Novi, Tivat, Kotor and Budva. The World Bank, in 1991, gave approval for the project and suggested the Government of Montenegro, because of its nature, to take control over the project and declare the project to be in public interest. Following the adoption of the Law on Water Supply, Waste Water and Solid Waste Disposal from the municipalities of Herceg Novi, Kotor, Tivat, Budva, Bar, Ulcinj and Cetinje and the Decision on the Establishment of Public Enterprise “Regional Water Company for the Montenegrin Coast” in 1991, we established a new model of implementation of projects of national importance. ä Works beneath Ujtin potok bridge

22 WATERS WATERS FFMONTENEGRO MONTENEGRO However, However, when when thethe comcompletion pletion of this of this project project seemed seemed almost almost certain, certain, duedue to tragic to tragic events events in the in the former former YugoslaYugoslaviavia andand sanctions sanctions to former to former Fe-Federal deral Republic Republic of Yugoslavia, of Yugoslavia, thethe project project waswas halted halted in 1992. in 1992. However, However, even even under under the-these conditions, se conditions, with with funds funds from from thethe Budget Budget Montenegro, Montenegro, wewe managed managed to build to build a part a part of the of the infrastructure, infrastructure, outout of which of which thethe most most important important is “Soziis “Sozina”na” hydro-technical hydro-technical tunnel tunnel andand thethe construction construction of “Đurof “Đurmani” mani” reservoir. reservoir. It isItintereis interesting sting to point to point outout that, that, after after thethe lifting lifting of sanctions, of sanctions, thethe implementation implementation of the of the first first project, project, funded funded by by thethe World World Bank Bank in Montenegro, in Montenegro, thethe conconstruction struction of “Lovanja” of “Lovanja” sanitary sanitary landfill landfill waswas entrusted entrusted to Puto Publicblic Enterprise Enterprise “Regional “Regional Wa-Waterter Company Company forfor thethe MonteMontenegrin negrin Coast”, Coast”, while while thethe se-second cond loan loan agreement agreement with with thethe World World Bank Bank waswas used used forfor thethe procurement procurement of equipment of equipment for for thethe utility utility companies companies in Kotor, in Kotor, Tivat Tivat andand Budva Budva andand thethe conconstruction struction of aofregional a regional sanisanitarytary landfill landfill “Možura” “Možura” in Bar. in Bar. ä Water ä Water reservoir reservoir Đurmani Đurmani

COVER COVER STORY: STORY: How How the the project project that that changed changed Montenegro Montenegro came came toto bebe

Ă¤ Kamenovo Ă¤ Kamenovo route route

WATERS F MONTENEGRO

PART OF THE REGIONAL WATER SUPPLY SYSTEM FOR THE MUNICIPALITIES OF TIVAT, KOTOR AND HERCEG NOVI WORKED WITH 100% CAPACITY AS MANY AS 73 DAYS DURING 2016. ä Pump station Reljići

ä Contitnental line

COVER STORY: How the project that changed Montenegro came to be

info 2 MAX - MIN THE RECORD WATER FLOW FROM THE REGIONAL WATER SUPPLY WAS RECORDED ON 7 AUGUST 2015, AND AMOUNTED TO 952 L/S, I.E. 86.54% (ALL SIX MUNICIPALITIES), WHEREAS THE MINIMUM FLOW WAS RECORDED ON 25 FEBRUARY 2014, AND AMOUNTED TO ONLY 64 L/S, I.E. 5.8% (ULCINJ, BUDVA, TIVAT AND KOTOR), COMPARED TO THE TOTAL CAPACITY OF THE FIRST STAGE OF THE REGIONAL WATER SUPPLY SYSTEM OF 1,100 L/S.

The most dynamic period of the construction of the Regional Water Supply System was from 2007 to 2010. The Government of Montenegro, on February 15th 2007, made a strategic decision on the construction and financing of the first phase of the Regional Water Supply System. The Regional Water Supply System is the second investment in terms of value and importance, which has been implemented in Montenegro, in which we invested about â&#x201A;¬107 million and it is the largest completed infrastructure project in Montenegro since the restoration of independence in 2006. One part of the first phase of the Regional Water Supply System was completed in just over two years, and was put into trial operation in July 2010, when the first litres of drinking water were supplied to the municipalities of Budva, Kotor and Tivat.

26 WATERS WATERS FFMONTENEGRO MONTENEGRO OnOn September September 29th 29th 2010, 2010, Prime Prime Minister Minister Milo Milo Đukanović Đukanović officiofficially ally put put into into operation operation the the first first phase phase of of the the system. system. The The municipamunicipality lity of of Bar Bar was was connecconnected ted to to the the system system in in 2 021011 1 a nadn d U lU c iln c ij nijn i n 2012. 2012. The The signing signing of of Protocol Protocol onon cooperaticooperationon between between the the MuniMunicipality cipality of of Herceg Herceg NoNovi,vi, Utility Utility Company Company in in Herceg Herceg Novi Novi and and the the Regional Regional Water Water Supply Supply System System forfor thethe MonteMontenegrin negrin Coast Coast onon SepSeptember tember 29th 29th 2013, 2013, was was the the first first document document in in wh wi h ch i c ht hteh em u mnui n c ii-c i pality pality of of Herceg Herceg NoNovi vi reaffirmed reaffirmed itsits desidesire re to to bebe a part a part of of the the system, system, after after almost almost two two decades decades of of rejecrejecting ting to to implement implement this this project. project. The The Regional Regional WaWaterter Supply Supply System System is is e xet x r et rm ee ml y ely c ocm op ml e pxl e x and and it includes: it includes: • “Bolje • “Bolje sestre” sestre” wawaä Breaking ä Breaking chamber chamber - Bratica - Bratica

COVER STORY: How the project that changed Montenegro came to be

WITHIN THE REGIONAL WATER SUPPLY SYSTEM, OVER 400 ADDITIONAL FACILITIES HAVE BEEN BUILT ALONG THE MAIN PIPELINE, 135 KM LONG.

KILOMETERS OF OPTIC CABLE WAS BUILT IN FOR NEEDS OF FUNCTIONING SCADA SYSTEM WITHIN REGIONAL WATER SUPPLY SYSTEM

ter intake; • 4 pumping stations of total rated power of 7MW; • 5 h i g h vo l t a g e substations; • 2 chlorine stations; • 25,000m³ of reservoir space in 15 buildings; • 135km of pipelines with diameters ranging from 500mm to 1,100mm; • 90km of optical cables • 20 distribution branches, of which 11 are in operation ä Welding of steel pipes

28 WATERS WATERS FFMONTENEGRO MONTENEGRO DURING DURING 2016, 2016, THETHE EXISTING EXISTING INTERNAL INTERNAL LABORATORY LABORATORY FOR FOR QUALITY QUALITY CONTROL CONTROL WAS WAS ADAPTED ADAPTED TO TO THETHE STANDARDS STANDARDS REQUIRED REQUIRED BY BY MODERN MODERN AND AND ACCREDITED ACCREDITED LABORATORIES LABORATORIES FOR FOR CONTROLLING CONTROLLING DRINKING DRINKING WATER. WATER.

ä Water ä Water spring spring “Bolje “Bolje sestre” sestre”

COVER STORY: How the project that changed Montenegro came to be • “Sozina” hydraulic tunnel, the length of which is 4.2km; • Over 400 smaller objects on the pipeline (lock chambers, metering and control blocks, air valve manholes, sludge outlets, etc.). The water from “Bolje sestre” water intake is of high quality, class A1 drinking water, which is used for water supply, without any prior treatment, and after a disinfection process prescribed by the law. Water quality is controlled by the Institute for Public Health of Montenegro, but also in our company’s lab o r a t o r y, w h i c h annually analyses more than 22,000 different parameters. Confirmation of our concern for the quality and safety of the water, which is distributed from the Re-

gional Water Supply System, was the introduction of HACCPbased safety management system, and the fact that the principles of the HACCP system are implemented in accordance with the International Code was confirmed by the Montenegrin certification body. In the coming period, we will begin with the implementation of other quality standards. Up to this point, the record year in terms of water supply was 2015, when we delivered a little more than 9.5 million m3, which is 28% of the annual capacity of Phase 1 of the system. In 2016, we delivered 9.3 million m3, i.e. in 2015 and 2016, our water supply increased by 35-40% compared to the previous year.

WATERS F MONTENEGRO Proper functioning of the Regional Water Supply System absolutely confirmed the vision of the Government of Montenegro, in times of the global economic crisis in the period from 2007 to 2010, to invest significant funds in the amount of â&#x201A;Ź80 million in the completion of the first phase of the construction of the Regional Water Supply System, thereby creating the conditions for better quality of life of the local population on the Montenegrin coast, but also accelerating the development of tourism as the main industry of the area. It would be impossible to think about investing in prestigious tourist developments were the water shortages still a part of our everyday life. Ă¤ Government of Montenegro

COVER STORY: How the project that changed Montenegro came to be

WATERS F MONTENEGRO

info info 33 ONLY ONLYAFTER AFTERSIX SIXYEARS YEARSOF OFWORK, WORK, ALL ALLSIX SIXCONTRACTS CONTRACTSWERE WERESIGNED SIGNED WITH WITHLOCAL LOCALWATER WATERSUPPLY SUPPLY ENTERPRISES ENTERPRISESIN INTHE THECOASTAL COASTAL REGION REGIONOF OFMONTENEGRO. MONTENEGRO.

COVER COVERSTORY: STORY: How Howthe theproject projectthat thatchanged changedMontenegro Montenegrocame cameto tobe be It Itis istherefore thereforeright rightto to say saythat thatresolving resolvingthe thedecadecades-old des-oldproblem problemof oflack lackof of drinking drinkingwater wateron onthe theMonMontenegrin tenegrincoast coastisisone oneof ofthe the most mostimportant importantfactors factorsthat that contributed contributedto tothe thecreation creation of of aa secure secure environment environment for forthe thegrowth growthof oftourism tourism revenues. revenues. Obvious Obviousand andmeasurameasurable blebenefits benefitsfrom fromthe theconconstruction structionof ofthe theRegional Regional Water WaterSupply SupplySystem Systemare are reflected reflected in in the the fact fact that that Montenegro, Montenegro,today, today,is isthe the largest largest tourism-related tourism-related

ä äWater Waterspring spring“Bolje “Boljesestre” sestre”

construction constructionsite sitein inEuroEurope, pe,because becausein intwo twomunicimunicipalities, palities,Tivat Tivatand andHerceg Herceg Novi, Novi,three threeprestigious prestigioustoutourist ristproject projectare arebeing beingimpleimplemented: mented:Luštica LušticaBay, Bay,Porto Porto Montenegro Montenegroand andPorto PortoNoNovi, vi,with withaatotal totalinvestment investment value value of of over over two two billion billion euros. euros. The The Regional Regional Water Water Supply Supply System, System, therefotherefore, re, gave gave new new momentum momentum to tothe therapid rapideconomic economicdedevelopment velopmentof ofthe theMonteMontenegrin negrincoast, coast,and andconsequconsequently entlyto towhole wholeMontenegro. Montenegro.

ä äReservoir ReservoirZelenika Zelenika

36 L

adies adiesand andgentlemen, gentlemen,dear dearfrienfriends, ds,ititisismy mypleasure pleasureto toofficially officially put putinto intooperation operationthe theRegional Regional Water WaterSupply SupplySystem Systemfor forthe theMonteMontenegrin negrinCoast. Coast.Completing Completingthis thisproject, project, enabled enabled Montenegro Montenegro to to be be signifisignificantly cantlycloser closerto tothe thevision visionof ofhighly highlydedeveloped velopedtourist touristdestination destinationand andsocisociety etywith withpreconditions preconditionsto toimprove improvethe the quality qualityof oflife lifefor forour ourcitizens citizensand andfor for further furtherdevelopment. development.

It Ittook tookus usaawhile whileto tocrecreate ate political, political, financial, financial, ororganisational ganisational and and technitechnical cal conditions conditions for for the the imimplementation plementation of of this this very very complex complex endeavour. endeavour. SinSince ce the the mid mid ‘70s ‘70s of of the the last last century, century,when whenwe westarted startedto to have haveclearer clearercontours contoursof ofthe the contemporary contemporaryMontenegrin Montenegrin economy economy in in which which tourism tourism and and related related services services will will have have aa key key role role and and be be aa sisign gnof ofrecognition recognitionof ofMonteMontenegro negro on on the the global global econoeconomic mic and and social social scene, scene, it it has has becomes becomes clear clear that that the the ininsufficient sufficient water water supply supply of of the theMontenegrin Montenegrincoast coastwill will be be aa limiting limiting factor factor for for the the development. development. Despite Despite the the early early identification identification of of the the problem, problem, the the following following dedecades cades were were spent spent for for long long

Milo ĐUKANOVIĆ ● ●Prime PrimeMinister Ministerof ofMontenegro Montenegro,, water waterspring springBolje Boljesestre sestre29. 29.09. 09.2010. 2010.

MONTENEGRO TO TURN TO ITS RICH POTENTIALS

Official oppening of phase I of Regional Waterworks for municipalities Budva, Kotor and Tivat 29. 09. 2010. ä äWater Waterspring spring“Bolje “Boljesestre” sestre”

and and fruitless fruitless discussions discussions between betweenlocal localcommunities communities and andexpert expertcircles circlesabout aboutthe the selection selectionof ofthe theoptimal optimalsosolution, lution,which whichmade madethe theproproblem blem all all the the more more dramadramatic. tic.Finally, Finally,at atthe theend endof ofthe the last lastcentury, century,the theParliament Parliament of of Montenegro, Montenegro, at at the the proproposal posal of of the the Government, Government, adopted adoptedaarational rationaldecision, decision, declared declaredthis thisproject, project,which which is is vital vital for for further further tourism, tourism, economic economic and and social social devedevelopment lopment of of Montenegro, Montenegro, to to be be aa national national project project and and took took over over the the responsibiresponsibility lityfor forits itsimplementation. implementation. This This was was followed followed by by the the dissolution dissolution of of the the forformer mer federal federal state, state, sancsanctions, tions, wars wars in in the the region region and and the the economic economic collapcollapse, se, which which brought brought MonteMontenegro, negro,as asthe thepart partof ofthe theununstable stable region, region, on on the the brink brink of of existence. existence. In In such such circircumstances, cumstances, it it was was not not popossible ssibleto toconstruct constructeven eventhe the facilities facilitieswhich whichwere werefinanfinancially cially and and technically technically less less demanding demanding than than the the RegiRegional onal Water Water Supply Supply for for the the Montenegrin Montenegrin coast. coast.

WATERS F MONTENEGRO Yet, during this period, the Government kept this project alive by funding individual phases, such as Sozina hydro-technical tunnel, from the regular budget revenues. However, it can be said that the right conditions for the completion of this complex venture were created only after Montenegro, in a democratic manner, resolved its statehood and strengthened its stability, which enabled us to obtain necessary funds from the international capital market. Ladies and gentlemen, in the 21st century, water has become a strategic resource. Today, in many areas throughout Europe and the world, imbalance between water demand and availability of water resources has reached critical proportions. This is why, within the European Union, proper water management and adequate pricing policy is of vital importance. Montenegro, with this project, confirms its commitment to use only

Official oppening of phase I of Regional Waterworks for municipalities Budva, Kotor and Tivat 29. 09. 2010. a portion of its abundant water resources, which are globally becoming more scarce and precious. The capacity of the project allows for almost all year round production of water for the needs of the Mediterranean region and beyond, as the potential of “Bolje sestre” spring surpasses the long-term needs of the Montenegrin coast and the designed capacity of the Regional Water Supply System. Not less important, this ground water source is of exceptional quality and will be available to users at adequate prices. The construction of the Regional Water Supply System, valued at €81.7 million, provides stable and quality solution to the basic necessity of the citizens of Montenegro, taking into account the long-term projection of population growth and the expected migration. Regular water supply is a prerequisite for achieving realistic projections of sustainable development of our country.

WATERS WATERS FFMONTENEGRO MONTENEGRO Large Largeinvestments, investments,which which were wereimplemented implementedororare arebeing being implemented, implemented,such suchasasluxury luxury development developmentofofPorto PortoMonMontenegro tenegroorormodernised modernisedSveti Sveti Stefan Stefanand andMiločer, Miločer,are arenow now able abletotofully fullyexploit exploitits itspotenpotential, tial,and andnew newlocations locationssuch suchasas Luštica, Luštica,Jaz, Jaz,Velika Velikaplaža, plaža,Ada Ada Bojana Bojanaand andthe theother, other,ofofcourcourse, se,will willincrease increasetheir theirmarket market value. value. Ladies Ladiesand andgentlemen, gentlemen, the theRegional RegionalWater WaterSupply Supply System Systemwas wascompleted completedininjust just over overthree threeyears yearsafter afterthe theGoGovernment vernmentofofMontenegro Montenegroadopadopted tedthe thefinal finaldecision decisionon onthe the completion completionofofthis thismajor majorproproject. ject.I Iwant wanttotoemphasise emphasisethat that this thisproject projectwas wasimplemented implemented atatthe theheight heightofofthe theglobal globalfi-financial nancialcrisis. crisis.Also, Also,this thisproproject jectwas wasconstantly constantlyand andwidely widely supported supportedby byour ourcitizens, citizens,rerelevant levantstate statebodies bodiesand andinterinternational nationalfinancial financialinstitutions institutions - -the theWorld WorldBank, Bank,the theEuropeEuropean anBank Bankfor forReconstruction Reconstruction and andDevelopment Developmentand andothers. others. This Thissynergy synergywas wasessential essentialfor for the thesuccess successofofthe theproject projectfor for which whichthe theGovernment, Government,from from itsitssources, sources,provided providedabout about€35 €35

million millionororabout about43% 43%ofofthe thetototal talfunds fundsrequired. required.So, So,after after 35 35years, years,Montenegro Montenegrohas hasrereceived ceivedan anextremely extremelyvaluable valuable and, and,for forfurther furthereconomic economicdedevelopment, velopment,an anessential essentialfacifacility. lity.AAlarge largenumber numberofofdomedomestic sticand andforeign foreigncompanies companieswewerereinvolved involvedininitsitsconstruction. construction. Through Throughthis thisengagement, engagement,we we have havegained gainednew newknowledknowledgegeand andexperience, experience,which whichimimproved provedthe thelevel levelofofexpertise expertise ofoflocal localworkforce, workforce,which whichisis now nowable abletotomanage manageprojects projects ininaccordance accordancewith withthe thestanstandards dardsofofthe thedeveloped developedworld. world. When Whenwe wetalk talkabout aboutcapital capitalininvestments, vestments,we wemust mustnot notforget forget about aboutSozina Sozinatunnel. tunnel.This Thisisisnot not aacoincidence, coincidence,since sincethese thesetwo two facilities facilitieshave havebeen beenthe theinvesinvestment tmentpriority priorityofofalmost almostallallgogovernments vernmentsofofMontenegro Montenegrosinsincecethe thesecond secondhalf halfofofthe thelast last century. century.InInaddition, addition,aalot lothas has been beeninvested investedininroad roadand andrarailway ilwayinfrastructure, infrastructure,airports, airports, border bordercrossings, crossings,energy energyand and water watersupply supplynetwork. network.DuDuring ringthis thisyear, year,we wewill willcomplecompleteteanother anothervaluable valuablepart partofofour our road roadtransport transportinfrastructure infrastructure- aaregional regionalroad, road,which whichwill willpropro-

Official Officialoppening oppeningof ofphase phaseIIof ofRegional RegionalWaterworks Waterworksfor for municipalities municipalitiesBudva, Budva,Kotor Kotorand andTivat Tivat29. 29.09. 09.2010. 2010.

35 MILLION MILLIONEUROS EUROSISISPROVIDED PROVIDED BY BYTHE THEGOVERNMENT GOVERNMENTFOR FOR THIS THISPROJECT PROJECTFROM FROMITS ITSOWN OWN SOURCES, SOURCES,I.E. I.E.43% 43%OF OFTOTAL TOTAL OF OFNECESSARY NECESSARYFUNDS FUNDS

ääWater Waterspring spring“Bolje “Boljesestre” sestre”

vide videquality qualityconnexion connexionbetwebetweenenthe thetwo twogems gemsofofthe thetourism tourism ininMontenegro Montenegro– –Boka Bokaand andDurDurmitor. mitor.The Thegovernment, government,theretherefore, fore,continues continuestotoplay playaakey keyroroleleinindirecting directingthe thedevelopment development ofofinfrastructure. infrastructure.The Theemphaemphasis sisisison onthe thedevelopment developmentofof our ourinfrastructure, infrastructure,which whichisisofof crucial crucialimportance importancefor forthe thededevelopment velopmentofofall allparts partsofofMonMontenegro, tenegro,especially especiallythe theless lessdedeveloped velopednorthern northernpart partofofour our country. country.This Thisisisthe theguiding guiding principle, principle,since sinceroad roadsafety safetyand and the thequality qualityofoflife lifeofofour ourcitizens citizens are aremore moreimportant importantthan thanthe the current currentcommercial commercialeffects. effects. Finally, Finally,allow allowme metotothank thank everyone everyonewho whocontributed contributedtoto this thisproject. project.Special Specialthanks thankstoto the theemployees employeesininthe thePublic Publicenenterprise terpriseRegional RegionalWater WaterSupply Supply for forthe theMontenegrin Montenegrincoast, coast, which whichshowed showedthat thatMonteMontenegro negrohas hasprofessionals professionalswho who can canindependently independentlyand andsuccesuccessfully ssfullymanage managethe themost mostcomcomplex plexengineering engineeringendeavours. endeavours. I Iwant wantthe theRegional RegionalWaWater terSupply SupplySystem Systemtotobebeused used for forthe thebenefit benefitofofall allcitizens citizensofof Montenegro Montenegroand andour ourtourists. tourists. Thank Thankyou youfor foryour yourattention. attention.

WATERS WATERS FFMONTENEGRO MONTENEGRO TT

hehehistory historyofofthe theRegional Regional Water WaterSupply SupplySystem Systemisisfull full ofofups upsand anddowns downsininterms termsofof the themanner mannerofofhow howtotoaddress addressnunumerous merousissues issuespertaining pertainingtotoconconceptual ceptualdesign, design,defining definingand anddedesigning signingthe thewater watersupply supplyroute, route,asas well wellasasininterms termsofofitsitsconstruction. construction.

Since Since1975, 1975,when whenwe weidenidentified tifiedthe theproblem problemand andour our needs, needs,since sincethe thefirst firstversion versionofof the thepreliminary preliminarydesign designuntil untiltotoday, day,we wehave haveinvested investedconsideconsiderable rableresources resourcesand andmany manyyears years ofofwork. work.Finally, Finally,ininthe thelast lastphaphaseseofofthe theproject, project,from from2006 2006toto 2010, 2010,allallobstacles obstacleswere werefinally finally removed, removed,which whichallowed allowedfor forthe the commencement commencementand andcompleticompletiononofofsuch suchaacomplex complexand andlarge large project. project.So, So,we weare aretalking talkingabout about the theperiod periodwhen whenour ourcountry countryreregained gaineditsitsindependence independencetotothe the time timewhen whenthe theregional regionalwater water supply supplysystem systemwas wascommissicommissioned, oned,when whenall allaspects aspectsofofthe the project: project:institutional, institutional,financifinancial,al,technical technicaland andorganisatioorganisational, nal,were werecompleted. completed.The Thededecision cisionon onthe theamount amountofofwater water that thatwill willbebesupplied suppliedfrom fromthe the Regional RegionalWater WaterSupply SupplySystem System were wereadopted adoptedon onthe thebasis basisofof carefully carefullydesigned designedanalyses analyses

NO NOMORE MORE OBSTACLES OBSTACLESFOR FOR AABIG BIGPROJECT PROJECT

Branimir Branimir GVOZDENOVIĆ GVOZDENOVIĆ ●●Minister MinisterofofSustainable SustainableDevelopment Developmentand and Tourism, Tourism,water waterspring springBolje Boljesestre sestre29. 29.09. 09.2010. 2010.

Official Officialoppening oppeningof ofphase phaseIIof ofRegional RegionalWaterworks Waterworksfor for municipalities municipalitiesBudva, Budva,Kotor Kotorand andTivat Tivat29. 29.09. 09.2010. 2010. that thatenable enableoptimisation optimisationofofthe the prices pricesfor forservices serviceswhich whichthe the municipalities municipalitiesi.e. i.e.their theirwawater tersupply supplycompanies companieswill willbebe paying payingtotothe thePublic Publicenterprise enterprise Regional RegionalWater WaterSupply. Supply.InInthis this manner, manner,we wewill willenable enablequality quality and andcontinuous continuousoperation operationand and minimal minimalmaintenance maintenancecosts costs pertaining pertainingtotothe theRegional RegionalWaWater terSupply SupplySystem. System.I especially I especially

want wanttotoemphasise emphasisethe theissue issueofof reconstruction reconstructionofofexisting existingdisdistribution tributionnetworks networksand andtheir theirfufuture tureimprovement improvementfor forthe thepurpurpose poseofofthe thedevelopment developmentofofallall municipalities municipalitiesononthe theMonteneMontenegrin grincoast. coast. Reduction Reductionofoflosses lossesininlocal local water watersupply supplynetworks networksisisone oneofof the themost mostimportant importanttasks tasksthat that municipalities municipalitiesininthe theregion regionand and

beyond, beyond,should shoulddeal dealwith withininthe the context contextofofthe theoverall overallimproveimprovement mentofofour ourmunicipalities. municipalities. Regional RegionalWater WaterSupply Supplyproproject, ject,permanently permanentlysolves solveswater water supply supplyissues issuesfor forthe theMonteneMontenegrin grincoast coastand andachieves achievesaadedecades-long cades-longdream dreamofofgeneratigenerations onswho whoremember rememberthe theoriginal original idea ideaofofdistributing distributingwater waterfrom from Lake LakeSkadar Skadartotoour ourcoast. coast.

Ă¤Ă¤Pump Pumpstation stationBelveder Belveder

WATERS WATERS FFMONTENEGRO MONTENEGRO

ääWater Waterspring spring“Bolje “Boljesestre” sestre”

Taking Takinginto intoaccount accountthe the results resultsofofjoint jointefforts effortsthat that we wecelebrate celebratetoday todaywith withthis this official officialopening openingofofthe theRegiRegional onalWater WaterSupply SupplySystem, System, I Ideeply deeplybelieve believethat thatMonteMontenegro negrojustified justifiedthe theexpectaexpectations tionsofofcitizens, citizens,investors, investors, creditors creditorsand andall allpartners partnersinin the theprojects projectsand andcreated createdthe the conditions conditionsfor forfurther furtherintenintensive sivedevelopment developmentand andnew new investments. investments. Since Since1975, 1975,when whenwe we identified identifiedthe theproblem problemand and

our ourneeds, needs,since sincethe thefirst firstverversion sionofofthe thepreliminary preliminarydesidesign gnuntil untiltoday, today,we wehave haveinveinvested stedconsiderable considerableresources resources and andmany manyyears yearsofofwork. work.FiFinally, nally,ininthe thelast lastphase phaseofofthe the project, project,from from2006 2006toto2010, 2010, all allobstacles obstacleswere werefinally finallyreremoved, moved,which whichallowed allowedfor forthe the commencement commencementand andcomplecompletion tionofofsuch suchaacomplex complexand and large largeproject. project.So, So,we weare aretaltalking kingabout aboutthe theperiod periodwhen when our ourcountry countryregained regainedits itsinindependence dependencetotothe thetime timewhen when

the theregional regionalwater watersupply supply system systemwas wascommissioned, commissioned, when whenall allaspects aspectsofofthe theproproject: ject:institutional, institutional,financial, financial, technical technicaland andorganisational, organisational, were werecompleted. completed. The Thedecision decisionon onthe theamouamountntofofwater waterthat thatwill willbebesupplisupplied edfrom fromthe theRegional RegionalWater Water Supply SupplySystem Systemwere wereadopadopted tedon onthe thebasis basisofofcarefully carefully designed designedanalyses analysesthat thatenaenable bleoptimisation optimisationofofthe theprices prices for forservices serviceswhich whichthe themunicimunicipalities palitiesi.e. i.e.their theirwater watersupply supply

Official Officialoppening oppeningof ofphase phaseIIof ofRegional RegionalWaterworks Waterworksfor for municipalities municipalitiesBudva, Budva,Kotor Kotorand andTivat Tivat29. 29.09. 09.2010. 2010.

info info44 THE THEGOVERNMENT GOVERNMENTOF OF MONTENEGRO MONTENEGROHAD HADTHE THE LARGEST LARGESTSHARE SHAREININTHE THEENTIRE ENTIRE FINANCIAL FINANCIALCONSTRUCTION, CONSTRUCTION,BYBY PROVIDING PROVIDING43% 43%OF OFREQUIRED REQUIRED FUNDS. FUNDS.SIGNIFICANT SIGNIFICANTFUNDS FUNDS WERE WEREPROVIDED PROVIDEDBYBYTHE THELOANS LOANS FROM FROMTHE THEWORLD WORLDBANK BANKAND AND THE THEEBRD. EBRD.

companies companieswill willbe bepaying payingtoto the thePublic Publicenterprise enterpriseRegiRegional onalWater WaterSupply. Supply.InInthis this manner, manner,we wewill willenable enablequaquality lityand andcontinuous continuousoperatioperation onand andminimal minimalmaintenanmaintenancececosts costspertaining pertainingtotothe theReRegional gionalWater WaterSupply SupplySystem. System.I I especially especiallywant wanttotoemphasise emphasise the theissue issueofofreconstruction reconstructionofof existing existingdistribution distributionnetworks networks and andtheir theirfuture futureimprovement improvement for forthe thepurpose purposeofofthe thedevedevelopment lopmentofofall allmunicipalitimunicipalitieseson onthe theMontenegrin Montenegrincoast. coast.

Reduction Reductionofoflosses lossesinin local localwater watersupply supplynetworks networks isisone oneofofthe themost mostimportant important tasks tasksthat thatmunicipalities municipalitiesinin the theregion regionand andbeyond, beyond,shoshould ulddeal dealwith withininthe thecontext context ofofthe theoverall overallimprovement improvementofof our ourmunicipalities. municipalities. Regional RegionalWater WaterSupply Supply project, project,permanently permanentlysolves solves water watersupply supplyissues issuesfor forthe the Montenegrin Montenegrincoast coastand andachieachieves vesaadecades-long decades-longdream dreamofof generations generationswho whoremember remember the theoriginal originalidea ideaofofdistribudistribu-

ting tingwater waterfrom fromLake LakeSkadar Skadar totoour ourcoast. coast. Taking Takinginto intoaccount accountthe the results resultsofofjoint jointefforts effortsthat that we wecelebrate celebratetoday todaywith withthis this official officialopening openingofofthe theRegiRegional onalWater WaterSupply SupplySystem, System, I Ideeply deeplybelieve believethat thatMonteMontenegro negrojustified justifiedthe theexpectaexpectations tionsofofcitizens, citizens,investors, investors, creditors creditorsand andall allpartners partnersinin the theprojects projectsand andcreated createdthe the conditions conditionsfor forfurther furtherintenintensive sivedevelopment developmentand andnew new investments. investments.

WATERS WATERS FFMONTENEGRO MONTENEGRO DD

ear earPrime PrimeMinister, Minister,ladiladiesesand andgentlemen, gentlemen,I want I want totogreet greetyou youallalland, and,ononbebehalf halfofofthe theRegional RegionalWater WaterSupply Supply System, System,thank thankyou youfor foryour yourprepresence senceatatthe theofficial officialcommissiocommissioning ningofofthis thiscapital capitalproject, project,the theReRegional gionalWater WaterSupply SupplySystem Systemfor for the theMontenegrin Montenegrincoast. coast.

Main Mainworks workson onthe the Regional RegionalWater WaterSupply Supply System Systemwere werecompleted completed on onJuly July15th, 15th,thus thuscreacreating tingthe thepossibility possibilityfor for the themunicipalities municipalitiesofofBar, Bar, Budva, Budva,Tivat Tivatand andKotor Kotortoto receive receivewater waterfrom from“Bolje “Bolje sestre” sestre”spring. spring.Currently, Currently, we wecan cansupply supply1,100 1,100lilitres tres per per second second from from that thatwater waterintake. intake.ReRecently, cently,we wehave haveannounannounced cedaatender tenderfor forthe theconcontinuation tinuationofofwork worktowartowards dsUlcinj Ulcinjand andour ourplan planisis totofinish, finish,ininApril Aprilnext next year, year,the thepipeline pipelineroute route totoDobra DobraVoda. Voda.This Thiswill will enable enablethe theMunicipality Municipality ofofBar Bartotoimmediately immediately start startthinking thinkingabout aboutthe the development developmentofofaawater water supply supplynetwork networkfor forlarlarge gesettlements settlementssuch suchas as

WORLD WORLDCRISIS CRISIS DID DIDNOT NOTHINDER HINDER OUR OURPLANS PLANS

Miodrag Miodrag Pejović Pejović ●●President PresidentofofManaging ManagingBoard, Board, water waterspring springBolje Boljesestre sestre29. 29.09. 09.2010. 2010.

Official Officialoppening oppeningof ofphase phaseIIof ofRegional RegionalWaterworks Waterworksfor for municipalities municipalitiesBudva, Budva,Kotor Kotorand andTivat Tivat29. 29.09. 09.2010. 2010. Utjeha, Utjeha,Dobra DobraVoda Vodaand and others, others,which whichhave haveseseveral veralthousand thousandobjects, objects, which whichwould wouldbe beimporimportant tantfor forBar BarWater WaterComCompany panyand andthe theRegional Regional Water WaterSupply SupplySystem. System. Until UntilApril April2012, 2012,water water will willcome cometotoUlcinj. Ulcinj. DDeeaar r GGeennt tl el emmeenn, , when whenwe wetalk talkabout aboutthe the Regional RegionalWater WaterSupply Supply System, System,I Imust mustsay saythat that this thisisisaavery verycomplicacomplicated tedand andcomplex complexproject. project. Apart Apartfrom fromnumerous numerous facilities, facilities,today todayyou youwill will have have the the opportunity opportunity totosee seethe theheart heartofofthe the system, system,“Bolje “Boljesestre” sestre” source, source,we wehave havealso alsolaid laid down down135km 135kmofofpipelipipelines, nes,ofofwhich whichover over70% 70%isis going goingthrough throughan anextreextremely melydifficult difficultterrain, terrain, which whichcreated createdadditional additional issues issuesfor forcontractors contractorsinin terms termsofofrespecting respectingthe the agreed agreedtask taskexecution execution timeline, timeline,and andininpartiparticular cularininterms termsofofassuassuring ringquality qualityand andsafety safety ofofthe thepipeline pipelinefor forfutufuturereexploitation. exploitation. ääWater Waterspring spring“Bolje “Boljesestre” sestre”

WATERS F MONTENEGRO If I say that the water supply system has more than 400 objects, then it is clear, what was the level of complexity in terms of the terrain that this water supply system had to pass through. I will mention only certain characteristic sections. We laid 18km of pipeline along the bottom of Lake Skadar; the entire length was excavated; we had to pass two times beneath the Morača river bed, where we applied the latest technologies, microtunnelling and hydraulic injection, and the entire construction was laser-guided. The pipe manufacturer from Germany and the contractor offer more than 70 years or even 100 years of warranty. The same technology was used for two passes under the main road and the railroad. Sozina tunnel was built in the ‘90s, but suffered major damage, so it had to be overhauled along its entire length – 4.2km, and segments of the tunnel had to be wideä Detail from the construction of southern line

Official oppening of phase I of Regional Waterworks for municipalities Budva, Kotor and Tivat 29. 09. 2010. ned (these segments of the tunnel were only 2.3m wide) to become adequate for both functions – the first was to accommodate the pipeline and the second was to provide for tunnel evacuation. I would like to especially thank the Prime Minister of Montenegro, Mr. Milo Đukanović, the man who gave the greatest contribution to this project. As you know, this project was built during the global financial crisis which was also felt in Montenegro. In such circumstances, provision of all conditions, especially large financial resources - I think that this is quite a feat and, above all, great feat of the Government of Montenegro. This project, as Minister Gvozdenović has just said, is something that the Government of Montenegro is proud of. I regret that Mr. Željko Šturanović, is not with us today, who I want to especially thank because, in 2007, he, as Prime Minister and his government, adopted a strategic decision

regarding the regional water supply system. First, he adopted the decision on the selection of “Bolje sestre” source, which can provide for continuous and quality water supply of the Montenegrin coast, for which we need 1,600 l/sec of water. Second, he made the decision on the method of financing the Regional Water Supply System, which proved to be correct. I want to thank the operative team formed by the Government of Montenegro, who supervised the construction the Regional Water Supply System and helped the Regional Water Company. The operational team was led by our line minister, Branimir Gvozdenović, and it was composed of Deputy Prime Minister Mr. Igor Lukšić, Minister of Agriculture Mr. Milutin Simović, Minister of Tourism Predrag Nenezić, Chairman of the Board of Directors of EPCG Srđan Kovačević and President of the Steering Committee of the Regional Water Company.

WATERS F MONTENEGRO I would especially like to thank the representatives of the World and the European Bank as flawless arbitrators who continuously monitored the progress of our work, our operations and financial expenditures. Does the progress of work justifies the financial expenses? All the reports of the World Bank and the European Bank stated that the Regional water supply system had received the highest praise. This had two effects: the Regional Water Supply System is capable of introducing and organising major projects and the Regional Water Supply System thus contributed to the overall environment in Montenegro which facilitates development programs financed from such powerful financial institutions. I want to thank the presidents of the municipalities of Bar, Budva, Tivat and Kotor who, from the day of the decision to build the Regional Water Supply System, have always been positive and, during the construction, gave us all the help and support.

info 5 THE THEREGIONAL REGIONALWATER WATER SUPPLY SUPPLYWAS WASENABLED ENABLEDTO TO INTRODUCE INTRODUCEAND ANDORGANISE ORGANISE MAJOR MAJORPROJECTS, PROJECTS, THUS THUSCONTRIBUTING CONTRIBUTINGTO TO THE THECREATION CREATIONOF OFTHE THE OVERALL OVERALLENVIRONMENT ENVIRONMENTIN IN MONTENEGRO MONTENEGROFOR FORFINANCING FINANCING DEVELOPMENT DEVELOPMENTPROGRAMMES PROGRAMMES BY BYPOWERFUL POWERFULFINANCIAL FINANCIAL INSTITUTIONS. INSTITUTIONS.

Official oppening of phase I of Regional Waterworks for municipalities Budva, Kotor and Tivat 29. 09. 2010. Ă¤ Ă¤Detail Detailfrom fromthe theconstruction constructionof ofcontinental continentalline line

WATERS F MONTENEGRO T

he heRegional RegionalWater WaterSupply Supply System, System,after after34 34years yearsof of existence, existence,ininthe thepast pasttwo twoyeyears arscompleted completedone oneofofthe themost mostimimportant, portant,ififnot notthe themost mostsignificant significant capital capitalinvestment investmentininMontenegro Montenegro since sinceour ourindependence. independence.

Implementation Implementationof ofthe the project project created created essential essential prerequisites prerequisitesfor forthe thesuccesuccessful ssfuldevelopment developmentof oftouritourism smand andfuture futureinvestment investment projects projects on on the the MonteneMontenegrin grincoast. coast. On Onthis thisoccasion, occasion,IIwowould uldlike liketo tothank thankall allparticiparticipants pantsof ofthis thiscapital capitalproject, project, primarily primarilythe theGovernment Governmentof of Montenegro, Montenegro,the theline lineMiniMinistry, stry,the theWorld WorldBank, Bank,the theEuEuropean ropeanBank Bankfor forReconstrucReconstruction tionand andDevelopment, Development,Erste Erste Bank, Bank,the theAbu AbuDhabi DhabiDeveDevelopment lopmentFund Fundand andall allother other participants participantswho whofinanced financed this thisproject, project,contractors contractorson on all all12 12sites, sites,and andour ourcitizens citizens for fortheir theirunderstanding understandingand and support. support.IIespecially especiallywant wantto to thank thankour ourBoard Boardof ofDirectors, Directors, headed headedby byMr. Mr.Miodrag MiodragPejoPejović, vić,who whocontinuously continuouslymomonitored nitoredthe theimplementatiimplementation onof ofthe theproject projectand andtheir their

WE CREATED CONDITIONS FOR TOURISM DEVELOPMENT

Zoran Zoran Bošnjak Bošnjak

● ●Director Directorof ofPublic PublicEnterprise Enterprise“Regional “RegionalWaterworks Waterworks for forthe theMontenegrin MontenegrinCoast”, Coast”,Budva Budvafrom from2006 2006until until 2012, 2012,water waterspring springBolje Boljesestre sestre29. 29.09. 09.2010. 2010.

timely timelyand andappropriate appropriatedecidecisions sionsenabled enabledsmooth smoothcomcompletion pletionof ofthe theproject. project. And And finally, finally, many many thanks thanksto toall allemployees employeesof of

the thePublic PublicEnterprise EnterpriseRegiRegional onalWater WaterSupply SupplySystem System for fortheir theirfull fullcommitment commitment and andself-sacrifice self-sacrificeexpressed expressed during duringthe theimplementation implementation

of ofthe theproject. project.We Weare areproud proud that thatwe wehad hadthe thehonour honourto to implement implementthe theproject projectof ofcacapital pitalimportance importancefor forMonteMontenegro. negro.Thank Thankyou youall. all.

Ă¤ Porto Montenegro

WATERS F MONTENEGRO The Theincrease increasein inrevenue revenue in in 2016, 2016, coupled coupled with with the the creation creation of of the the conditions conditions for for the the long-term long-term financifinancial alstability stabilityof ofour ourcompany, company, created created the the situation situation in in which, which, our our company, company, in in the the period period to to come, come, will will turn turn to to the the implementation implementation of of the the following following projects: projects: 1. 1. The The design design of of the the sesecond cond pipeline pipeline for for Budva Budva -Tivat -Tivat section, section, in in order order to to expand expand our our capacities capacities for for the the municipalities municipalities of of TiTivat, vat, Kotor Kotor and and Herceg Herceg NoNovi vi from from 330 330 to to 750l/s. 750l/s. The The construction construction of of the the new new pipeline pipeline would would initiate initiate the the construction construction of of the the sesecond cond phase phase of of the the system, system, which which is is based based on on spatial spatial planning planning documentation documentation planned planned for for 2025, 2025, but but the the rapid rapid development development of of toutourism rism and and the the influx influx of of the the population population significantly significantly increased increased water water demand, demand, 2. 2. The The project project of of conconstruction struction of of water water bottling bottling plant, plant, 3. 3. The The project project of of conconstruction struction of of ice ice tea tea factory, factory, ä äPipeline Pipelineat atthe thebeach beachof ofBečići Bečići

ä äPipeline Pipelineat atthe thebeach beachof ofBečići Bečići

COVER STORY: How the project that changed Montenegro came to be

WATERS F MONTENEGRO 4. 4. Water Water export export in in tankers, tankers, 5. 5. The The expansion expansion of of the the capacity capacity of of the the statistation on in in Budva Budva from from 450 450 to to 750l/s, 750l/s, in in order order to to operate operate at at the the capacity capacity of of the the 2nd 2nd phase phase of of the the Regional Regional WaWater ter Supply Supply System, System, 66.. ““PPrriijjeevo vorr”” bbrree-ak ak pressure pressure tank tank capacapacity city expansion expansion (reservo(reservoir ir expansion), expansion), 7. 7. Increasing Increasing energy energy efficiency efficiency and and the the producproduction tion of of electricity electricity from from solar solar energy energy and and exploiexploitation tation of of hydro hydro potential, potential, 8. 8. “Bolje “Bolje sestre” sestre” water water intake intake roofing roofing project, project,

info 6 EVEN EVENTHOUGH THOUGHTHE THEDESIGN DESIGN STAGE STAGEENVISAGED ENVISAGEDTHE THE CONSTRUCTION CONSTRUCTIONOF OFWATER WATER TREATMENT TREATMENTPLANTS, PLANTS,WATER WATER QUALITY QUALITYTESTS TESTSIN INTHE THE “BOLJE “BOLJESESTRE” SESTRE”SOURCE SOURCE SHOWED SHOWEDTHAT THATTHE THEONLY ONLY DISINFECTION DISINFECTIONREQUIRED REQUIREDWAS WAS THE THECHLORINE CHLORINEDISINFECTION DISINFECTION PROSCRIBED PROSCRIBEDBY BYTHE THELAW. LAW.

ä äContinental Continentalline line--land landsection section

COVER STORY: How the project that changed Montenegro came to be 9. 9. Utilisation Utilisation of of the the optical optical infrastructuinfrastructure re of of the the Regional Regional Water Water Supply Supply System. System. Implementing Implementing the the conclusions conclusions of of the the GoGovernment vernment of of Montenegro, Montenegro, the the company company launched launched an an initiative initiative in in 2014 2014 for for the the creation creation of of aa study study which which would would analyse analyse the the need need to to reform reform the the water water supply supply sector sector on on the the MonMontenegrin tenegrin coast. coast. Thus, Thus, the the European European Bank Bank for for ReReconstruction construction and and DeveDevelopment lopment approved approved aa grant grant for for the the Study Study of of optimisaoptimisation tion of of the the water water supply supply sector sector on on the the MonteneMontenegrin grin coast, coast, because because it it is is clear clear that that the the current current momodel del of of work work of of the the water water sector sector is is inefficient, inefficient, bebecause cause in in six six municipalimunicipalities ties we we have have eight eight water water supply supply companies. companies. A A consulting consulting firm, firm, enengaged gaged through through an an interinternational national tender, tender, drafted drafted the the reform reform plan, plan, which which will will be be forwarded forwarded to to the the Government Government for for approval. approval.

WATERS F MONTENEGRO

ä Ćafe Pipeline- Ulcinj

COVER STORY: How the project that changed Montenegro came to be

CAPACITY OF PHASE I EXPLOATATION OF RWS AMOUNTS TO 1.100 L/S, I.E. 34.689.600 M33 PER YEAR WATERLOSS IN REGIONAL WATERSUPPLY SYSTEM IS APPROXIMATELY AT 2% We have initiated the preparation of the program for the development of the water sector by 2030, which will provide guidelines for the sustainable development of the water supply and wastewater disposal sectors with the aim of ensuring safe water supply to the Montenegrin coast and the successful resolution of ever growing challenges pertaining to the consumption of drinking water due to the accelerated economic development of Montenegro and its coastal region, as well as global climate change. ä Ćafe Pipeline- Ulcinj

62 WATERS F MONTENEGRO The The Regional Regional Water Water Supply Supply System, System, in in 2016 2016 and and 2017, 2017, has has invested invested considerable considerable effort effort to to implement implement the the idea idea of of launching launching aa professioprofessional nal journal journal “Waters “Waters of of Montenegro”, Montenegro”, whose whose first first issue issue came came out out on on September September 29th 29th 2017, 2017, on on the the day day of of the the ReRegional gional Water Water Supply Supply System System in in order order to to rairaise seawareness awarenessof ofthe thewiwider der community community about about the the importance importance of of wawater ter for for our our life life and and fufuture ture generations. generations. So, So, all all in in all, all, we we can can definitely definitelystate statethat thatthe the construction construction of of the the ReRegional gional Water Water Supply Supply System System for for the the MonteMontenegrin negrin coast, coast, as as an an imimportant portant infrastructure infrastructure and andcapital capitalproject, project,conconfirmed firmedthe thevision visionof ofthe the Government Government of of MonMontenegro tenegro that that investing investing in in infrastructure infrastructure proprojects jectscreates createsthe theatmosatmosphere phere for for overall overall social social progress. progress.

22.908

IS ISAATOTAL TOTALNUMBER NUMBEROF OFWATER WATERQUALITY QUALITYPARAMETERS PARAMETERS INCLUDING INCLUDINGANALYSES ANALYSESOF OFINSTITUTE INSTITUTEFOR FORPUBLIC PUBLIC HEALTH HEALTHTHAT THATWERE WERECONDUCTED CONDUCTEDIN ININTERNAL INTERNAL LABORATORY LABORATORYOF OFREGIONAL REGIONALWATERWORKS WATERWORKSDURING DURING 2016. 2016.

COVER COVERSTORY: STORY: How Howthe theproject projectthat thatchanged changedMontenegro Montenegrocame cameto tobe be

IMPLEMENTED IMPLEMENTEDTHE THE ADAPTATION ADAPTATIONOF OF EXISTING EXISTINGINTERNAL INTERNAL LABORATORY LABORATORYFOR FOR QUALITY QUALITYCONTROL CONTROL BY BYSTANDARDS STANDARDS REQUIRED REQUIREDBY BY ACREDITED ACREDITED LABORATORIES LABORATORIESFOR FOR CONTROL CONTROL

LOSSES LOSSESIN IN REGIONAL REGIONAL WATERSUPPLY WATERSUPPLY SYSTEM SYSTEMARE ARE 22TO TO3%. 3%.

WITHIN WITHINTHE THESYSTEM SYSTEM AAHYDRO-TECHNICAL HYDRO-TECHNICAL TUNNEL TUNNEL“SOZINA” “SOZINA” WAS WASBUILT, BUILT,LENGTH LENGTH OF OF4,2 4,2KM KMTHAT THAT SUBSEQUENTLY SUBSEQUENTLY REPRESENTS REPRESENTS EVACUATION EVACUATIONTUNNEL TUNNEL OF OFTRAFFIC TRAFFICTUNNEL TUNNEL “SOZINA” “SOZINA”

135

KILOMETERS KILOMETERSIS ISTHE THE TOTAL TOTALLENGHT LENGHTOF OF REGIONAL REGIONALWATER WATERSUPPLY SUPPLY SYSTEM SYSTEMPIPELINES. PIPELINES.IT IT PASSES PASSESTROUGH TROUGHSEVEN SEVEN MUNICIPALITIES MUNICIPALITIES

ä äInfrastructure Infrastructurefor forSanitary Sanitarylandfill landfillMožura Možura

WATERS F MONTENEGRO Also, we created the conditions for a higher quality of life of the population on the coast of Montenegro, but also for the rapid development of tourism as the fastest growing industry in Montenegro. Long ago, it was noted that the implementation of major projects give rise to the foundation of large companies which will provide concrete and measurable benefits for the entire society. Therefore, the Regional Water Supply System is the project that definitively changed Montenegro. THE REGIONAL WATER SUPPLY SYSTEM – THE PROJECT THAT CHANGED MONTENEGRO

info 7 IT WAS ONLY AFTER 6 YEARS OF OPERATION THAT CONTRACTS WITH ALL 6 LOCAL WATER SUPPLY COMPANIES ON THE MONTENEGRIN COAST WERE FINALLY SIGNED. ä Continental line - inland section

COVER STORY: How the project that changed Montenegro came to be Company’s investments in developing programs:

year 2013.

0€

year 2014.

50.000€ year 2015.

120.000€ year 2016.

320.000€ ä Continental line - inland section

Ă¤ Skadar lake

info 8 RECORD WATER DELIVERY WAS RECORDED IN 2015, WHEN 9,589,000 M3 OF WATER WAS DELIVERED. IN 2016, 9,333,649 M3 OF WATER WAS DELIVERED, WHEREAS JUST A YEAR BEFORE, IN 2015, 5,605,977 M3 WAS DELIVERED, THE LEAST WATER DELIVERED ANNUALLY SINCE THE WATER SUPPLY SYSTEM STARTED WORKING.

68 L

adies and gentlemen, I welcome you on behalf of the Government of Montenegro and express my satisfaction that today we celebrate the Day of the“Regional Waterworks for the Montenegrin Coast”. This is a real opportunity and a place to emphasise how crucial the development of municipal infrastructure is an important condition for the quality of life of people.

Also, for foreign investment, tourism and socioeconomic development of the country. This is best illustrated by the environment in which we celebrate this anniversary. Porto Montenegro is, apart from the Regional Water Supply System, one of the most important investments in the past decade. And the best promoter of our strategy for the development of high-level tourism in Montenegro. And, I said it during the opening – this project is a convincing testimony to how time is an important factor when making important decisions. At the same time, a war-

Milo ĐUKANOVIĆ ● Prime Minister of Montenegro, Tivat – Porto Montenegro 29. 09. 2016. marking of the Day of Regional Waterworks

PROJECT FOR CURRENT AND FUTURE GENERATIONS

Celebration on the occasion of the four decades of company establishment 29. 09. 2016. Ă¤ Kotor

ning. It takes decades to create the conditions to implement this complex undertaking. The Regional Water Supply System was put into operation on September

29th, 2010. But, since the mid â&#x20AC;&#x2DC;70s of the last century, when it was slowly becoming clear that tourism and related services will be the sign of recognition of Mon-

tenegro on the global economic and social scene, it was clear that the lack of water on the Montenegrin coast will be a limiting factor for its development.

70 WATERS WATERS FFMONTENEGRO MONTENEGRO

Celebration Celebrationon onthe theoccasion occasionof ofthe thefour fourdecades decades of ofcompany companyestablishment establishment29. 29.09. 09.2016. 2016.

2 BILLION BILLIONEUROS EUROSISISTHE THE VALUE VALUEOF OFPROJECTS PROJECTSBEING BEING CONSTRUCTED CONSTRUCTEDININONLY ONLYTWO TWO MUNICIPALITIES, MUNICIPALITIES,TIVAT TIVATAND AND HERCEG HERCEGNOVI NOVI

The Theproblem problemwas wasdetecdetected tedrelatively relativelyearly, early,but butwe we spent spentpast pastdecades decadesininlong long and andfruitless fruitlessdiscussions discussions ininvarious variouscircles, circles,atatall alllelevels. vels.The Thesituation situationwas wasbecobecoming mingall allthe themore moredramatic. dramatic. Finally, Finally,atatthe theend endofofthe thelast last century, century,the theGovernment Government identified identifiedthis thisproject projectasasone one ofofthe thekey keyprojects projectswhich which will willspur spurthe thedevelopment development ofofMontenegro. Montenegro.

The Thefinal finaldecision decisionwas was rendered renderedby bythe theParliaParliament, ment,and andititconfirmed confirmed the theproject projectimplementaimplementation tionwas wasthe theresponsibiresponsibility lityofofour ourState. State.This Thiswas was followed followedby bythe thedissolutidissolution onofofthe thefederal federalstate stateand and all allthat thatisisconnected connectedwith with such suchevents. events.Even Evenunder under such suchconditions, conditions,the theGoGovernment vernmentkept keptthis thisproject project alive aliveby byfunding fundingindividuindividualalphases, phases,such suchas asSozina Sozina hydro-technical hydro-technicaltunnel, tunnel, from fromthe theregular regularbudget budget revenues. revenues.Real Realconditions conditions for forthe thecompletion completionofofthis this project projectwere werecreated createdonly only after afterMontenegro Montenegrobecame became independent, independent,and andthe theconconsolidation solidationofofits itsstability stability provided providedthe thepreconditipreconditions onsfor foracquiring acquiringthe thefunfunds dsfrom frominternational internationalcapicapital talmarkets. markets. ItItsoon soonbecame becameobvioobvious usthat thatthe thedecision decisionofofthe the Government Governmenttotoinvest investsusubstantial bstantialfunds fundsininthis thistytype peofofinfrastructure infrastructurewas was correct, correct,even evenatatthe thetime timeofof the theglobal globalfinancial financialcrisis. crisis. Especially Especiallygiven giventhe thegrowth growth

inintourist touristspending spendingininMonMontenegro tenegroininrecent recentyears. years.I I am amsure surethat thatthis thisproject project will willsignificantly significantlycontricontribute butetotoachieve achieveand andexceed exceed the thenumber numberofofarrivals arrivalsand and nights nightsininterms termsofofour ourrerecord cordseason seasoninin1987. 1987.Our Ourininvestment vestmentofof€107 €107million millioninin the theRegional RegionalWater WaterSupply Supply System, System,not notonly onlycontribucontributed tedtotothe thehigher highernumber numberofof tourists, tourists,but butalso alsoimproved improved the theoverall overallbusiness businessenvienvironment ronmentand andthe theinflow inflowofof investments. investments.Especially Especiallyinin tourism. tourism.InIntwo twoour ourmunimunicipalities, cipalities,Tivat Tivatand andHerceg Herceg Novi, Novi,we wehave havethree threevaluavaluable blenew newtourist touristfacilities facilities being beingconstructed: constructed:LuštiLuštica caBay, Bay,Porto PortoMontenegro Montenegro and andPorto PortoNovi. Novi.Their Theirtototal talvalue valueexceeds exceedstwo twobillibillion oneuros. euros.The Theimprovement improvement ofofbasic basicinfrastructure infrastructureand and FDI FDIinflow inflowininthe theprevious previous decade, decade,dominantly dominantlyinfluinfluenced encedthe theincrease increaseinintouritourism smrevenues, revenues,which, which,for forthe the last lastyear, year,reached reachedthe thelevel level ofof€820 €820million. million.The Theprojecprojection tionisisthat thatthis thisyear yearwill willbe be around around€850 €850million. million.

WATERS F MONTENEGRO The participation of tourism in the GDP increased to about 20%. It is particularly important to emphasise that the Regional Water Supply System â&#x20AC;&#x153;Regional Waterworks for the Montenegrin Coastâ&#x20AC;? is, from the beginning, a self-sustaining company. Annually, they use 20 to 28% of their capacity. Further increase in the number of users will mean better utilisation of its capacity and that means higher revenue. It is encouraging that we are in the process of connecting the municipality of Herceg Novi to the water supply system, after this had been done with Budva, Kotor, Tivat, Bar and Ulcinj. Bearing in mind that the utilisation of the existing capacities of the first phase of the Regional Water Supply System, during the main tourist season, is at the level of between 8090% for the entire coast, activities have been initiated on the development of the main project for the imple-

mentation of the second pipeline from Budva to Tivat in length of 11km. This would increase the water supply capacity for the municipality of Tivat, Kotor and Herceg Novi, from the current 330 litres per second to potentially 750 litres per second. The construction of the new pipeline would start the second phase, which was, based on current planning documents, planned for 2025. Thus, rapid development of tourism and the influx of population, nearly ten years ahead of schedule, significantly increased water demand. Third, not less important element for further development of the water supply system is to strengthen our regulatory infrastructure. We have adopted important laws and thus created system prerequisites for addressing the challenges of sustainability of our water supply system. Therefore, the focus of the Government is to optimise the water supply

Celebration on the occasion of the four decades of company establishment 29. 09. 2016. system in Montenegro with simultaneous protection of citizensâ&#x20AC;&#x2122; health. The Institute for Public Health conducts the quality control of drinking water, which is distributed by municipal utility companies, in order to adequately protect the health of consumers. The draft Law on Drinking Water is in its final phase, and it will comprehensively define the conditions of water distribution to final consumers in line with European standards. Ladies and Gentlemen, water is one of the most important strategic resources. This is why, within the European Union, responsible water management and adequate pricing policy is of vital importance. Our previous six-year experience in the supply of water from the Regional Water Supply System â&#x20AC;&#x153;Coast of Montenegroâ&#x20AC;? is another real opportunity for the valorisation of local development resources for the benefit of the present and future generations.

WATERS F MONTENEGRO The The capacity capacity of of the the system system allows allows for for almost almost all all year yearround roundproduction productionof ofwawater terfor forthe theneeds needsof ofthe theMediMediterranean terraneanregion regionand andbeyond, beyond, as as the the potential potential of of “Bolje “Bolje sesestre” stre” spring spring surpasses surpasses the the long-term long-termneeds needsof ofthe theMonMontenegrin tenegrin coast coast and and the the desidesigned gnedcapacity capacityof ofthe theReRe-

ä äPorto PortoMontenegro Montenegro

gional gionalwater watersupply. supply. With With the the construction construction and and current current work work of of the the ReRegional gionalWater WaterSupply SupplySystem, System, we we have have provided provided for for aa ququality ality and and stable stable all all year year roround und solution solution to to one one of of the the basic basic needs needs of of the the citizens citizens of of Montenegro. Montenegro.

At At the the same same time, time, we we have have improved improved aa very very imimportant portantelement elementwhich whichwill will enable enable us us to to attract attract invesinvestments, tments, which which serve serve as as the the foundation foundationof ofdynamic dynamicand and sustainable sustainabledevelopment developmentof of our our country. country. II hope hope we we hahave ve learnt learnt an an important important lelesson sson about about the the importance importance of of effective effective decision-madecision-ma-

Celebration on the occasion of the four decades of company establishment 29. 09. 2016. king king in in order order to to reduce reduce the the developmental developmental gap gap betwebetween en us us and and the the rest rest of of EuroEurope. pe.Montenegro Montenegrohas hasalways always followed followed advanced advanced EuroEuropean pean values values and and this this visivisionary onary and and courageous courageous popolitics litics is, is, every every day, day, gaining gaining more more recognition recognition from from rerenowned nowned companies companies that that develop develop their their businesses businesses in in our our country. country.

At Atthe theend, end,special specialthanks thanks to to the the employees employees in in the the PuPublic blicenterprise enterpriseRegional RegionalWaWater ter Supply Supply for for the the MonteneMontenegrin grin coast, coast, which which showed showed that that Montenegro Montenegro has has profeprofessionals ssionals who who can can indepenindependently dentlyand andsuccessfully successfullymamanage nagethe themost mostcomplex complexwork work tasks. tasks. II hope hope the the Regional Regional Water Water Supply Supply

System Systemwill willcontinue continueto toconcontribute tributeto toimproving improvingthe theququality ality of of life life of of the the citizens citizens of of Montenegro, Montenegro, and and the the conconditions ditions for for business business devedevelopment lopment and and tourist tourist offer. offer. Happy Happy anniversary anniversary and and thank thankyou youfor foryour yourattention! attention!

info 9 THE THEGOVERNMENT GOVERNMENTIS ISFOCUSING FOCUSING ON ONTHE THEOPTIMISATION OPTIMISATIONOF OFTHE THE WATER WATERSUPPLY SUPPLYSYSTEM SYSTEMIN IN MONTENEGRO, MONTENEGRO,WITH WITHPRINCIPAL PRINCIPAL AIM AIMTO TOPROTECT PROTECTTHE THECITIZENSâ&#x20AC;&#x2122; CITIZENSâ&#x20AC;&#x2122; HEALTH. HEALTH.

76 WATERS F MONTENEGRO E

steemed steemedPrime PrimeMinister, Minister,Mr. Mr. Đukanović, Đukanović,dear dearPresident President of of the the Management Management BoBoard ardofofthe theRegional RegionalWater WaterSupply Supply System, System,Mr. Mr.Asanović, Asanović,respected respected Director Directorof ofthe theRegional RegionalWater Water Supply SupplySystem, System,Mr. Mr.Jevrić, Jevrić,DistinDistinguished guishedMayors, Mayors,Honourable Honourablererepresentatives presentativesofofthe themedia, media,ladies ladies and andgentlemen, gentlemen,I Iam ampleased pleasedtotobe be here heretonight, tonight,ininthe theimpressive impressiveReRegent gentwithin withinPorto PortoMontenegro, Montenegro,on on aabeautiful beautifuloccasion occasionsuch suchas asthe the Anniversary Anniversaryof ofone oneof ofthe themost most important importantprojects projectsininthe thehistory history of ofMontenegro Montenegro––Regional RegionalWater Water Supply SupplySystem. System.Thanks Thanksto tothe thevivision sionof ofthe theGovernment Governmentof ofMonMontenegro tenegroto toinvest investinininfrastructuinfrastructure reprojects projectsas asaaprecondition preconditionfor for overall overallsocial socialprogress, progress,we wecomcompleted pletedand andput putinto intooperation operationthe the Regional RegionalWater WaterSupply SupplySystem Systeminin 2010, 2010,which whichsolved solvedthe theproblem problemofof shortages shortagesofofdrinking drinkingwater, water,so sowe we have haveeliminated eliminatedthe themain mainproblem, problem, the theproblem problemofofquantity. quantity.

In Interms termsofofwater watersupply supplytoto the theMontenegrin Montenegrincoast coastand andfor for all allthe theinstitutions institutionsthat thatmonimonitor torthe thesystem, system,the thepriority priorityisis the thequality qualityof ofwater, water,which whichisis guaranteed guaranteedininthe theRegional RegionalWaWater terSupply SupplySystem. System. This Thisfact factcertainly certainlycontricontributed butedto tocleaner cleanersea, sea,which whichisis the theenvy envyof ofnot notonly onlyremote remote

SYSTEM FOR CERTAIN QUALITY

Branimir Branimir GVOZDENOVIĆ GVOZDENOVIĆ

● ●Minister Ministerof ofSustainable Sustainableevelopment evelopmentand andTourism, Tourism, Tivat Tivat––Porto PortoMontenegro Montenegro29 29.09. .09.2016. 2016. marking markingof ofthe theDay Dayof ofRegional RegionalWaterworks Waterworks

Celebration Celebrationon onthe theoccasion occasionof ofthe thefour fourdecades decades of ofcompany companyestablishment establishment 29. 29.09. 09.2016. 2016. tourist touristdestination, destination,but butthe thededestination stinationof ofthe theMediterraneMediterranean anand andthe theAdriatic, Adriatic,which whichshasharerethe thesame samewater waterwith withus. us.The The importance importanceof ofthe theproject projectlies lies primarily primarilyin inproviding providingaabetter better quality qualityof oflife lifefor forthe thecitizens citizens on onthe theMontenegrin Montenegrincoast coastand and their theirdecades-long decades-longdream dreamcame came true truein in2010. 2010. Therefore, Therefore,this thisgeneration generation can canbe beproud proudofofthe thefact factthat thatwe we have haveresolved resolvedthis thisissue issuewhich which isisimportant importantto toour ourcitizens citizenson on the theMontenegrin Montenegrincoast. coast. In Inaddition, addition,there thereare arenunumerous merousother othereffects effectsstemstemming mingfrom fromthe theconstruction construction of ofthe theRegional RegionalWater WaterSupply Supply System, System,which whichprimarily primarilyrerefer ferto tothe theprovision provisionof ofthe thebabasic sicconditions conditionsfor forthe theincreaincrease sein ininvestments investmentsand andtourist tourist arrivals. arrivals. Exactly Exactlyon onthis thisday, day,six sixyeyears arsago, ago,we wepointed pointedout outthat thatthe the completion completionofofthe theRegional RegionalWaWater terSupply SupplySystem, System,at atthe thesame same time timepresents presentsan anintroduction introduction into intothe thefurther furtherdevelopment developmentofof this thisregion regionand andcreates createsconditiconditions onsfor forintensive intensivedevelopment development and andnew newinvestments, investments,not notonly only in inthe thecoastal coastalregion. region.

Today, Today, in in Montenegro, Montenegro, have have over over three three billion billion eueuros rosworth worthof ofinvestment investmentconcontracts, tracts,just justin intourism. tourism.From From Porto PortoMontenegro, Montenegro,through through Porto PortoNovi, Novi,which whichisisin indevedevelopment, lopment,Herceg HercegNovi Noviand andTiTivat-based vat-basedLuštica, Luštica,Aman Amanand and others, others,totoaasignificant significantincrease increase ininthe thenumber numberofofhigh highcategory category hotel hotelcapacities. capacities.More Morethan than50 50

high highclass classhotels hotelshave havebeen beenrerenovated novatedand andopened openedover overthe the last lastfour fouryears. years.This Thistourist touristseseason asonisisthe thebest bestever everin inMonteMontenegro negroand andititwill willgenerate generateover over €850 €850million millionin inrevenue revenuefrom from tourism. tourism.Through Throughstrategic strategicand and spatial spatialplanning planningdocumentadocumentation, tion,we wehave havedefined definedMonteMontenegro negroas asaahigh highquality qualitytourist tourist destination. destination.

WATERS F MONTENEGRO

ä äPorto PortoNovi Novi(design) (design)

Celebration on the occasion of the four decades of company establishment 29. 09. 2016.

info 10 THE THEPOTENTIAL POTENTIALOF OFTHE THE “BOLJE “BOLJESESTRE” SESTRE”SOURCE SOURCE EXCEEDS EXCEEDSTHE THELONG-TERM LONG-TERM NEEDS NEEDSOF OFTHE THECOASTAL COASTAL REGION REGIONOF OFMONTENEGRO MONTENEGRO AND ANDTHE THEPROJECTED PROJECTED CAPACITIES CAPACITIESOF OFTHE THEREGIONAL REGIONAL WATERSUPPLY. SUPPLY. WATER

The The fact fact that that this this visivision on is is not not just just our our hopes hopes and and dreams, dreams, is is proven proven by by aa numnumber ber of of renowned renowned internatiinternational onal tourist tourist organisations organisations and and institutions institutions that that place place Montenegro Montenegro in in the the top top of of the the world world tourism tourism development development in in the the future. future. Perhaps Perhaps the the most most imporimportant tant prerequisite prerequisite of of the the tototal tal tourist tourist development development is is the the completion completion of of the the RegiRegional onal Water Water Supply Supply System, System, which which symbolises symbolises our our vision vision and and the the foundation foundation for for the the sustainable sustainable development development of of the the coastal coastal region. region. II will will take take this this opportunity opportunity to to thank thank all all employees employees in in this this public public enenterprise terprise and and to to congratulate congratulate to to all all citizens citizens of of Montenegro Montenegro the the anniversary anniversary of of Regional Regional Water Water Supply Supply System, System, which which Montenegro Montenegro should should be be proud proud of. of. To To employees employees of of the the RegiRegional onal Water Water Supply Supply System, System, II want want them them to to continue continue with with their their hard hard work work and and II want want that that the the development development of of the the Regional Regional Water Water Supply Supply System System is is always always ahead ahead of of the the demand demand for for water. water. We We witness witness that that every every

year, year, directly directly proportionate proportionate to to the the increased increased number number of of tourists tourists and and season season extensiextension, on, we we have have increased increased water water consumption. consumption. That That is is the the rereason ason why why we we should should all, all, very very responsibly, responsibly, support support the the susustainability stainability of of the the Regional Regional Water Water Supply Supply System System which which supports supports our our tourism, tourism, which which is is aa complex, complex, sensitive sensitive and, and, for for the the Montenegrin Montenegrin ecoeconomy, nomy, the the most most important important industry. industry. Also, Also, it it is is important important to to point point out out the the need need to to opoptimise timise water water supply supply and and wastewater wastewater disposal disposal on on the the coast, coast, on on the the occasion occasion of of which, which, we we are are already already carrying carrying out out certain certain activiactivities. ties. In In this this spirit, spirit, and and with with reaffirmed reaffirmed readiness readiness to to fully fully support support the the promotion promotion and and development development of of the the Regional Regional Water Water Supply Supply System System and and its its infrastructure, infrastructure, as as well well as as to to optimise optimise the the entire entire munimunicipal cipal sector sector on on the the coast, coast, I,I, once once again, again, congratulate congratulate all all the the employees employees of of the the RegiRegional onal Water Water Supply Supply System System and and wish wish all all the the best best for for thetheir ir future future endeavours. endeavours.

Celebration on the occasion of the four decades of company establishment 29. 09. 2016.

WATERS F MONTENEGRO 81 L

adies and gentlemen, let me, with special respect, on behalf of the Regional Water Supply System and on my own behalf, welcome the Prime Minister of Montenegro, Mr. Milo Đukanović, since he honoured us with his presence and support for further work and sustainable management of this important and complex construction project. On this day, our Prime Minister, Mr. Milo Đukanović, officially opened in 2010 the first phase of the Regional Water Supply System for the municipalities of Budva, Kotor and Tivat, which solved a decades-long problem of shortage of drinking water which limited the development of the coastal region.

The fate of this project, which will be discussed later, was often defined by a globally famous Hamlet’s dilemma of “to be or not to be”. From this perspective, the most important date for the successful completion of this project and, therefore, for the economic development of the Montenegrin coast, was the decision of the Government of Montenegro, adopted on February 15th 2007, when it was decided to intensify activities on the completion of the infrastructure project.

INCENTIVEFOR MONTENEGRO

Goran JEVRIĆ

● Director of Public Enterprise “Regional Waterworks for the Montenegrin Coast”, Tivat Porto Montenegro 29. 09. 2016.

WATERS F MONTENEGRO ä Water spring “Bolje sestre”

The Montenegrin coast experienced, before and after that date, some very significant and measurable positive changes. Precisely this fact of unambiguous and courageous decision making, based on the vision of the economic development of Montenegro, motivated my colleagues and me to organise this corporate anniversary in Tivat, which has, in the best possible manner, in comparison to other municipalities of the Montenegrin coast, been using the benefits of the Regional Water Supply System and by making courageous decisions, enabled that today, this municipality is implementing two prestigious tourism projects, namely,

Luštica Bay and Porto Montenegro. So, tonight is a chance that with you, as our friends, we share our satisfaction with the achieved business success, and on this occasion we have prepared a short film about the project that changed Montenegro. On that note, let the justification for the investment into this important project be an incentive, to all of us in Montenegro, to place priority on making decisions that guarantee safe development of Montenegro, job security, and, on behalf of the company, I want to emphasise, safe water supply of the Montenegrin coast. Thank you for your attention! ä Model of the future Luštica bay estate

Celebration on the occasion of the four decades of company establishment 29. 09. 2016.

info 11 THE FATE OF THIS PROJECT USED OFTEN TO BE DEFINED BY THE GLOBALLY RENOWNED HAMLET’S DILEMMA “TO BE OR NOT TO BE”.

WATERS F MONTENEGRO PUBLIC ENTERPRISE “REGIONAL WATERWORKS FOR THE MONTENEGRIN COAST” FIRST MONTENEGRIN ENTERPRISE THAT BECAME A MEMBER OF THE INTERNATIONAL ASSOCIATION OF WATER SUPPLY COMPANIES IN THE DANUBE RIVER CATCHMENT AREA, VIENNA

legation of Public Enterprise “Regional Waterworks for the Montenegrin Coast” consisting of Mr. Dragan Asanovic, President of the Managing Board, Mr. Goran Jevric, director and Mr. Predrag Bjelobrkovic, Advisor for Cooperation with International Financial Institutions was in an official visit to Vienna from May 17 through May 19, 2017 for the purpose of participating in the annual conference organized by the International Association of Water Supply Companies in the Danube River Catchment Area.

After two years of successful cooperation that Public Enterprise “Regional Waterworks for the Montenegrin Coast” established with the International Association of Water Supply Companies in the Danube River Catchment Area (IAWD) through participation in numerous international programs and projects and its role as the organizer of the International Benchmarking Workshop held in Budva in November 2016, IAWD invited Public En-

terprise to become a full member of this association. It was during the aforementioned conference that the decision on membership of Public Enterprise into IAWD, which is the only enterprise in Montenegro that received such an invitation, was formalized, along with the decision on electing Mr. Goran Jevric, the director of Public Enterprise “Regional Waterworks for the Montenegrin Coast” for its representative within the association. The Conference was attended by high-level government officials from various European countries, representatives of their specialized agencies, representatives of international financial institutions, presidents of municipalities, water supply companies’

Cooperation of Regional waterworks with Government of Montenegro and international institutions in 2017.

directors, associations of water supply companies’ representatives, etc. IAWD is an association of water supply companies and other relevant entities from countries in the Danube River Catchment Area that provide water for more than 80 million people. Besides endorsement by the Government of Austria, this association has obtained support by the World Bank, German Association for International Cooperation – GIZ, Swiss Agency for International Cooperation, International Water Association, as well as UN–HABITAT. During the two year cooperation that preceded its membership in this organization, Public Enterprise “Regional Waterworks for the Montenegrin

Coast” had the opportunity to get to know, adopt and implement numerous recommendations and tools deriving from the benchmarking program that entails learning from other companies’ experiences, increasing competitiveness and following the courses of the global economy. In addition, cooperating with companies that manage large water supply systems provided opportunity for considering adequate solutions for the water sector reform as well as options for realization of development projects aimed at improving this sector on the Montenegrin Coast through optimizing its management and its overall functioning. Membership of Public Enterprise “Regional Waterworks

for the Montenegrin Coast” into such an organization provided expert, financial and logistics support for enhancement of operational performances, improvements in the way this essential communal function is carried out, as well as for the upcoming realization of its development projects.

MEMBERSHIP OF PUBLIC ENTERPRISE “REGIONAL WATERWORKS FOR THE MONTENEGRIN COAST” INTO SUCH AN ORGANIZATION PROVIDED EXPERT, FINANCIAL AND LOGISTICS SUPPORT FOR ENHANCEMENT OF OPERATIONAL PERFORMANCES, IMPROVEMENTS IN THE WAY THIS ESSENTIAL COMMUNAL FUNCTION IS CARRIED OUT, AS WELL AS FOR THE UPCOMING REALIZATION OF ITS DEVELOPMENT PROJECTS.

WATERS F MONTENEGRO ŽABLJAK: 2017. THE FIRST SEASON WITHOUT WATER SUPPLY PROBLEMS B esides the activities dealing with maintenance of the regional water supply system, improvement of its operation and extension of its capacities, the company is dedicated to solving water scarcity problem at the local/ municipal level through providing expert and financial support.

Upon the proposal of Mr. Veseslin Vukićević, the Mayor of municipality Žabljak , in the year 2017 PE “Regional Waterworks for the Montenegrin Coast” prepared the Proposal for Urgent Measures aimed at solving the problem of water supply of the urban area of Žabljak and took part in their implementation. After the Government of Montenegro had adopted the program on June 15, 2017, the required tender procedure was conducted in record time and the proposed urgent measures of total value of 57.994, 65 EUR were ä Crno jezero

Cooperation of Regional waterworks with Government of Montenegro and international institutions in 2017. successfully implemented. The executed activities resulted in solving the years-long problem of water supply of the Žabljak urban area during the summer season, thus creating for the first time in a while the conditions for unobstructed and stable wa-

ter supply. The aforementioned is of a particular significance given the fact that the year 2017 has been the driest period recorded in the last 5 decades, whereas, on the other hand, the number of tourists increased by 60 % compared to the previous year. Thus for sure, we may draw a conclusion that all negative consequences that may have incurred if the Program of Urgent measure for solving the technical issues had not been implemented, were evaded thanks to the cooperation between the Government of Montenegro, the Ministry of Agriculture and Rural Development, Municipality of Žabljak and PE “Regional Waterworks for the Montenegrin Coast”. The Government of Mon-

tenegro, at the session held on 14 September 2017, adopted the proposal for follow-up of the measures for solving the technical issues related to water supply of the Žabljak urban area prepared by the Ministry of Agriculture and Rural Development, PE “Regional Waterworks for the Montenegrin Coast” and the municipality of Žabljak within the scope of the second phase of implementation of the measures which will provide the sufficient potable water quantities for the upcoming period with the particular attention paid to winter and summer tourist season and ,in parallel, secure the operational readiness of the water supply system of Žabljak municipality.

PROJEKAT

THE PROJECT THAT CHANGED KOJI JE PROMIJENIO

MONTENEGRO

ROJEK

I JE PROMIJ