economy
April 12, 2026
Will We Get a New Electricity Shock This Summer?
Europe awaits summer with a changed production structure, reduced reserves, and increased geopolitical risk. A logical consequence of such an environment will be an increase in electricity prices. What will this mean for consumers in Serbia, especially since the situation in EPS increasingly resembles the time when it was managed by Milorad Grčić.
TL;DR
- Europe faces rising electricity prices this summer due to reduced reserves and increased geopolitical risks.
- The transition from long-term contracts to LNG has made European energy prices more susceptible to global competition and disruptions.
- Carbon credit systems are increasing production costs, making stable energy sources more expensive and reducing industrial competitiveness.
- Serbia's energy stability relies on inherited capacities, and regional price increases will affect the country through imports and market signals.
- EPS, Serbia's state-owned energy company, showed signs of operational recovery and financial improvement under previous management, but recent changes raise concerns.
- A return to management styles similar to the Milorad Grčić era could lead to system instability, increased reliance on expensive imports, and higher energy costs.
- Serbia's energy transition requires a stable base, including continued coal exploitation and modernized thermal and hydro power plants, before focusing on renewables or nuclear energy.
- Decisions made now regarding energy management will determine whether Serbia has a stable and affordable energy system or a more expensive one.