Amid ongoing negotiations between the Government and the Municipality of Ulcinj regarding the formation of a company to manage the assets of the insolvent Saltworks “Bajo Sekulić”, preparations are underway for a new six-month lease of the oldest Ulcinj enterprise, as the current lease expires on August 7.
The Government and Municipality have been unsuccessfully negotiating for some time over the formation of a joint company, with disputes particularly focused on which party would hold the majority stake. Ulcinj’s Mayor, Genci Nimanbegu, confirmed the talks are intense but uncertain if an agreement will be reached.
The Ministry of Ecology, Sustainable Development, and Northern Development states negotiations continue and are expected to conclude within days regardless of the outcome. They note it is unlikely the Government will agree to cede majority control initially, given its commitment to significant investments aimed at protecting and revitalizing the area.
A draft agreement has been prepared for establishing the company that will manage this protected area. Senior diplomats from the EU and Germany have also been involved, indicating strong international support for the process. The Ministry emphasizes the need for all parties to demonstrate maturity and goodwill to reach an agreement.
The Ministry has been working with the Municipality and other key institutions for over a year to establish a sustainable management structure for Ulcinj Saltworks, ensuring its long-term development and conservation. A working group formed in 2022, coordinated by a GIZ expert, includes relevant institutions and NGOs to oversee implementation and support management efforts.
The Ministry acts as a mediator between the Government and Municipality to form a joint manager for the protected area. They highlight the urgency due to approaching deadlines and the significant number of environmental obligations tied to this site, which affect Montenegro’s EU integration process.
Ulcinj Saltworks was declared a Nature Park by the Municipality in June 2019, legally designating it as a protected area. The decision states that until August 2020, the management of the park was to be handled by the National Parks Public Enterprise, after which the Municipality was responsible for creating a company to manage it.
The Ministry expresses readiness to partner with all stakeholders, especially the Municipality, to create a capable and sustainable management entity with proper administrative, technical, and financial capacities. However, the Government expects to retain majority ownership initially due to its planned significant investments in conservation and revitalization. The Ministry acknowledges the importance of consulting the local community and balancing interests through dialogue.
Once the agreement text is finalized and approved by both the Government and Municipality, the management structure can be formally established. Currently, key agreement points are being finalized with involvement from the Municipality’s Mayor and Ministers of Finance and Ecology.
Regarding the land ownership issue, the Ministry clarifies it is separate from this agreement and is being addressed through the ongoing bankruptcy proceedings of Saltworks “Bajo Sekulić,” managed by other institutions. Whoever owns the land must comply with its designation as a Nature Park and its status on the Ramsar list of wetlands of international importance.
The Ministry has prepared a proposal for the Government to approve extending the lease of Saltwork’s assets to the National Parks Public Enterprise. Since 2015, National Parks has held a lease agreement with the bankruptcy trustee to preserve the area’s biodiversity values. The lease has been periodically renewed and is now set for a six-month extension while the new management structure is established.
