Analysis of financial incentives as an instrument of renewable energy sources management in Montenegro

University of Montenegro, 81000 Podgorica, Montenegro

^* Corresponding author: bobanm@ucg.ac.me

Abstract

This article analyzes the effects of financial incentives implemented in Montenegro, with the aim of increasing the exploitation rate of renewable energy sources on the consumption side. Those incentives were mostly focused on households. They made it easier to obtain the funds for installing the equipment necessary for the use of solar energy and biomass, as the main energy sources, for the needs of individual households. The results show that the implemented measures had smaller effects than expected and that the interest of inhabitants for the use of renewable energy sources is still at low level. The reason for such a situation is an insufficiently developed awareness of their importance and lack of information about the way that the systems used for their exploitation work and all the benefits that those systems offer. Occasional promotional activities, carried out during the implementation of the measures mentioned above, weren’t sufficiently effective. Therefore, a continuous effort must be invested in the forthcoming period, in order to inform and educate citizens, so that the energy potentials of Montenegro could be used in a right way.