01
Executive Summary
AgroGrid proposes to work with the relevant authorities of Bosnia and Herzegovina to establish the AgroGrid Bosnia National Distributed Agricultural Energy & Rural Industrialization Program.
The program is designed to transform locally available agricultural residues, forestry and wood-processing by-products, food-processing residues, and other qualifying sustainable biomass resources into a distributed, dispatchable renewable-energy infrastructure platform.
The proposed first phase consists of approximately 10 MW, configured initially as 2 × approximately 5 MW Regional Energy Hubs. Each regional hub would be selected and designed according to biomass availability, grid conditions, industrial heat demand, transport and logistics, land availability, permitting requirements, and regional industrial-development potential.
Following successful demonstration and operating validation, the program may be expanded toward 50 MW and subsequently 100 MW+, with long-term national capacity determined by sustainable resource availability, environmental limits, grid capacity and project economics.
- Establish a sustainable biomass supply chain
- Develop two demonstration energy hubs
- Generate dispatchable renewable electricity
- Maximize productive use of thermal energy
- Create additional economic value from rural resources
- Mobilize private and international investment
- Establish a replicable national distributed-energy model
02
National Development Opportunity
Bosnia and Herzegovina combines important strengths in agriculture, forestry, wood processing, food processing, rural labor, industrial capability, and energy infrastructure.
These sectors generate significant biological residues and by-products. With appropriate technology, logistics and management, these resources can potentially be converted into renewable electricity, industrial and agricultural heat, biochar, potential carbon removal, rural income and new industrial investment.
AgroGrid Bosnia is designed to create the infrastructure capable of organizing and utilizing these resources on a long-term national basis.
- Crop residues, grain straw, corn residues
- Orchard and vineyard pruning
- Sawmill residues, sawdust, wood chips, bark
- Wood-processing and food-processing by-products
- Qualifying residues from sustainable forestry operations
03
AgroGrid Complete Solution
AgroGrid will provide a complete integrated solution for the project. The scope covers the full project lifecycle.
- Resource Assessment — biomass surveys, volume, quality, sustainability and supply planning
- Biomass Collection & Logistics — collection systems, regional centers, transport, QC and inventory
- Biomass Pre-Processing — size reduction, shredding, screening, drying, storage and densification
- Energy Conversion — gasification, syngas treatment, gas cleaning and cooling
- Power Generation — engines, generators, electrical systems, controls and grid interconnection
- Combined Heat and Power — industrial heat, greenhouses, food processing, timber drying
- Biochar & Carbon Management — handling, traceability and certification pathways where appropriate
- Digital Management — biomass, logistics, generation, heat, emissions, maintenance and carbon data
- Project Financing — equity, project finance, banks, infrastructure and climate capital
- EPC & Construction — design, supply, construction, commissioning and commercial operation
- Long-Term Operations — biomass, plant O&M, digital monitoring and performance management
- National Scaling — standardized replication toward 50 MW, 100 MW and larger capacity
04
Single-Point Responsibility
ONE PLATFORM · ONE COMPLETE SOLUTION · ONE POINT OF RESPONSIBILITY
AgroGrid will integrate global technology, complete equipment systems, international financing, Bosnian engineering and construction, biomass supply chains, digital systems, and long-term operations.
For government and investors, AgroGrid will act as the principal system integrator and delivery platform for the complete project.
05
Phase I — 10 MW Demonstration Program
Configured initially as Hub A — approximately 5 MW and Hub B — approximately 5 MW. All figures below are preliminary feasibility assumptions and will be confirmed through formal engineering, commercial, environmental and financing studies.
| Total installed capacity | 10 MW |
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| Number of energy hubs | 2 × approximately 5 MW |
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| Annual operating target | approximately 8,000 hours |
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| Annual electricity generation | approximately 80 GWh |
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| Preliminary biomass requirement | approximately 85,000 tonnes/year |
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| Resource identification target before construction | ≥150,000 tonnes/year |
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| Preliminary investment | approximately €30 million |
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| Expected project life | 20–25 years |
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| Development to commercial operation | approximately 30–36 months |
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06
Distributed Energy Hub Architecture
AgroGrid Bosnia proposes a distributed energy-hub architecture. Biomass differs fundamentally from wind and solar because it requires collection, transportation, preparation, drying, storage, and continuous logistical management.
Energy hubs should be located close to resource concentrations, industrial heat users, appropriate road infrastructure, and suitable grid-connection points — avoiding unnecessary long-distance transport of large biomass volumes to oversized centralized facilities.
- Reduce logistics cost, fuel-supply risk, transport burden and energy losses
- Increase local procurement, regional employment, productive heat use and local industrial development
07
Two Demonstration Hub Models
Hub A — Wood & Forestry Residue Energy Hub
Primary feedstocks to be evaluated include sawmill residues, wood-processing by-products, sawdust, wood chips, bark, and qualifying residues from sustainable forestry operations.
Priority thermal applications may include timber drying, wood processing, food processing, industrial heating, and district heating. Wood-processing regions such as Una-Sana should be included in the initial screening process.
Hub B — Agricultural & Industrial CHP Hub
Primary feedstocks to be evaluated include grain residues, corn residues, orchard pruning, food-processing residues, and other qualifying agricultural by-products.
Priority thermal applications may include greenhouses, food processing, grain drying, fruit drying, dairy processing, and industrial process heat.
Potential candidate areas may include Zenica-Doboj, Tuzla, Posavina, and other locations identified through formal feasibility assessment. Final locations will be determined by data and project economics.
08
Bosnia National Biomass & Rural Energy Atlas
A central component of Phase I should be the development of the Bosnia National Biomass & Rural Energy Atlas, integrating agricultural and forestry resources, wood and food processing, existing biomass uses, transport and grid infrastructure, industrial heat demand, potential project land, and regional industrial-development conditions.
Resource and cost analysis should be conducted at multiple collection radii, including 25 km, 50 km, 75 km and 100 km. The resulting Biomass Cost Map™ would provide the basis for long-term national AgroGrid hub planning.
09
Biomass Supply Strategy
Biomass supply is a core project foundation. AgroGrid will establish a diversified, long-term and traceable feedstock system with farmers and cooperatives, forestry-related organizations, sawmills, wood processors, food processors, and other qualifying suppliers.
Supply agreements should address long-term volume, quality standards, moisture requirements, pricing mechanisms, logistics arrangements, and sustainability standards. Prior to final investment approval, the project should identify sustainable resource availability materially above annual operating requirements.
10
Technology and Equipment Platform
AgroGrid will design the complete technology solution based on the actual characteristics of Bosnian biomass resources — from receiving and pre-processing through gasification, power generation, heat recovery, emissions control, grid interconnection, biochar handling and digital monitoring.
Equipment configuration will be designed according to feedstock type, moisture, ash content, particle size, energy requirements, heat-market conditions, and emissions requirements, within a unified AgroGrid engineering and performance-management structure.
11
Performance Guarantees
Before commercial operation, each energy hub should complete formal performance testing. Final project acceptance will be based upon contractual performance standards.
- Net electrical output and fuel consumption
- Electrical and thermal efficiency
- Plant availability and syngas quality
- Emissions and parasitic load
- Useful heat output
- Biochar quantity and quality where applicable
12
Electricity and Heat Revenue
Phase I is expected to generate approximately 80 GWh per year under the preliminary operating assumption. The final electricity revenue structure will be determined according to power-market rules, long-term PPA opportunities, renewable-energy support mechanisms, corporate power-purchase structures, and other bankable market arrangements.
Each AgroGrid hub should also actively pursue long-term thermal-energy customers — timber drying, food and agricultural processors, greenhouses, district heating and industrial process heat. High heat utilization can significantly improve overall biomass efficiency and project economics.
13
Biochar and Carbon Removal
Where technically appropriate, the program will evaluate biochar production and carbon-removal opportunities for agricultural soil, horticulture, industrial materials, and other compliant end uses.
Any carbon-removal revenue must be based on traceable biomass, qualified biochar, formal carbon accounting, independent verification, and recognized certification methodology. The Phase I base financial model should not depend upon uncertified carbon-credit revenue.
14
Rural Industrialization
AgroGrid Bosnia is intended to create economic value beyond electricity generation. Each energy hub should be evaluated as a potential anchor for an AgroGrid Rural Industrial Park™.
Reliable electricity, thermal energy and shared infrastructure can increase local processing capacity and the value retained within rural regions.
- Greenhouses, cold storage, fruit and vegetable processing
- Food manufacturing, dairy processing, grain drying
- Timber drying, furniture processing, packaging
- Other agricultural or rural manufacturing activities
15
National Economic Impact
The initial 10 MW program may support approximately 80 GWh/year of renewable electricity, approximately 85,000 tonnes/year of biomass supply activity, approximately €30 million of infrastructure investment, local engineering and construction procurement, revenue for biomass suppliers, rural logistics, long-term technical employment, industrial heat supply, rural processing activity, potential biochar and carbon removal, and greater national energy diversification.
Detailed economic impact will be quantified during the formal feasibility stage.
16
Energy Security and National Resilience
AgroGrid Bosnia can increase the share of locally controlled energy resources within the national energy system. Biomass is collectable, processable, storable, and dispatchable — complementary to hydropower, solar, wind, storage, and regional electricity interconnection.
AgroGrid can become one component of Bosnia and Herzegovina’s long-term energy diversification and national energy-resilience strategy.
17
Environmental and Resource Protection Principles
1. No Deforestation for Electricity
The project will not be based on destructive harvesting of healthy forests for energy production.
2. Protection of Agricultural Soil
Crop-residue removal levels will be determined according to agronomic, soil-health and sustainability requirements.
3. Full Resource Traceability
Each qualifying biomass delivery should record source, feedstock type, weight, moisture, transport distance, and supplier information. Feedstock of unknown origin or material failing environmental standards will not enter the AgroGrid system.
18
Digital Management Platform
AgroGrid Bosnia will establish an integrated digital resource and energy-management platform covering biomass origin, logistics, inventory, moisture, electricity and heat production, equipment performance, maintenance, environmental indicators, carbon data, and financial and operating performance.
As national capacity expands, the platform may support an AgroGrid Bosnia Control Center for centralized monitoring and management of multiple distributed energy hubs.
19
Investment and Financing Structure
The preliminary Phase I investment is estimated at approximately €30 million. AgroGrid will be responsible for structuring and coordinating the appropriate capital stack — private equity, infrastructure funds, commercial banks, project finance, international development finance, climate-related capital, and strategic investors.
The initial cooperation framework does not require the Government of Bosnia and Herzegovina to fund the entire construction cost. The government’s principal role may include institutional coordination, regulatory clarity, data access, grid coordination, investment facilitation, and appropriate support for engagement with international financing institutions.
20
Government Cooperation Framework
AgroGrid proposes the establishment of a formal cooperation mechanism with the relevant government institutions, covering national and local coordination, biomass-resource data, agricultural and forestry coordination, candidate-region and land information, grid and electricity-market coordination, environmental and permitting procedures, investment and international-finance cooperation, and rural industrial development.
A dedicated AgroGrid Bosnia Joint Working Group is proposed to coordinate Phase I feasibility and implementation preparation.
21
180-Day Feasibility Program
Following execution of a Strategic Cooperation Memorandum of Understanding, AgroGrid proposes an approximately 180-Day Formal Feasibility Program.
| Days 1–30 | National resource and data integration |
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| Days 30–60 | Initial screening of approximately five candidate regions |
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| Days 60–90 | Biomass, logistics, grid, heat-demand and site analysis |
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| Days 90–120 | Technology configuration, equipment planning and preliminary engineering quotations |
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| Days 120–150 | Commercial, financial and financing structure |
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| Days 150–180 | Final investment feasibility report and recommendation of two priority energy hubs |
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22
Final Investment Decision
Following completion of the formal feasibility program, the project would proceed through one of three pathways. This structure ensures that all major decisions are supported by formal evidence.
- GO — Proceed to development, financing and construction
- MODIFY — Adjust location, capacity, technology, feedstock mix or commercial structure
- NO-GO — Do not proceed if the project fails to meet technical, economic, environmental or investment requirements
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Development Roadmap: 10 MW to 100 MW
Phase I — 10 MW
2 × approximately 5 MW demonstration hubs.
Phase II — 50 MW
Development of multiple regional distributed-energy hubs.
Phase III — 100 MW
Creation of a national AgroGrid distributed-energy platform. At approximately 8,000 annual operating hours, 100 MW could generate approximately 800 GWh per year and may require a biomass supply chain in the range of approximately 850,000 tonnes per year, subject to actual system efficiency and final engineering.
At this scale, AgroGrid would become national energy and rural-industrial infrastructure rather than a standalone power project.
24
Long-Term National Potential
Long-term AgroGrid capacity should be determined through formal national biomass mapping and project economics — sustainable resource availability, electricity demand, transport costs, grid capacity, environmental standards, heat markets, and investment conditions.
The final national capacity should therefore be determined by data and national energy planning rather than by a predetermined numerical target.
25
Regional Development Potential
A successful AgroGrid Bosnia platform could become AgroGrid’s Western Balkans Demonstration Platform and support future development in Serbia, Croatia, Montenegro, North Macedonia, Albania, Kosovo, and other regional markets.
Bosnia and Herzegovina could also develop into a regional center for engineering, technical training, operations, digital management, biomass analytics, carbon management, and selected equipment and component supply.
26
Human Capital and Technical Capability
As the platform expands, AgroGrid may cooperate with universities, technical institutes, and vocational-training institutions to establish AgroGrid Academy — Bosnia.
The academy could support training in gasification, power generation, electrical engineering, plant maintenance, biomass logistics, environmental management, digital systems, and carbon measurement — enabling technical capability that may ultimately be exported to other AgroGrid markets.
27
Governance and Transparency
Every tonne of biomass should be traceable. Every euro of project expenditure should be accountable. Every environmental and carbon claim should be verifiable.
AgroGrid Bosnia will be structured to meet the governance expectations of serious international infrastructure investment — transparent procurement, independent financial audit, anti-corruption controls, supplier compliance, environmental monitoring, biomass traceability, digital data management, carbon-accounting integrity, and community engagement.
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Phase I Government Decision
The initial government decision requested is not approval of a full 100 MW national rollout. AgroGrid proposes that the relevant government institutions first authorize Formal Strategic Cooperation and Phase I Feasibility through a Strategic Cooperation MOU, the AgroGrid Bosnia Joint Working Group, and the 180-day feasibility program.
The final construction and investment decision would follow completion of resource, technical, grid, environmental, commercial, and financing analysis.
29
Proposed Strategic Cooperation MOU
AgroGrid proposes entering into an AgroGrid Bosnia Strategic Cooperation Memorandum of Understanding covering the 10 MW demonstration program, the National Biomass & Rural Energy Atlas, selection of two priority hubs, grid analysis, complete technology and equipment planning, environmental assessment, project financing, rural industrialization, and the 100 MW national development roadmap.
The MOU would not itself constitute an automatic commitment by government to fund or construct the project.
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AgroGrid Delivery Commitment
- DESIGN — Complete system according to Bosnia and Herzegovina’s actual resources and energy conditions
- FINANCE — Structure and organize appropriate equity, debt and international capital
- BUILD — Complete equipment, engineering, EPC, installation, testing and commissioning
- OPERATE — Long-term biomass, energy, equipment, environmental and digital operating systems
- SCALE — Standardize successful demonstration projects and expand the platform nationally
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Long-Term National Value
The long-term value of AgroGrid Bosnia extends beyond electricity generation — a new domestic biomass market, rural-energy infrastructure, industrial heat capacity, rural processing capability, technical and engineering employment, international infrastructure capital, and regional energy and technical export capability.
- Energy Program
- Agricultural Program
- Industrial Program
- Investment Program
- Rural Development Program
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Conclusion
10 MW → 50 MW → 100 MW → NATIONAL DISTRIBUTED AGRICULTURAL ENERGY PLATFORM
AgroGrid Bosnia proposes to begin with a 10 MW distributed national demonstration program — two approximately 5 MW regional energy hubs, complete biomass supply chains, complete technology and equipment systems, EPC delivery, project financing, long-term operations, digital management, and rural industrialization — establishing an energy-infrastructure model capable of national replication.
AgroGrid will provide Bosnia and Herzegovina with one platform, one complete solution, and one point of responsibility. Following successful Phase I implementation, the program may develop toward 10 MW → 50 MW → 100 MW → a national distributed agricultural energy platform, and position Bosnia and Herzegovina as an important AgroGrid demonstration, operating and technical center for the Western Balkans.