Monday, 5 March 2012

Fifty-Third Sitting of the Industry Committee

At the sitting held on 5 March, the Industry Committee considered the Statute of the Energy Agency of the Republic of Serbia and the Proposal of the Republic of Serbia Mineral Resources Management Strategy by 2030.


Following the presentation of the Statute of the Energy Agency of the Republic of Serbia and a short debate, the Committee members unanimously adopted the Proposal of the Decision granting consent to the Statute of the Energy Agency of the Republic of Serbia and forwarded it to the National Assembly.
In the continuation, Prof. Dr Vladimir Pavlovic from the Faculty of Mining and Geology in Belgrade presented, on the behalf of the team of the Ministry of Environment, Mining and Spatial Planning, the Proposal of the Republic of Serbia Mineral Resources Management Strategy by 2030. According to the Strategy, by 2030 Serbia should become the leader in the region in the spheres of mining and mineral resource management, aspiring to make the industrial branch 5% of the overall GDP by 2020. Today, the mining sector makes up 2% of the GDP, while in the world the percentage varies between 10 and 12%. Globally, the production of lead, zinc, copper and aluminum is dominant, while the production of oil derivatives and uranium has dropped. According to predictions, by 2085 the production and consumption of natural gas, oil shale and coal should be on the rise. In future, the production of lignite will gain in significance, both in Europe and Serbia. Serbia has a significant potential reflected in more than 2000 sites i.e. deposits which provides a solid basis for the improvement of the mining sector. Unfortunately, not all of the localities have been sufficiently investigated. The strategy points to existing reserves of raw materials in Serbia as well as potential resources such as 9 billion tons of coal reserves, 350 million tons of oil shale with potential 4.5 billion tons of resources, 10.5 million tons of oil reserves and 4.5 billion m3 of natural gas. Serbia has 1,200 MW of thermal energy potential. As regards metal resources, Serbia has about 2 billion tons of copper reserves and about 8 billion tons of potential. It also has significant lead, zinc, lithium, nickel and cobalt potentials. Between 2003 and 2011 Serbia invested more than 154 million EUR into researching primarily metal mineral resources. According to the Strategy, by 2030 coal production in Serbia would reach 50 million tons a year, oil would reach 6 million tons, and natural gas 3 billion cubic meters. According to plan, by 2020 the production of copper should treble, and the production of lead and zinc should double. Lithium shows serious exploitation potential leaning toward producing 10.5% compared to global production. The situation is similar as regards other resources with serious capacities such as molybdenum, antimony, borates, phosphates and magnesite. The Strategy envisages that the production of the mining sector should reach 5% of GDP with the investment of about 3 billion EUR, which would by 2020 generate the same amount of income and raise the number of employees in the sector to 40,000.
Having been briefed on the key guidelines of the Strategy, the Committee members wanted to know whether the resources presented in the Strategy pertain to the entire territory of Serbia, what the potentials were for the exploitation of oil shale, whether the Strategy was drafted in cooperation with the Ministry of Finance as regards the income and investment projections, if national institutes were included in the geological research of potential deposits of mineral raw materials and how much has been done to investigate geo-thermal waters in Serbia.
Following the discussion the Committee members unanimously adopted the Proposal of the Republic of Serbia Mineral Resources Management Strategy by 2030.
The sitting was chaired by Committee Chairman Milorad Buha.

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