Press release from the 88th Cabinet session

The Montenegrin Cabinet held its 88th session today, chaired by Prime Minister Milojko Spajić. The Cabinet adopted the Information on the mandatory public takeover procedure of shares of the Institute for Physical Medicine, Rehabilitation and Rheumatology “Dr Simo Milošević”, in line with the Restructuring Plan. The Information states that the recapitalisation process should be carried out as soon as possible in order to protect the interests of the Institute Igalo. The Ministry of Health, as the representative of the Government of Montenegro, along with the minority shareholder HTP “Vile Oliva” from Petrovac, will undertake the necessary steps to acquire the shares of minority shareholders, in accordance with the Law on Takeover of Joint Stock Companies. Furthermore, the Institute Igalo will take the necessary measures to implement the recapitalisation, and following the buyout of shares, will initiate the recapitalisation procedure in line with the Law on Business Organisations. In this context, the Government approved the text of the Joint Action Agreement between the Government of Montenegro, the Development Bank of Montenegro, the Health Insurance Fund of Montenegro, the Employment Agency of Montenegro, and the minority shareholder HTP “Vile Oliva”. The Government also adopted a Decision allowing these shareholders to proceed with the takeover of the Company.

The Cabinet adopted the Information on the request of the Electric Power Company of Montenegro (EPCG) for Government consent for long-term borrowing. Based on the proposal of the Ministry of Finance, the Government granted consent for EPCG to borrow €50 million from ERSTE GROUP BANK AG for the purpose of financing the purchase of missing quantities of electricity. The borrowing is necessary to ensure continuous electricity supply during the period when the Pljevlja Thermal Power Plant is offline due to ecological reconstruction works.

The Cabinet adopted the Information on the awareness-raising and public information programme on the harmful impact of plastic bags on the environment. The objective of the Programme is to raise public awareness and inform citizens of Montenegro about the negative environmental impact of plastic bags. Given the complexity of the issue and the need for an integrated approach, the Programme highlights that even the most advanced legal measures may be ineffective without active public participation. The Programme primarily aims to influence behavioural change, increase awareness of individual responsibility in preserving nature, and promote environmental sustainability. Expected outcomes include reduced use of plastic bags, decreased plastic bag waste in nature, increased public awareness of their harmful impact, wider use of alternatives, and greater individual involvement in activities to reduce plastic bag usage. A total of €800,000 has been allocated for the implementation of the Programme, funded through a legal provision requiring sellers of lightweight plastic bags (with a wall thickness above 50 microns) to pay a fee.

The Cabinet adopted the Information on concession activities for the exploration and exploitation of solid mineral resources. The document notes that the fixed part of the concession fee for 2025 amounts to €3,025,737, while the variable part of the concession fee for 2024 totals €1,956,708. The total concession fees (fixed + variable) over the past three years are: €4,519,137 for 2022, €5,408,647 for 2023, and €5,387,902 for 2024.

The Cabinet adopted the Decision on the maximum electricity price that a bidder may offer in the market premium auction process. In line with the Law on the Use of Energy from Renewable Sources, the Decision stipulates that the maximum price may be €65.00/MWh. The Decision introduces a support system through market premiums, aiming to ensure competitive procedures and achieve the lowest possible price for renewable energy. This aligns with Montenegro’s international obligations, including commitments under the Law on the Use of Energy from Renewable Sources and, as well as obligations towards the European Union, in line with the Montenegro Reform Agenda 2024–2027.

The Cabinet adopted the Decision on the quota for the first market premium auction. The Decision sets a quota of 250 MW for the first auction and applies to solar power plants with a capacity of 400 kW or more.

The Cabinet adopted the Regulation on the procedure for filling and increasing quotas in market premium auctions for undetermined locations and the ranking of bids at such auctions. This Regulation defines the procedures for filling and increasing quotas when the remaining capacity is less than the proposed power of a bidder’s plant, as well as the criteria for ranking bids.

The Cabinet adopted the Regulation on detailed criteria and method for determining the maximum price that a bidder may offer in market premium auctions.

The Cabinet approved co-financing for the adaptation of the mini football/handball pitch at the City Stadium "Pod Golubinjom" in Pljevlja, with a total amount of €30,000.

It also gave approval for the financing of the construction of an outdoor sports field in the yard of the branch of Primary School “Braća Ribar” in Brzava, Bijelo Polje, with total funding of €56,218.

The Cabinet adopted the European Youth Card (EYC) Development Programme 2025–2027, along with the Implementation Action Plan for the same period. The Programme aims to strengthen youth policy cooperation by providing additional discounts for young people in Montenegro and across Europe, improving youth access to information, enhancing mobility at national and European levels, and offering opportunities for acquiring new skills and knowledge through non-formal education. The Programme also fosters networking between youth, the business sector, and universities. It further promotes cooperation with other member countries of the European Youth Card Association, focusing on mobility, information-sharing, and exchange of best practices. The implementation of the Programme's three-year Action Plan will be supported with €363,480, funded from the national budget and partially from donations. As part of the previous 2022–2024 European Youth Card Development Programme, over 87,000 free physical or digital EYC cards have been distributed in Montenegro, providing access to more than 750 discount locations in Montenegro and over 30,000 benefits across Europe. In addition, the Programme has supported the organisation of over 40 educational workshops, promotional events, and digital campaigns.