The Možura wind farm, situated near Ulcinj, has emerged as a contentious project in Montenegro’s energy landscape, illustrating both the potential of renewable energy and the pitfalls of governance failures. Since its commissioning in 2019, this 46 MW facility, equipped with 23 turbines, has generated around 120 GWh of electricity annually. This output not only bolsters Montenegro’s renewable energy portfolio but also aids in reducing dependence on imported power, aligning with EU decarbonization goals.
Financed through a consortium that includes Malta’s state utility Enemalta and various international engineering partners, the investment totaled approximately €90 million. Operationally, the wind farm performs as intended, providing stable renewable energy consistent with the capacity factors typical for coastal Adriatic wind corridors.
However, the development and financing of the Možura project have raised significant concerns. Investigations have revealed a series of transactions that inflated costs and diverted value away from the Montenegrin state. A notable controversy involves an offshore intermediary that acquired the project concession for about €2.9 million and subsequently sold it for approximately €10.3 million, yielding substantial profits without enhancing the asset’s value.
This transaction model, coupled with a lack of thorough due diligence and opaque ownership structures, has been criticized as indicative of systemic governance weaknesses. Audits have suggested that the acquiring party was aware of the inflated price, raising questions about fiduciary responsibilities.
The financial ramifications extend beyond initial acquisition costs. Montenegro has committed to a subsidized electricity purchase framework that could amount to €115 million over 12 years, effectively shifting long-term financial burdens onto consumers via electricity tariffs. This subsidy arrangement is particularly contentious given the project’s already inflated entry costs.
Recent findings have further intensified scrutiny on the Možura project. Government officials have indicated potential tax losses exceeding €12 million due to complex financial transactions involving intermediary firms lacking operational presence in Montenegro. These transactions included equipment trades valued at around €40 million conducted under dubious circumstances, allegedly aimed at optimizing VAT positions and injecting liquidity into the project through non-transparent means.
Beyond its financial implications, the Možura case has geopolitical and reputational dimensions. It has surfaced in international corruption investigations linked to Malta and a broader network of offshore entities involved in energy deals. The case also intersects with the work of investigative journalist Daphne Caruana Galizia, enhancing its visibility on an international scale.
For Montenegro, these issues pose challenges in relation to EU accession processes. European institutions have called for a credible and independent investigation into the Možura project, framing it as a critical test of rule-of-law capabilities and institutional integrity. This situation places the wind farm at the intersection of energy policy and broader governance standards tied to EU integration.
Despite these challenges, the Možura wind farm holds long-term strategic value. Under its concession agreement, it is expected to transition to full state ownership by 2035, potentially mitigating earlier financial inefficiencies if it continues to operate effectively and if regional electricity prices remain high.
The dual nature of Možura—as both a functioning asset and a flawed transaction—reflects broader trends observed in early renewable investments within emerging European markets. While it contributes positively to decarbonization and grid stability, it simultaneously highlights issues related to weak procurement practices and insufficient oversight.
Ultimately, whether Možura is viewed as a “loss” or “benefit” depends on one’s perspective. From an energy systems viewpoint, it serves as a productive asset; however, from a fiscal and governance angle, it underscores significant value leakage during its development phases that has diluted potential economic returns for Montenegro.
The unresolved question remains: how much value has been lost due to these governance issues, and are current institutional reforms sufficient to avert similar outcomes in future renewable infrastructure projects?
