Montenegro’s Minister Emphasizes State Capacity for Airport Development

Montenegro’s Minister of Transport, Maja Vukicevic, has expressed confidence in the country’s capability to independently develop its airports. In an interview with the daily newspaper Pobjeda, she assessed that the bids submitted for the concession of Montenegro’s airports could have been stronger. Vukicevic believes that the state has demonstrated its ability to manage airport operations effectively in the past.

On November 12, 2023, the Ministry of Transport released a ranking of bidders for the concession process, prepared by the Tender Commission. The top-ranked bidder is the South Korean company Incheon International Airport Corporation, followed closely by the Luxembourg-American firm Corporacion America Airports. Vukicevic noted that the Ministry has a thirty-day period to present documentation to the government for a final decision, contingent upon whether any bidders file objections with the government’s concession commission.

In response to inquiries regarding the timeline for a government decision on the concession, Vukicevic stated, “The Tender Commission has completed its evaluation of the bids. The Ministry will submit the necessary documentation to the government within thirty days, depending on whether any objections are raised by the bidders. There is a fifteen-day window for objections following the publication of the documents.” Both bidders have requested access to the bidding documents, and the Ministry is complying with legal requirements to grant them that access as they currently review the Tender Commission’s documentation.

Vukicevic commented on the nature of the received bids, expressing her belief that there was potential for better offers. She emphasized the importance of low-cost airlines in boosting Montenegro’s tourism and economy. “The presence of low-cost carriers is vital for Montenegro and our citizens, who should have affordable travel options,” she said. Since taking office, Vukicevic has initiated changes to incentive schemes to facilitate negotiations for increased low-cost airline operations, which has already led to the arrival of Wizz Air.

Reflecting on the potential concession of Montenegrin airports, Vukicevic asserted that the state has successfully managed airport operations in the past. She highlighted impressive results from the current year, including a record number of passengers. “We are on track to reach three million passengers for the first time in history, despite challenges with Turkish Airlines,” she said. The Minister outlined that the upcoming year will see a record number of flights and destinations, including the introduction of British Airways and interest from Ryanair.

Vukicevic expressed her satisfaction with the management of Aerodromi Crne Gore, the state-owned airport operator. She praised the current leadership under Director Roko Tolic and the Board of Directors led by Jelena Maras for their effective collaboration with the Ministry, which has resulted in increased attractiveness of Montenegrin airports to various airlines.

Turning to the national airline, ToMontenegro, Vukicevic noted the company has performed exceptionally well this year. She commended the management, particularly CEO Vukadin Stojanovic, for proving her belief that a local should manage the national carrier. “The decision to appoint Stojanovic has shown to be correct, as evidenced by the results achieved by the company,” she added.

In terms of infrastructure development, Vukicevic addressed the ongoing tender process for the construction of the second section of the Bar-Boljare highway, from Mateševo to Andrijevica. Four bids have been submitted, with three coming from consortia. The evaluation is being handled by Monteput in collaboration with the European Bank for Reconstruction and Development (EBRD). Vukicevic expressed satisfaction with the level of interest and number of bids received, which suggests a successful tender process.

As for the timeline for the commencement of construction, Vukicevic stated that it hinges on the decisions made by Monteput and EBRD regarding the evaluation of bids. “Once a contractor is selected, construction will begin, but the timeline depends on the commission’s evaluation process,” she said.

Lastly, Vukicevic discussed improvements in the railway sector, where state-owned companies have struggled for years. While acknowledging that challenges remain, she noted that operational performance has improved. “We have seen better punctuality and service quality, and we are in the process of acquiring new trains,” she stated. Plans are underway to sign contracts with the EIB and EBRD for the reconstruction of the railway, and she assured that the budget for the next year includes guarantees for railway companies, which will significantly aid in enhancing service quality. The merger of Zeljeznicki Prevoz and Odrzavanje Zeljeznickih Voznih Sredstava is also in progress and is expected to be completed on schedule.