Deloitte, in collaboration with Dil Inženjering Konsalting, has been awarded a tender to assess the value of the assets of Elektroprivreda Srbije (EPS), Serbia’s largest utility company. The valuation, costing approximately 21 million dinars, is part of a routine recommendation for regular asset assessments every three to five years. This follows EPS’s transition to a joint-stock company in 2023, a move that was interpreted by some as a step towards potential privatization.
The valuation process has faced multiple challenges and rejections in the past. The estimated value of EPS’s capital was around 3.1 billion euros in 2023. Initially, the task of evaluating EPS was undertaken by a consortium led by the Economic Institute. However, the current tender process has been marked by a series of setbacks, including rejected bids and procedural errors. The recent award to Deloitte comes after a series of unsuccessful attempts to finalize the tender, with previous bids being dismissed due to issues such as insufficient employee training and other procedural lapses.
The decision to award the tender to Deloitte was made on August 24, 2026, with the explanation that the decision was primarily based on the lower cost proposed by Deloitte compared to the Economic Institute. This development raises questions about whether the valuation is merely a routine procedure or indicative of planned changes, such as potential privatization.
The tender process has been fraught with difficulties. In a previous attempt, the tender was combined with an analysis of the socio-economic effects of EPS’s operations on Serbia, valued at 150 million dinars, of which only 30 million was allocated for the company’s valuation. This led to a complaint from Dil Inženjering Konsalting and Deloitte, which was initially rejected by EPS. However, the Republic Commission for the Protection of Rights in Public Procurement Procedures later upheld the complaint, citing that conditions for concluding a framework agreement had not been met.
The complexities of the tender process highlight the challenges in assessing the value of such a significant national asset. The repeated procedural errors and rejections have raised concerns about the reliability of the current assessment. The motivations behind the valuation remain uncertain, with speculation about whether it is a precursor to privatization or simply a compliance with international standards.
In 2023, EPS’s transformation into a joint-stock company was seen by some as a move towards privatization. The ongoing valuation efforts and the challenges faced in the tender process have further fueled speculation about the future direction of EPS. The implications of the valuation process are significant for Serbia’s energy sector, which relies heavily on EPS for electricity production and distribution.
The outcome of the valuation and any subsequent decisions regarding EPS’s future will have wide-reaching implications for the Serbian economy and its energy sector. As the process unfolds, stakeholders will be closely monitoring developments to understand the potential impact on the country’s energy infrastructure and market dynamics. The situation underscores the importance of transparency and due process in managing national assets, particularly in sectors as critical as energy.
