SOFIA SUMMIT & CONNECTIVITY AGENDA SOFIA SUMMIT & CONNECTIVITY AGENDA

November 2020, Pristina Name of Publication: Sofia Summit & Connectivity Agenda

Published by: European Policy Institute of Kosovo

Place and date of issue: Pristina, November 2020 (page intentionally left blank) CINOTNRTEONDTUCTION

Introduction 6

Approved projects 7

Investment value of approved projects, per country 8

Orient/East-Med Core Network Corridor: Kosovo –Serbia 9 R7 Road Interconnection, (Pristina – Merdare Section)

Rehabilitation of Fierza Hydropower Plant 10

Mediterranean Core Network Corridor: Tirana Bypass 11

Mediterranean Core Network Corridor: Kvanj Tunnel – 12 Buna Motorway Subsection

Rhine-Danube Core Network Corridor: Demining the Right 13 Bank of the Sava River

Orient/East-Med Corridor Montenegro – Serbia R4 Rail 14 Interconnection, Bar – Vrbnica Section INTRODUCTION

On 10 November 2020, EU and Western Balkans leaders met under the umbrella of the Berlin Process. Summit was co-chaired by Bulgaria and North Macedonia.

During the summit, Western Balkans leaders agreed to develop Common Regional Market and endorsed a regional Green Agenda. Furthermore, during the summit EU announced a new round of investments under the connectivity agenda. In total 6 projects were adopted with the total investment amount of 582.8 million EURO and total EU grant financing of 126.7 million EURO.

Following projects were adopted: 1.Orient/East-Med Core Network Corridor: Kosovo – Serbia R7 Road Interconnection, (Pristina – Merdare Section); 2.Rehabilitation of Fierza Hydropower Plant; 3.Mediterranean Core Network Corridor: Tirana Bypass; 4.Mediterranean Core Network Corridor: Kvanj Tunnel – Buna Motorway Subsection; 5.Rhine-Danube Core Network Corridor: Demining the Right Bank of the Sava River; 6.Orient/East-Med Corridor Montenegro – Serbia R4 Rail Interconnection, Bar – Vrbnica Section.

Countries that benefited from this round of investments are: 1.Kosovo: 204.7 million EURO investment, out of which 38 million EU grant; 2.Albania: 193.6 million EURO investment, out of which 40.3 million EU grant; 3.Bosnia & Herzegovina: 144.3 million EURO investment, out of which 28.7 million EU grant; 4.Montenegro: 40.2 million EURO investment, out of which 19.7 million EU grant.

Next Berlin Process meeting will be held in Berlin in 2021. APPROVED PROJECTS

Orient/East-Med Core Network Corridor: Kosovo –Serbia R7 Road Interconnection (Pristina – Merdare Section)

Rehabilitation of Fierza Hydropower Plant

Mediterranean Core Network Corridor: Tirana Bypass

Mediterranean Core Network Corridor: Kvanj Tunnel – Buna Motorway Subsection

Rhine-Danube Core Network Corridor: Demining the Right Bank of the Sava River

Orient/East-Med Corridor Montenegro – Serbia R4 Rail Interconnection, Bar – Vrbnica Section INVESTMENT VALUE OF APPROVED PROJECTS, PER COUNTRY (MILLION EURO)

250

200 204.7 193.6

150

144.3

100

50

40.2

0 Kosovo Albania Item 3 Item 4 ORIENT/EAST-MED CORE NETWORK CORRIDOR: KOSOVO – SERBIA R7 ROAD INTERCONNECTION, (PRISTINA – MERDARE SECTION)

EU: €38 million EBRD: €77.0 million 204.7 EIB: €77.0 million MILLION KOS: €7.5 million EU TA grants: €5.2 million

27 Kilometers of new motorway KM

120 Increased travel speed KM/H

350 New jobs

2021 2024 REHABILITATION OF FIERZA HYDROPOWER PLANT

EU: €8.4 million 42.7 KfW: €27.2 million MILLION ALB: €7.1 million

Secure electricity supply from 200,000 renewables for over 200,000 HOUSEHOLDS households

Reduction in pollution levels, 25,000 with 25 000 tons/year CO2 TONS/YEAR CO2 REDUCTION emissions avoided

50 New jobs

2021 2026 MEDITERRANEAN CORE NETWORK CORRIDOR: TIRANA BYPASS

EU: €31.9 million EBRD: €109.2 million 150.9 MILLION ALB: €7.3 million EU TA grants: €2.5 million

Km-long dual carriageway 21.5 bypasss KM

120 Increased travel speed KM/H

250 New jobs

2021 2023 MEDITERRANEAN CORE NETWORK CORRIDOR: KVANJ TUNNEL – BUNA MOTORWAY SUBSECTION

EU: €20.7 million 106.3 EIB: €83.6 million MILLION BiH: €2 million

Km tolled motorway section, 5.2 including a 2.6 km tunnel, a KM bridge and an access road

Increase in travel speed to 120 km/h, shortening travel time by 120 30 % between Mostar and the KM/H port of Ploče in Croatia

350 New jobs

2021 2023 RHINE-DANUBE CORE NETWORK CORRIDOR: DEMINING THE RIGHT BANK OF THE SAVA RIVER

EU: €8 million

M3ILL8ION WBG: €30 million

40 Km of navigable waterway KM

Reduction in pollution levels 200,000 with over 200,000 tons of CO2 TONS CO2 REDUCTION emissions avoided over project horizon 2024-2050

2021 2023 ORIENT/EAST-MED CORRIDOR MONTENEGRO – SERBIA R4 RAIL INTERCONNECTION, BAR – VRBNICA SECTION

EU: €19.7 million 40.2 EIB: €18 million MILLION EU TA grants: €2.5 million

Restoration of 5.1 km 5.1 including 10 steel bridges and KM eight tunnels

Safer and more reliable service 1.2 for the 1.2 million annual MILLION passengers

520 New jobs

2021 2024 (page intentionally left blank)