0:00:16.120,0:00:18.240 Greetings, dear viewers! Welcome to the first episode 0:00:18.920,0:00:23.120 of the New Magazine podcast entitled Coal Phase Out in the Western Balkans. 0:00:24.560,0:00:27.680 My name is Damir Dizdarevic and I will be your host for the next four 0:00:28.160,0:00:31.440 episodes, guiding you through this topic with my interlocutors. 0:00:33.000,0:00:35.720 We will deal with the issue of urgent coal phase out in the Western Balkan, 0:00:36.520,0:00:38.440 socio-economic consequences as well as consequences for 0:00:38.880,0:00:42.840 the energy security of the region. Moreover, we will try to present and 0:00:43.280,0:00:46.400 offer certain solution which can contribute to this both historical 0:00:46.840,0:00:48.200 and civilizational endeavor. 0:00:49.480,0:00:52.480 Today, I will host Ognjan Pantic, Programme Manager within the 0:00:52.880,0:00:54.960 Energy, Climate and Environment area at the Belgrade Open School. 0:00:55.400,0:00:57.880 We will discuss with him the urgency of coal phase out in the Western 0:00:58.360,0:01:01.680 Balkans, as well as the impact that caol has on people's health, 0:01:02.520,0:01:06.040 we will cover rule of law, as well as the violation of human rights. 0:01:07.240,0:01:11.280 Furthermore, we will try to present whether regional cooperation can be 0:01:11.920,0:01:14.120 one of the ways to resolve this issue. 0:01:16.040,0:01:20.760 New Magazine podcast was supported by the Open Society Fund of Albania. 0:01:22.080,0:01:24.280 You can follow this podcast on New Magazine You Tube Channel, 0:01:24.680,0:01:26.640 while we are available on other podcast platforms such as Spotify, 0:01:26.960,0:01:31.240 Deezer and Apple podcast. Moreover, we are active on 0:01:31.720,0:01:34.680 social networks, so you can follow us on Instagram and on TikTok. 0:01:36.280,0:01:37.960 I hope you'll enjoy today's episode. 0:01:40.280,0:01:42.080 NEW MAGAZINE PODCAST 0:01:50.160,0:01:51.960 Produced by New Magazine, with the support of Open Society Foundations 0:01:54.720,0:01:57.120 Good afternoon, Ognjan. First of all, I would like to thank 0:01:57.680,0:02:01.160 you for accepting our invitation to be our first guest in the first 0:02:01.760,0:02:05.560 episode of this podcast. I believe that, given 0:02:06.280,0:02:09.600 your extensive experience within civil sector in the field of climate 0:02:10.120,0:02:13.480 change and coal phase-out, you can offer a very good insight into 0:02:14.240,0:02:16.200 this issue to the people that find it interesting. 0:02:16.840,0:02:19.040 You can offer detailed explanation to those who are not so familiar 0:02:19.480,0:02:21.320 with this issue, to further intrigue them. 0:02:21.800,0:02:23.640 I would appreciate if you could introduce yourself to our audience. 0:02:23.960,0:02:26.960 Damir, thank you for inviting me. I am please to be able to talk 0:02:27.800,0:02:30.560 and discuss this topic in this new format of the New Magazine podcast. 0:02:31.400,0:02:34.600 My name is Ognjan Pantic, I am engaged in the organization 0:02:35.160,0:02:39.040 Belgrade Open School, within the area of climate change, 0:02:39.680,0:02:45.240 enviroment protection, for the last eight years. 0:02:46.240,0:02:49.240 I had the opportunity to do some research and learn on this issue, 0:02:50.560,0:02:55.600 to discuss it with people from various institutions, activists, 0:02:57.240,0:02:59.680 as well as with the representatives of the scientific expert community. 0:03:01.560,0:03:05.960 Every year, interest for this topic keeps getting higher, as people 0:03:06.400,0:03:10.520 recognize it as relevant on everyday intuitive level. 0:03:11.320,0:03:15.560 The last twelve months in Serbia are the hottest since the measurement 0:03:16.120,0:03:20.400 is being performed, so I trust that this zenith of summer is a good 0:03:21.080,0:03:25.840 opportunity to discuss climate change and learn something new about it, 0:03:26.160,0:03:30.200 so I am glad that we are here, in the right place, at the right time. 0:03:31.400,0:03:33.840 Thank you for introducing yourself, your rich experience will offer 0:03:34.360,0:03:38.320 great insight into this subject, so let's start with our main topic. 0:03:38.840,0:03:41.920 Would you please explain to me and our audience what this phrase 0:03:42.800,0:03:45.560 coal phase-out really means, what does it mean for us and 0:03:45.880,0:03:48.400 for the Western Balkans, why is it so important and urgent to do? 0:03:49.360,0:03:56.200 Coal phase-out means a change in the way our energy sector functions, 0:03:57.600,0:04:00.800 it means abandoning our primary source of energy. 0:04:02.480,0:04:06.520 Energy mix of the entire region, including Serbia, primarily depends 0:04:07.160,0:04:10.520 on the coal for the production of electricity and thermal energy, 0:04:12.280,0:04:17.160 and it is represented in different percentage on the regional level. 0:04:17.680,0:04:21.760 I believe that Serbia is a good benchmark for the whole region 0:04:22.480,0:04:26.400 when we consider statistics. We depend on the coal from 0:04:27.040,0:04:28.960 which we produce electricity up to seventy percent, 0:04:29.320,0:04:33.080 so over two-thirds of electricity is obtained from this resource. 0:04:33.920,0:04:36.360 It is a resource with a limited lifespan. 0:04:37.280,0:04:42.240 All fossil fuels are in a way limited, in terms of how many reserves 0:04:42.640,0:04:47.680 we have on our disposal. It is an energy source that practically 0:04:48.160,0:04:54.120 in all segments of its use, from exploitation through processing 0:04:54.880,0:04:58.480 to combustion, it creates harmful consequences for the environment 0:05:00.040,0:05:04.440 on the local level, but through the emission of harmful gases 0:05:05.080,0:05:08.400 with the greenhouse effect, it harms climate change as well, 0:05:08.840,0:05:12.600 which is also a global issue. Coal is used in our power plants 0:05:13.080,0:05:16.560 which are several decades old, without being properly maintained, 0:05:17.840,0:05:20.840 and the energy resource itself is of poor quality. 0:05:21.520,0:05:25.280 Throughout the region, we have coal of better or poorer quality. 0:05:26.280,0:05:30.280 Mostly, at least when it comes to Serbia, we are talking about lignite, 0:05:31.040,0:05:34.400 low quality coal, lower calorific value, 0:05:35.440,0:05:42.440 it is of worse quality every year, so we are talking about an energy 0:05:42.960,0:05:47.800 resource which is limited, harmful, which should be phased out, with 0:05:49.440,0:05:54.800 our energy system switched to some cleaner renewable energy sources. 0:05:56.960,0:06:01.400 This is quite understandable to me, but I have an additional question. 0:06:02.120,0:06:04.920 The situation in the whole region is quite bad, in Bosnia-Herzegovina, 0:06:05.360,0:06:09.880 in Montenegro, we have a lot of outdated power systems, 0:06:11.400,0:06:16.160 which have served their time. But why is the issue of coal 0:06:16.680,0:06:18.760 phase-out so significant to the region of the Western Balkans? 0:06:19.600,0:06:21.640 Primarily in the context of global emissions... 0:06:23.160,0:06:25.560 We are just a tiny drop in the sea when it comes to carbon dioxide 0:06:26.120,0:06:29.480 emission, so what will make a difference if we cut the emissions? 0:06:30.080,0:06:33.560 We will disrupt the use of coal, we will cut on our emissions, 0:06:34.360,0:06:37.960 but will it help or contribute to overall emissions worldwide? 0:06:38.840,0:06:44.080 It surely will, we are part of a global agreement, global 0:06:44.520,0:06:51.040 effort to preserve life on the planet to the greatest extent possible. 0:06:52.560,0:06:55.880 We certainly contribute to a lesser extent to that global challenge 0:06:57.000,0:06:59.640 compared to some other countries and community of countries. 0:07:00.440,0:07:04.440 But, just like we have suffered the consequences and are suffering 0:07:05.000,0:07:08.800 the consequences of climate change, due to emissions caused by some 0:07:09.360,0:07:14.160 other countries, there are also consequences that we create 0:07:14.520,0:07:17.120 locally, to the detriment of ourselves, on regional level, 0:07:17.600,0:07:21.400 but also to our environment, both closer and further. 0:07:22.560,0:07:27.520 The damage from climate change is etimated to billions of euros, 0:07:27.960,0:07:30.760 this is one of the most interesting arguments that often prevail, 0:07:31.080,0:07:33.160 that this energy transition, i.e.coal phase-out and 0:07:33.720,0:07:35.800 switching to other energy sources, is quite expensive. 0:07:36.320,0:07:41.840 We also pay for our decision to continue using coal, 0:07:43.480,0:07:46.360 we pay that price in changed climate conditions, in the damage caused 0:07:46.840,0:07:51.360 by climate changes, through droughts and floods, and ruined soil quality, 0:07:52.480,0:07:56.120 to the impaired human health, days people spent on sick leaves, 0:07:56.840,0:08:02.040 of premature deaths, those human loses can also be quantified. 0:08:02.800,0:08:05.920 The cost is much higher than people might think. 0:08:07.240,0:08:12.160 In 2014, we had an obvious example of what are climate changes... 0:08:13.440,0:08:18.360 The changes came, and ironically, knocked on our doors by flooding 0:08:18.880,0:08:22.400 the Kolubara mine, knocked on the door of the main culprit 0:08:23.000,0:08:29.120 of climate changes, so it is a fact that we less contribute to those 0:08:29.840,0:08:34.720 emissions, that it largely depends on some other countries, but all 0:08:36.480,0:08:39.040 the same, the emissions produced and the pollution that occurs here 0:08:39.800,0:08:43.760 have negative impact both on our region and on our close environment. 0:08:45.200,0:08:54.000 In Serbia alone, we are faced with 10-15 thousands of premature deaths 0:08:54.320,0:08:58.200 on annual basis, due to coal exploitation, even on the level 0:08:58.640,0:09:02.640 of European Union, those emissions do not need passport, they expand 0:09:03.160,0:09:07.320 freely and in an uncontrolled manner, bringing 3.000 deaths on EU level, 0:09:07.840,0:09:11.920 annually, only as result of pollution originating from this region. 0:09:13.240,0:09:18.640 I like to use one metaphor when it comes to climate changes. 0:09:21.120,0:09:23.680 If people are not interested in what happens in stratosphere where those 0:09:24.120,0:09:28.440 emissions come from, than they should be interested in the atmosphere. 0:09:30.080,0:09:34.280 Thermal power plants are a major cause of ambient air pollution, 0:09:34.720,0:09:40.680 the air that all of us inhale, then there is damaged soil quality, 0:09:41.720,0:09:45.600 due to high concentration of harmful gases and a chain of consequences 0:09:46.120,0:09:51.200 of the emissions of those harmful gases that coal mining causes, 0:09:51.560,0:09:55.720 so those are the reasons why we have to deal with coal phase-out. 0:09:56.680,0:09:59.000 Apart from this purely economic reasons, that we will also touch 0:09:59.680,0:10:03.120 upon later, other guests will speak about it in this podcast series. 0:10:04.160,0:10:07.920 We are not talking only about a contribution, 0:10:08.400,0:10:10.640 about a great civilizational agreement and effort to 0:10:11.280,0:10:14.240 preserve life on the planet Earth, which is a great thing and it is 0:10:14.720,0:10:18.480 significant in itself, but we talk about solving the causes of pollution 0:10:19.040,0:10:23.240 as well, which is present on the local level, and we face it daily. 0:10:24.480,0:10:29.480 We are wasting days, months, years, and we face with premature deaths, 0:10:29.880,0:10:34.320 by being exposed to that pollution, in the air and in the soil and water. 0:10:34.880,0:10:38.040 The imperative to abandon coal certainly exists, 0:10:38.480,0:10:42.240 it is also a global asset and a local necessity in the same time. 0:10:42.800,0:10:46.840 Thank you, Ognjan, on your detailed response, those statistical data are 0:10:47.320,0:10:51.240 being quantified, the damage is estimated in the year 2000 to 0:10:52.080,0:10:55.560 some eight billion euros, only for the Republic of Serbia, 0:10:56.800,0:10:59.360 and according to the latest report of World Bank, we talk about two 0:10:59.760,0:11:05.560 million people who were exposed to those changed climate conditions. 0:11:07.240,0:11:09.560 There was also an enormous increase in forest fires, floods 0:11:10.000,0:11:13.920 and other consequences. The other estimate says that we need some 0:11:14.400,0:11:18.560 32 million euros to make it right. We'll see how things will go. 0:11:19.240,0:11:21.960 Let's set this aside for now, but as you mentioned air pollution 0:11:22.480,0:11:26.640 and as you deal with air quality in your professional engagement, 0:11:27.040,0:11:33.320 can you tell me what causes this pollution if it's linked with thermal 0:11:33.880,0:11:37.160 power plants, why do we need to abandon using coal in that sense, 0:11:37.760,0:11:40.920 in the sector of energy production, in order to improve the quality of 0:11:41.320,0:11:43.240 living and public health? 0:11:45.320,0:11:50.160 Simply, the composition of that energy source, that fuel, along 0:11:50.840,0:11:55.960 with the method of its combustion, is such that in the production process 0:11:56.800,0:12:01.240 of producing primarily electricity and thermal energy from coal burning 0:12:02.080,0:12:05.640 cause emission of harmful substances into the air. 0:12:06.600,0:12:10.440 Greenhouse gases are also emitted that go into the higher layers of 0:12:10.760,0:12:14.360 atmosphere, which practically create a heat wrap around 0:12:14.880,0:12:19.880 the planet and do not allow that excess solar energy to go further, 0:12:21.200,0:12:23.480 instead it remains and heats the planet slowly. 0:12:25.040,0:12:28.120 In the ambient air itself, in that atmospheric layer, 0:12:29.240,0:12:34.280 high concentrations of sulfur dioxide are created, nitrogen oxides, 0:12:35.640,0:12:37.800 these are some primary harmful substances 0:12:38.240,0:12:40.520 that are produced by burning lignite in Serbia. 0:12:41.680,0:12:45.240 They also serve as a secondary source of these famous suspended particles 0:12:46.160,0:12:49.040 about which people gain more knowledge, according to my opinion. 0:12:51.080,0:12:53.760 The emissions that are created in this way are retained in the air, 0:12:54.240,0:12:57.440 but they also have a harmful effect on the quality of the soil, 0:12:58.560,0:13:02.280 and the fact is that the sources of emissions that are present in Serbia 0:13:02.800,0:13:05.800 in the energy sector are estimated as one of the largest in the world. 0:13:06.600,0:13:10.120 On one of the lists, thermal power plant Nikola Tesla was recognized 0:13:10.560,0:13:15.040 as one of the ten largest emitters of sulfur dioxide on the entire planet. 0:13:16.080,0:13:20.680 Although I always like to point out that it is important to deal with this 0:13:21.200,0:13:25.240 issue because of the health of our citizens, because of legal regulations 0:13:26.240,0:13:33.040 that are actually being violated, people's right to healthy environment 0:13:33.840,0:13:36.840 is endangered in the first place. I'm under impression that those 0:13:37.240,0:13:44.640 global comparisons sound impressive. We have had more than enough data 0:13:45.080,0:13:48.040 for years now, originating from public institutions. 0:13:48.840,0:13:51.240 I also deal with that civil measurement process. 0:13:51.680,0:13:56.520 Anyway, official institutions in their reports offer sufficient data 0:13:56.880,0:14:00.920 which show that all those pollution parameters are seriously exceeded 0:14:02.360,0:14:06.600 and that the energy sector certainly plays a significant role in it, but 0:14:06.920,0:14:09.040 that didn't attract much attention until we placed it in another context 0:14:09.520,0:14:11.880 by saying that Belgrade is more polluted than Beijing, 0:14:12.760,0:14:15.280 or Belgrade and Valjevo are in top five most polluted cities in 0:14:15.720,0:14:19.240 the world on a specific day. When we got to global context, 0:14:20.160,0:14:22.560 we discussed earlier whether we are just a drop in the sea, 0:14:22.960,0:14:26.200 even on the global level, we are in the leading positions. 0:14:26.840,0:14:29.880 TENT was assessed as one of ten largest emitters of sulfur dioxide... 0:14:31.000,0:14:34.400 As we said earlier, when it comes to the number of premature deaths, 0:14:34.960,0:14:38.360 Serbia was the leader in the EU with number of deaths on 100.000 0:14:38.920,0:14:41.400 citizens one of those years... So, we like to brag... 0:14:41.720,0:14:45.720 Yes, we like to be leaders in some rankings but these are not the lists 0:14:46.160,0:14:49.520 we would like to be among leaders. It is particularly bad that we are 0:14:50.080,0:14:56.360 on top of such a list, so this is the role of coal in polluting air on the 0:14:56.720,0:15:01.200 local level, its composition, along with the techonology used for its 0:15:01.840,0:15:07.480 exploitation, for the production of energy, so that we have problem 0:15:08.400,0:15:13.720 in all layers of atmosphere. -So, as you said... 0:15:14.960,0:15:18.280 Until we place it in our context, until we make it public, 0:15:18.720,0:15:21.800 very often it does not touch them, the same goes for the whole region. 0:15:22.440,0:15:27.080 The same goes for Sarajevo and Pljevlja, it is always compared to 0:15:27.560,0:15:31.200 some global cities, so we say that we are more polluted than some x 0:15:31.920,0:15:37.120 town, do you think it violates some kind of human rights and 0:15:37.600,0:15:40.880 what is your standpoint on this. Namely, do we have certain rules 0:15:41.440,0:15:44.160 and regulations within the region, some kind of plan, anything, 0:15:44.520,0:15:46.880 which can help us contain and limit that emission? 0:15:47.160,0:15:49.000 Do we have that and is it being respected? 0:15:49.600,0:15:56.680 The truth is that our domestic legal system contains norms 0:15:57.120,0:16:02.040 that relate to people's right to healthy environment, this is being 0:16:02.440,0:16:06.440 vouched for in our Constitution. We have different laws and by-laws 0:16:06.960,0:16:13.680 which define the quality of the air that we should inhale 0:16:14.680,0:16:19.960 and we are faced with the fact that this is not so for years now. 0:16:20.800,0:16:25.520 We have exactly defined limit values, I don't want to go into percents and 0:16:25.920,0:16:28.840 digits, but it is clearly listed, certain polluting substance is 0:16:29.160,0:16:35.960 allowed in such and such volume be present in the air, on hourly 0:16:36.480,0:16:39.320 or daily basis, including on an annual level... 0:16:40.160,0:16:44.240 We have situation that on almost all places in Serbia where measurement 0:16:44.640,0:16:47.640 is being properly performed, the digits exceed the limits. 0:16:48.120,0:16:53.320 Therefore, right of Serbian citizens to breathe clean air was not respected 0:16:53.840,0:16:58.400 as the concetration of those gases, as defined, it was taken from the 0:16:58.880,0:17:04.560 framework of the European Union, but now those norms are being 0:17:04.960,0:17:07.800 revised so that they could be even more restrictive, as it is 0:17:08.120,0:17:11.200 proved that being exposed to certain harmful substances, that Serbian 0:17:11.800,0:17:15.360 citizens are largely exposed to, such as suspended particles. 0:17:16.080,0:17:20.320 There are no limit of the presence of those particles in the air that are 0:17:20.760,0:17:24.360 being considered safe. Now those norms are being revised, 0:17:24.560,0:17:28.280 they are getting tougher and tougher. We have practically violated domestic 0:17:28.800,0:17:32.720 regulations and standards of air quality, constantly. 0:17:33.680,0:17:36.080 Moreover, countries in the region are signatories 0:17:37.000,0:17:39.360 of the Treaty establishing the Energy Community. 0:17:40.360,0:17:45.360 It's a practical step-by-step method and on one separated track, when 0:17:45.800,0:17:48.280 we have in mind EU accession of the region as a whole, 0:17:48.560,0:17:52.400 energy sector in the region has to be strengthened and prepare for 0:17:52.880,0:17:57.480 the integration of the European Union's energy system. 0:17:58.000,0:18:02.800 This is the way to gradually prepare for adjusting and implement norms 0:18:03.320,0:18:06.520 from European Union law in the field of energy. 0:18:06.960,0:18:10.520 This contract is not a new thing, it's been valid since 2005, 0:18:12.160,0:18:16.600 more than a decade ago, Serbia has committed to certain 0:18:17.120,0:18:23.600 rules, and up to recently, we've done nothing to fulfill this obligation. 0:18:25.720,0:18:33.200 Thermal power plants in the region should disrupt the operations by now. 0:18:33.960,0:18:37.280 This is thermal plant in Montenegro 'Pljevlja', as for Serbia, those are 0:18:37.760,0:18:42.920 thermal plants Kolubara and Morava. Exact number of working hours are 0:18:44.080,0:18:47.640 strictly defined, our representatives had signed those papers, making 0:18:47.960,0:18:50.560 such committments, and afterwards just keep working as usual. 0:18:51.160,0:18:56.080 If we consider it from the legal point of view, we violated international 0:18:57.080,0:19:01.400 agreement which is valid within our legal system. 0:19:02.880,0:19:07.400 Apart from that, for a part of our energy plants, we have committed 0:19:07.720,0:19:11.400 ourselves to reduce emissions gradually, by 2027. 0:19:12.000,0:19:17.480 This should be a ten year period, starting from 2018, ending with 2027. 0:19:18.440,0:19:23.840 We are now in 2024, our emissions are on the same level, although we 0:19:24.280,0:19:27.920 had passed half through to the period that we had to drastically reduce it. 0:19:28.400,0:19:32.640 If we sign a paper, saying that Serbia committed itself in 2023 to certain 0:19:33.240,0:19:37.840 extent of harmful emissions, of that sulfur that 0:19:38.320,0:19:40.160 we have mentioned earlier, those emissions are currently 0:19:40.400,0:19:43.680 seven times higher than predicted. Some plants have switched on certain 0:19:44.200,0:19:49.560 mechanisms for reduction of emissions, but we grossly violated regulations. 0:19:50.120,0:19:55.200 This is our committment not only towards the EU and Energy Community, 0:19:55.640,0:19:57.640 this is an obligation towards the citizens of Serbia. 0:19:58.480,0:20:01.920 Local regulations have been breached, health of the population in the region 0:20:02.320,0:20:07.320 has been endangered, and practically we are in the situation that from the 0:20:07.680,0:20:11.520 perspective of the rule of law, guaranteeing the right of people 0:20:12.040,0:20:15.960 to a clean environment has been also violated. 0:20:17.240,0:20:23.440 This has its first epilogues now, in front of judical institutions, 0:20:23.840,0:20:28.960 but when we talk about environment, it is not just a sort of ideal, 0:20:31.120,0:20:37.480 it is prescribed in our legal system, and we should look at it that way. 0:20:39.760,0:20:44.000 So, if I get it right, implementation of European legislation, including 0:20:44.640,0:20:49.840 transposition in the first place, represents a kind of moving target 0:20:50.560,0:20:52.960 that we are chasing now. You would say that's true. 0:20:55.920,0:21:00.280 Crucial thing is actually that those laws and legal regulations that we 0:21:00.680,0:21:03.640 need to adjust to are good, but that we need to implement them 0:21:04.080,0:21:08.600 for our own sake, according to my and your opinion, at least. 0:21:09.200,0:21:09.960 That's right. 0:21:11.480,0:21:18.600 When you mentioned adherence to EU legislation, and precisely, 0:21:19.000,0:21:21.240 Energy Community, do you know whether there's any dispute 0:21:21.840,0:21:26.640 pertaining to breaking through those deadlines in the region? 0:21:28.120,0:21:30.720 I have already mentioned Thermal Plant 'Pljevlja' in Montenegro, 0:21:31.160,0:21:34.320 it should disrupt its operations couple of years ago, but it simply 0:21:34.840,0:21:39.920 continued its operations. There are other power plants in the region, 0:21:40.440,0:21:45.400 there are actually attempts to expand their facilities, to open 0:21:45.800,0:21:52.520 up new facilities, we have two plants in Serbia which broke closing deadline 0:21:53.120,0:21:57.840 and we have several others that break the limits regarding emissions. 0:21:59.000,0:22:06.440 In this sense, we are, de facto, in breach in front of those institutions 0:22:06.960,0:22:12.280 and in front of the citizens of the countries in the region 0:22:12.760,0:22:17.640 which are thus deprived of their right to have clean environment. 0:22:18.600,0:22:24.640 So, there is several disputes, soon there'll be a revision of the contract 0:22:25.160,0:22:29.760 on establishing Energy Community, but the fact remains that there are 0:22:30.240,0:22:34.560 different breaches and violations that which then become exception, 0:22:35.040,0:22:38.760 and then it turns into a rule. So, there is a problem with 0:22:39.280,0:22:44.920 compliance with the provisions that were taken over by 0:22:45.440,0:22:50.320 the decision makers on behalf of those countries. 0:22:51.000,0:22:52.720 So, it's not an exception that confirms the rule, 0:22:53.040,0:22:55.000 but that changes it and makes a new rule instead. 0:22:55.320,0:22:56.960 An exception that becomes the rule, that's right. 0:22:58.520,0:23:01.520 I am interested in the overall statistics in the whole region. 0:23:03.320,0:23:07.520 Western Balkans exceeds those envisaged limits for the emissions 0:23:08.040,0:23:12.880 of sulfur dioxide for some 5.6 times according to official statistics of 0:23:13.320,0:23:18.040 Bankwatch. What I find interesting is the fact that the topic of 0:23:18.600,0:23:21.440 desulfurization plant construction is being mentioned. 0:23:21.840,0:23:25.600 Can you tell me more on that, is it worth trying? 0:23:26.720,0:23:29.640 Can we reduce sulfur dioxide emissions that way, along with 0:23:30.000,0:23:32.200 trying to modernize our energy sector and 0:23:32.880,0:23:36.840 maybe extend the life of those thermal power plants a little bit? 0:23:37.120,0:23:40.240 Does this make any sense, are those investment useful, 0:23:40.800,0:23:46.920 or is that wasted money? -In Serbia, for instance, 0:23:47.320,0:23:50.040 when we consider desulfurization plants, we have already wasted 0:23:50.440,0:23:54.320 certain funds, because we were granted loans for some power plants 0:23:54.720,0:24:00.200 such as Kostolac and TENT, both from China and Japan, 0:24:01.120,0:24:05.240 it was a while ago, and since then, those funds were not implemented, 0:24:05.880,0:24:09.200 and then only on penalties for the loans that were not realized, 0:24:09.600,0:24:12.560 we paid, it seems to me, over 5 million euros. 0:24:13.120,0:24:15.760 Only because those granted funds were not used appropriatelly. 0:24:16.560,0:24:19.760 It is true that when you have those facilities, the emission of harmful 0:24:20.680,0:24:27.080 substances that go to the atmosphere are reduced, but we were simply late 0:24:28.000,0:24:31.520 with constructing those facilities, their construction was very tough, 0:24:32.720,0:24:35.440 because legislative regulations were not respected in terms of 0:24:35.880,0:24:39.200 all necessary steps and procedures in accordance to 0:24:39.760,0:24:43.080 the Law on planning and construction, environment protection, the ways in 0:24:43.600,0:24:47.320 which those facilities should be built were not observed almost at all, 0:24:48.480,0:24:53.520 but the fact is that those facilities are a huge energy consumers. 0:24:54.400,0:24:58.440 So what you gain in one place, you lose in another. 0:24:59.240,0:25:01.720 If the facility operates, the emission of sulfur is lower, 0:25:02.840,0:25:06.840 but then you spend so much energy, and with its overconsumption 0:25:07.720,0:25:11.480 you contribute to emission of greenhouse gases. 0:25:12.160,0:25:17.280 So, what you gain on one part, as damage control, you cause 0:25:17.760,0:25:21.440 certain consequences on some other place. 0:25:23.120,0:25:27.880 There is lots of discussion that there is some maneuvering room 0:25:28.840,0:25:33.040 that could make those thermal power plants that use coal to restrict them 0:25:34.040,0:25:40.080 somehow, to make them neutral when it comes to the climate, 0:25:40.920,0:25:43.960 but they could be climate neutral only in case of their disruption. 0:25:45.520,0:25:51.520 So, we won't gain much in repairing something which is already worn-out, 0:25:53.440,0:25:57.440 but turn to some other source of energy, instead of investing into 0:25:57.920,0:26:02.760 something that cannot last for a longer period of time. 0:26:05.040,0:26:09.760 So, we reduce emissions of sulfur, but there's more carbon dioxide... 0:26:10.960,0:26:11.920 That's right. -Obviously. 0:26:12.840,0:26:16.760 You have mentioned the rule of law several times in this discussion. 0:26:17.880,0:26:20.760 You said that we violated the laws that we have brought, as well as 0:26:21.200,0:26:23.600 international legal regulations that we have accepted in the 0:26:23.920,0:26:30.000 Parliament in ratification procedure. I was wondering what is wider 0:26:30.560,0:26:33.640 influence of that rule of law, given that according to the latest report 0:26:34.120,0:26:38.320 of the World Bank, Western Balkans region needs some 32 billion euros 0:26:39.400,0:26:45.280 to carry out coal phase-out completely or decarbonization, 0:26:45.920,0:26:52.160 to reach a kind of zero emission of carbon dioxide, and according 0:26:52.680,0:26:56.880 to some other estimates, the funds needed amount to 15 billion euros, 0:26:58.080,0:27:01.360 but this is still a huge sum that we need, how this violation of rule of 0:27:01.960,0:27:05.560 law influences for example investments from the private sector? 0:27:07.640,0:27:14.960 We cannot carry out energy transition on our own, that's for sure. 0:27:17.000,0:27:20.320 Some 10 billion euros that are necessary as an investment 0:27:22.320,0:27:32.240 present something we should consider. As a good and responsible host, 0:27:35.280,0:27:40.280 what potential investor needs is some predictability, certainty. 0:27:41.840,0:27:47.440 They think carefully with whom they will do business, 0:27:47.800,0:27:51.840 where they will invest, rule of law, compliance with the contract 0:27:53.640,0:27:58.920 present something that vouch for certainty, legal security, 0:27:59.560,0:28:04.800 good business environment, so in any context whatsoever, 0:28:05.640,0:28:08.920 and here we're talking about energy policy, there's someone 0:28:09.400,0:28:13.680 willing to invest in the renewable energy sources within this sector, 0:28:15.280,0:28:23.200 and on the other hand, they see that here power plants are based 0:28:24.080,0:28:29.000 on fossil fuels, which has a kind of privileged status, 0:28:29.360,0:28:31.360 or is circumvented in the strict application of norms, 0:28:32.000,0:28:37.680 this is certainly not a good signal... On several levels... 0:28:39.360,0:28:44.400 When we talk about the compliance, and the policies that are not being 0:28:45.000,0:28:48.840 implemented, although planned, I am under impression that this 0:28:49.200,0:28:53.080 energy sector remains as the elephant in the room. 0:28:54.360,0:28:58.080 Climate policy hasn't even existed for a long period of time, and now 0:28:58.560,0:29:01.440 when we have it, we cannot say that we lack it, 0:29:02.600,0:29:04.960 as if it is being led on two separate tracks. 0:29:05.320,0:29:08.040 Here, we will import renewable energy sources, but let's leave 0:29:08.640,0:29:12.280 the therman energy system intact for as long as possible. 0:29:13.640,0:29:18.640 Thus, we cannot have a policy of decarbonization and energy 0:29:19.160,0:29:25.200 transition if we totally ignore the urgency of defining definite 0:29:25.760,0:29:28.680 date for coal phase-out process, and introducing specific measures 0:29:29.160,0:29:32.040 for taking care of that, but only you introduce slowly renewable 0:29:32.400,0:29:35.480 energy sources, but you remain on the same track when thermal 0:29:36.200,0:29:39.800 power plants are concerned, doing nothing on that matter. 0:29:40.360,0:29:46.360 In that way you favor one or more actors on that side of the spectrum, 0:29:48.480,0:29:53.040 you violate regulations, and endanger health of the citizens along the way, 0:29:53.320,0:29:55.680 you simply do not send a good message, you don't leave the 0:29:56.120,0:30:00.320 impression of a favorable environment for the investment in this field. 0:30:01.160,0:30:04.000 It can be said that in this way we cut the branch on which we sit, 0:30:04.320,0:30:06.480 that we not only breach our own legislation, but we also violate 0:30:06.880,0:30:09.760 the rule of law, that is to say, the basic principles of the functional 0:30:10.280,0:30:16.640 society, thus depriving ourselves from the investments that we really need. 0:30:18.240,0:30:24.560 When we discuss the investments, how much European Union can do for us? 0:30:25.320,0:30:30.400 Maybe EU can assist with certain funds, as we desperately need help. 0:30:31.600,0:30:35.480 EU has Growth Plan incentivises for the Western Balkans, amounting to 0:30:36.200,0:30:40.360 six billion dollars, for diverse sectors, of course, and for all 0:30:40.680,0:30:45.160 countries, there are other types of aid, such as pre-accession funds, 0:30:45.800,0:30:51.720 so, to what extent EU can help us to get rid of coal once for all? 0:30:53.720,0:30:59.000 EU assistance is crucial, and their guidance on this path is of utmost 0:30:59.680,0:31:06.320 importance for our region. This area is of interest to the EU, 0:31:06.840,0:31:09.840 as figuratively speaking, we are in Europe's backyard, 0:31:10.200,0:31:12.880 all states in the region are either full members or candidates for 0:31:13.320,0:31:16.640 EU membership in the process of accession. 0:31:19.240,0:31:23.800 Europe would benefit from reducing pollution originating from this region 0:31:24.520,0:31:28.640 as those premature deaths that we mentioned, caused by pollution 0:31:29.120,0:31:31.120 coming from this region, would be eliminated. 0:31:31.800,0:31:37.040 A couple of billions, I assume... -Yes, financially, in terms of costs, 0:31:37.800,0:31:46.720 lost lives. So, it's important to try to reduce pollution coming from here. 0:31:47.960,0:31:56.320 Every impulse for some positive change in terms of environmental protection 0:31:56.800,0:32:00.000 and climate change, having in mind the whole region, including Serbia. 0:32:01.160,0:32:06.280 I am under impression that this positive impulse didn't come from 0:32:06.800,0:32:09.280 Nemanjina Street, from the headquarters of our institutions, 0:32:09.840,0:32:14.520 but either from the citizens, or from Brussels, figuratively speaking, 0:32:14.880,0:32:19.120 through the accession process of the whole region to the EU. 0:32:21.280,0:32:24.880 It is about a community of states that has high standards, 0:32:26.600,0:32:29.760 but respecting and implementing those standards de facto results 0:32:30.240,0:32:34.360 in a better quality of life. This is something we should strive for... 0:32:35.160,0:32:38.280 Practically to the transformation and progress that is good for us. 0:32:39.760,0:32:46.600 EU offers candidate states lots of money through pre-accession funds, 0:32:49.920,0:32:53.560 Environment, energy and climate change are gaining more importance. 0:32:54.320,0:32:56.920 It started with the Green Agenda for the Western Balkans in 2020, 0:32:57.280,0:33:01.920 and it continued with the Growth Plan, adopted in 2024. 0:33:02.280,0:33:06.680 We are talking about huge funds, which comes in the form of grants 0:33:07.320,0:33:16.600 and as loans with a very low interest rate, assigned for energy sector and 0:33:17.280,0:33:21.240 climate change. So, this is a process. 0:33:21.640,0:33:24.640 The entire region is on the way to aquiring EU membership. 0:33:26.920,0:33:33.280 EU can vauch for the improvement of the regulations in the WB region, 0:33:34.560,0:33:37.800 that they are implemented better and that we get that kind of support 0:33:39.000,0:33:42.320 for that transformation process in order to improve the regulations, 0:33:43.040,0:33:46.440 but also financial support to carry out the whole process. 0:33:48.240,0:33:52.040 This is so obvious. So, EU holds a key which is rather crucial, 0:33:52.520,0:33:57.760 but we should make use of it, to open a small door on that road. 0:34:00.240,0:34:04.280 When we consider our door opening, I mean of the whole region, 0:34:05.520,0:34:08.320 how far the region has come, how far the countries have come? 0:34:08.880,0:34:11.400 Does any of the countries have a specific date for coal phase-out? 0:34:11.800,0:34:17.480 Whether some goals in that area are adequate or needs improvement? 0:34:18.640,0:34:22.400 Can situation be improved through strengthening regional cooperation? 0:34:23.080,0:34:26.000 Is there any cure for our condition perhaps in that area? 0:34:26.840,0:34:32.840 Definitely, some goals are being considered right now, some are 0:34:33.240,0:34:36.320 being adopted, whether those goals will be respected remains to be seen 0:34:36.800,0:34:39.400 for a couple of years or decades, which is of utmost importance... 0:34:40.960,0:34:49.280 On the one hand, since 2015, the whole world awaits 2100, 0:34:50.080,0:34:54.640 as the end of the century, or to 2050, as a transitory time period. 0:34:56.640,0:35:02.200 Since 2015, the imperative has been defined that the temperature cannot 0:35:02.640,0:35:07.080 be raised for more than 2 degrees, but this is constantly being revised, 0:35:07.480,0:35:09.760 so now we are at the imperative amounting to 1.5 degree. 0:35:10.040,0:35:14.000 Although it sounds rather banal, they could say, 5 or 6 degrees, 0:35:14.720,0:35:18.360 what's the difference? -This summer proves it's not banal. 0:35:19.800,0:35:24.200 Yes, exactly. A few degrees in the global average temperature creates 0:35:24.680,0:35:30.280 a domino effect, resulting in disastrous consequences, 0:35:31.160,0:35:33.880 such as extinction of entire species, changes in the eco system, along 0:35:34.360,0:35:38.600 with the consequences which are due when mankind is concerned. 0:35:39.880,0:35:44.400 Why am I telling you this? It's a fact that within United Nations 0:35:44.960,0:35:47.880 and its Framework Convention on Climate Change and within EU, 0:35:48.360,0:35:52.400 the dynamics of coal phase-out is being monitored very carefully, 0:35:53.520,0:35:57.320 and every decision of changing deadlines backwards or forwards, 0:35:57.720,0:36:00.480 causes long term consequences both until 2050, and until end of century. 0:36:01.040,0:36:04.040 European Union had made estimates and brought decision that up to 2050 0:36:04.640,0:36:08.840 it wants to break even when emission of greenhouse gases are concerned. 0:36:10.920,0:36:16.400 The region entered this process very slowly, according to me, 0:36:16.760,0:36:20.200 and we are now in the position, when EU starts redefining its goals 0:36:21.520,0:36:27.040 making them more and more ambitious, countries from our region only started 0:36:27.680,0:36:31.200 to consider and adopt some procedures that will tomorrow become obsolete. 0:36:32.120,0:36:36.680 This is my leading impression. North Macedonia has redefined 0:36:37.760,0:36:42.200 the date of full coal phase-out, but I believe that after the elections 0:36:42.800,0:36:48.320 held relatively recently, they entered phase of reviewing its climate policy. 0:36:49.600,0:36:54.000 Serbia mentions in a very shy manner in some documents that gradually 0:36:54.360,0:36:57.960 maybe till 2050, we could reach full coal phase-out. 0:36:58.400,0:37:01.160 We still don't have a concrete steps that would lead in that direction. 0:37:01.920,0:37:03.880 According to some documents that our state currently considers, 0:37:04.280,0:37:08.400 in time when Europe sets it as an imperative, not out of a whim, 0:37:09.000,0:37:11.440 but for the sake of science, which shows that by 2050, 0:37:11.840,0:37:16.640 it must come to zero, Serbia's best case scenario would be that we might 0:37:17.400,0:37:20.080 reduce for 90 percent emission of gases we currently make. 0:37:20.560,0:37:23.640 Still, this is not zero. So, when it comes to the region, 0:37:24.240,0:37:29.320 North Macedonia made the first significant step forward, 0:37:30.360,0:37:34.560 at one point, it also showed intent to finish coal phase-out by 2030. 0:37:35.360,0:37:38.120 When it comes to the rest of the region, let's speak about Serbia, 0:37:40.040,0:37:45.120 we mention 2050 in some of the documents, but according to the 0:37:45.560,0:37:52.400 documents we had insight into, until 2050, we cannot reach zero. 0:37:53.160,0:37:57.240 So, at a time when Europe has already charting a certain direction, 0:37:57.640,0:38:01.360 and is constantly reconsidering it, revising it, as it's not perfect... 0:38:01.880,0:38:04.640 There are states that pop up, more or less... -Poland, etc. 0:38:06.120,0:38:08.320 That's right, but they deal with it in a more serious way. 0:38:08.680,0:38:12.160 We needed several years to adopt some of the goals which in the meantime 0:38:12.800,0:38:17.080 became obsolete, this is the problem with those diverse double tracks. 0:38:19.760,0:38:24.600 Do you think that one of the solution may be establishing links in the region 0:38:26.120,0:38:28.920 so that we can make stronger, more robust energy systems, 0:38:30.320,0:38:33.320 we can in that way have an impact on the cost and the rest. 0:38:34.320,0:38:39.360 When we consider WB region, different states have a comparative 0:38:40.280,0:38:44.160 advantage in certain renewable energy sources. 0:38:47.720,0:38:51.000 Greater regional integration or cooperation on this level might lead 0:38:52.000,0:39:00.440 to the energy mix being present in Europe, which could mean that 0:39:01.000,0:39:06.240 we rely more on renewable energy sources, thus helping 0:39:07.000,0:39:14.640 one another by exchanging energy. When on one side we have surplus, 0:39:16.760,0:39:21.080 we should redistribute it on a regional level, and in this way, 0:39:21.680,0:39:25.160 we also reduce the costs of transmission of that electricity. 0:39:26.800,0:39:28.960 So, within the region, those comparative advantages in 0:39:29.480,0:39:33.040 renewable energy sources, i.e. in Serbia - wind, in North 0:39:33.520,0:39:39.800 Macedonia - sun, some other countries has their own potentials, 0:39:41.160,0:39:46.960 if we work on those systems to become integrated, to reduce share of coal 0:39:47.480,0:39:50.160 in energy production and increase various renewable energy sources, 0:39:51.320,0:39:56.240 mixing them in a smart way, we could then help ourselves 0:39:56.880,0:40:03.400 and one another on the regional level. Disadvantage of renewable energy 0:40:03.960,0:40:09.320 sources is that they are indeed intermittent, to use expert terms. 0:40:10.280,0:40:13.080 Along with all the flaws that we mentioned, it is a fact that when 0:40:13.520,0:40:17.320 we launch thermal power plant, except when there is maintenance, 0:40:17.720,0:40:22.600 it can work constantly, our plants aren't functioning like that due to 0:40:22.960,0:40:28.720 poor quality of lignite or because the facilities are not well maintained, 0:40:29.720,0:40:32.960 and at one point, productivity dropped to 10 percent, but 0:40:33.400,0:40:38.880 we can count on the consistency when the facilities are concerned. 0:40:40.320,0:40:43.680 You now have sun for a certain period of day, when we consider 0:40:44.080,0:40:47.080 photovoltaic power plant in its peak, from 11 o'clock a.m. to 1 p.m., 0:40:48.240,0:40:51.720 then, sun's rays are getting weaker, there is also wind, hydro-energy, 0:40:52.200,0:40:58.320 but there is a way to mix those sources smartly, to balance 0:40:59.080,0:41:02.760 themselves, if we have several of them on the state and regional level, 0:41:03.400,0:41:08.320 then you would have a puzzle that can definitely be functionable. 0:41:09.520,0:41:11.880 Thank you, we could discuss those issues for days, 0:41:12.400,0:41:14.480 but this is our topic for discussion in the second episode as well, 0:41:14.800,0:41:16.840 and we have to bring our podcast to a close, 0:41:17.400,0:41:20.560 so for the very end, I would like to ask what are crucial issues 0:41:21.680,0:41:24.840 that you could share with the audience, in order to explain 0:41:25.280,0:41:27.880 why the process of coal phase-out is so urgent 0:41:28.520,0:41:33.320 in the region of Western Balkans. -Coal phase-out in the region of 0:41:33.800,0:41:39.680 Western Balkans is urgent because for the last 12 months, every month 0:41:40.120,0:41:44.640 was the hottest month in the year since the measurement is carried out. 0:41:46.320,0:41:52.080 June 2024 was the hottest, May also, because we are at 0:41:53.160,0:41:57.000 the top of Europe and the world in terms of air pollution. 0:41:57.320,0:41:59.360 I'm not talking about pollution for the sake of pollution, 0:42:00.040,0:42:02.760 I'm talking about lost years of life, premature deaths, diseases, 0:42:03.360,0:42:08.080 simply about damaged quality of life, as we are talking about 0:42:08.640,0:42:11.360 an energy source that has a limited shelf life, 0:42:11.880,0:42:15.760 it has its limited reserves, probably till half of this century, 0:42:16.680,0:42:21.240 and what we have is not of very good quality, 0:42:21.760,0:42:25.920 and above all, because this kind of shift guarantees better health, 0:42:27.040,0:42:32.920 better quality of living, cleaner energy, more favorable energy, 0:42:34.880,0:42:40.440 and that we are part of a civilizational heritage 0:42:41.440,0:42:44.680 or civilizational struggle, as the thing that will surely mark the 0:42:45.160,0:42:51.440 21st century, till 2100, is the struggle to preserve life as it is on the planet, 0:42:52.760,0:42:55.840 as much as possible, we have already lost some battles. 0:42:57.120,0:43:01.720 60 percent of extinct species up till now caused by climate change 0:43:03.920,0:43:08.320 is the result of emissions that were evident in the past, but we are now 0:43:08.800,0:43:11.280 feeling those consequences. We will pay a high price for 0:43:11.800,0:43:13.360 the emissions that are being now active. 0:43:13.800,0:43:16.600 Climate will face changes, unfortunatelly, the rise of 0:43:17.120,0:43:21.880 temperature is now inevitable, it'll create additional consequences, 0:43:23.280,0:43:27.840 such as losses in human lives, damaged eco systems, 0:43:29.760,0:43:32.720 and financial means in the form of loans, which we have to invest 0:43:33.120,0:43:36.200 in adaptation to changed climatic conditions. 0:43:36.640,0:43:39.200 What we have to take care of is that these consequences are as small as 0:43:39.800,0:43:41.720 possible, although they are already big, but they can be 0:43:42.000,0:43:46.280 even bigger, so by coal phase-out, we contribute to make life in this 0:43:46.680,0:43:55.840 town, country and the region as best as possible till the end 0:43:56.240,0:44:01.200 of 21 century, which will be marked by the climate change battle. 0:44:01.920,0:44:05.560 So to speak, think globally, act locally. -That's right. 0:44:07.360,0:44:11.320 One of the solutions, as you mentiones is regional cooperation. 0:44:13.360,0:44:15.440 I would like to conclude this episode with this very thought. 0:44:15.760,0:44:18.040 Ognjan, thank you very much for being my guest in the first episode. 0:44:18.600,0:44:21.240 See you. -Thank you for the invitation. 0:44:24.600,0:44:26.520 NEW MAGAZINE PODCAST 0:44:33.080,0:44:34.360 Produced by New Magazin 0:44:34.800,0:44:35.880 Supported by Open Society Foundations