PIC steering board warns against RS's move to withdraw from state power company

14/09/2008

SARAJEVO, Bosnia and Herzegovina (BiH) -- The Steering Board of the Peace Implementation Council (PIC) voiced concern Friday (September 12th) over a decision by Republika Srpska (RS) to withdraw from the state power transmission company and to form its own. An entity cannot withdraw unilaterally from an agreed-on reform, the board said, adding that it considers the move "extremely serious". The Bosnian Serbs had earlier supported a law establishing a common power grid operator for BiH.

The European Commission (EC), meanwhile, said the move could damage BiH's bid for EU integration. "Such a decision would put at risk BiH's integration in regional and EU electricity markets," said Dimitris Kourkoulas, head of the EC delegation to BiH. "It would also be a step back in the context of the country's stabilisation and association process. (Dnevni Avaz, Reuters - 13/09/08, AFP - 12/09/08)