Kosovo Signs €1 Million Clean Energy Grant Scheme Agreement

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Kosovo has signed a €1 million grant scheme agreement to support clean energy initiatives, in a collaboration between the Kosovo Investment and Enterprise Support Agency (KIESA) and LuxDev. The signing ceremony was attended by Luxembourg Ambassador Eric Dietz, Acting Minister of Industry, Entrepreneurship and Trade Rozeta Hajdari, and Acting Minister of Economy Artane Rizvanolli.

Rozeta Hajdari highlighted that the scheme will benefit micro, small, and medium-sized enterprises (MSMEs):

“This scheme provides financial support for MSMEs and is a result of the financial backing from the friendly state of Luxembourg, amounting to €1 million. It will be implemented by KIESA under the Ministry of Industry, Entrepreneurship and Trade, as part of project KSV/024, executed by LuxDev in close cooperation with the Ministry of Economy.”

Artane Rizvanolli emphasized the timing of the initiative:

“The scheme comes as Kosovo enters the second phase of energy market liberalization, where over 700 companies operate in the open market since June 1. The scheme is designed to support companies in the liberalized market, while other enterprises are also eligible. This is part of the Government of Kosovo’s effort, in partnership with LuxDev, to support production companies and ease the energy transition.”

Ambassador Eric Dietz underlined the scheme’s significance for private sector development:

“With this €1 million budget for clean energy, we take a shared step towards advancing Kosovo’s energy transition. The scheme offers direct support to private businesses, enabling investment in solar energy, improved energy efficiency, and enhanced production processes. This will reduce energy costs, boost competitiveness, and contribute to Kosovo’s clean energy transition.”

The program coincides with the Energy Regulatory Office’s (ZRRE) decision allowing large enterprises to enter the open energy market from June, a move that has been controversial among businesses. Industry representatives argue that full market liberalization harms the economy and risks widespread job losses.