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Prosumers in the Federation of BiH and Republika Srpska: how it works and what you need to know

An overview of prosumer (kupac-proizvođač) rules in the Federation of BiH and Republika Srpska: who qualifies, net metering vs net billing, capacity limits and the connection process.

Published 6 min read SHPP team

Rooftop solar plant on a commercial building, aerial view

Prosumer status (in local terms kupac-proizvođač, “customer-producer”) lets households and businesses generate electricity for their own use, feed surplus into the grid and offset it against later consumption. In Bosnia and Herzegovina the rules are set at entity level, so they differ between the Federation of BiH and Republika Srpska — and they change quickly.

Important: This article is an informational overview of the regulations based on the sources listed at the end (checked October 2026). It is not legal advice. Before investing, check current regulations and conditions with your distribution system operator and supplier.

Federation of BiH

  • Law on the Use of Renewable Energy Sources and Efficient Cogeneration (Official Gazette of FBiH 82/2023) — introduced the prosumer category, auctions for support schemes and renewable energy communities.
  • Rulebook on electricity generation for own needs — prosumer generation, FERK (Official Gazette of FBiH 30/2024).
  • Amending rulebook (Official Gazette of FBiH 43/2025) — simplified procedures and clarified net billing.

Who can be a prosumer

An end customer that connects a renewable plant (usually solar) for self-consumption to the building’s internal installation, subject to these limits:

  • plant capacity up to 150 kW,
  • plant capacity no greater than the building’s approved connection capacity.

The rulebook also allows:

  • joint prosumers — households and commercial customers in the same building or residential complex, with total capacity up to the sum of their connection capacities,
  • third-party ownership — the plant may be owned by a third party under a separate agreement with the end customer.

Net metering and net billing

Households up to 10.8 kWOther prosumers (incl. businesses)
Schemechoose net metering or net billingnet billing
Net metering duration10 years, then move to net billing—
Value of surpluskWh credit (net metering)surplus × active-energy tariff − 10%, BAM credit
Unused creditscancelled after Q1 for the previous 12 months, without compensationsame

Where the supply contract has day/night tariff differentiation, the 2025 amendments require surplus to be calculated separately for each tariff rate.

In practice: prosumer status in the Federation is not a model for earning money by selling electricity, but for reducing your own bill. A plant that produces more per year than the building consumes gives the surplus away to the supplier. For businesses it also matters that surplus is worth less than purchased energy (−10%), so the economics rest on self-consumption at the time of generation.

Connection procedure

Under the rulebook (as amended in 2025):

  1. An application for grid-connection approval (elektroenergetska saglasnost) is submitted to the distribution system operator before construction (for new buildings, before urban-planning approval). The operator publishes standard application forms.
  2. The operator issues a decision within 30 days of a complete application.
  3. A connection agreement is signed before the connection is built.
  4. A use permit for the plant or confirmation that none is required (under cantonal rules) and proof that the electrical installation is safe are submitted; the 2025 amendments provide some simplifications for smaller buildings.
  5. The supplier must offer a supply contract within 8 days of the request.
  6. The operator notifies the supplier at least 3 days in advance and connects the plant within 10 days of receiving the documents and contract.

The distribution system operators in the Federation are Elektroprivreda BiH and Elektroprivreda HZ HB, depending on the area. Cantonal building rules differ, so part of the process varies from canton to canton.

Republika Srpska

  • Republika Srpska’s Law on Renewable Energy Sources (Official Gazette of RS 16/2022).
  • The Rulebook on customer-producers of the Regulatory Commission for Energy of Republika Srpska (RERS), adopted in 2023.

Schemes by plant capacity

Plant capacityScheme
up to 10.8 kWnet metering
above 10.8 up to 50 kWnet billing
above 50 kWstandard supply scheme (energy drawn is paid for, energy delivered is invoiced at the contracted price)

Other rules under the RERS rulebook:

  • installed capacity must not exceed the approved connection capacity of the building,
  • the plant should be sized so annual generation is roughly equal to or below annual consumption,
  • the distribution system operator compares generation and consumption once a year (1 April); if the deviation exceeds 30% for three consecutive years, the customer loses prosumer status,
  • plants above 150 kW submit a daily operating schedule and bear imbalance costs,
  • joint prosumers in the same building or complex are also possible.

Implementation in practice

In 2024, media reported that uptake in Republika Srpska was modest — according to statements from Elektroprivreda RS, the tax treatment at the time (VAT on all energy drawn from the grid) eroded the benefit of net metering, and initiatives for amendments were launched. The situation may have changed since — check the current VAT treatment and conditions with the distributor and supplier within the Elektroprivreda RS system.

Brčko District

Brčko District has its own regulatory framework under the State Electricity Regulatory Commission (DERK). If your building is in Brčko, check the rules separately.

How to decide: a short checklist

  1. How much do you use, and when? Without 12 months of bills there is no good sizing.
  2. What is your approved connection capacity? It caps the plant size.
  3. Which scheme applies? Households up to 10.8 kW in the Federation have a choice; businesses are on net billing.
  4. How much surplus do you expect? Surplus not used by the end of the settlement period is lost.
  5. Who are your operator and supplier? Procedures and forms depend on them.
  6. Do you need a building/use permit? It depends on the canton or municipality.

Conclusion

Prosumer status is legally available in both entities, with a clear message: the plant should serve your own consumption, not production for sale. For businesses that means careful sizing to the daily load profile; for households in the Federation, a choice between net metering and net billing.

If you would like us to check what applies to your building and prepare the paperwork for the operator, request a quote or read our commercial solar guide.

Sources

Frequently asked questions

Who can become a prosumer in the Federation of BiH?

Under FERK's rulebook, an end customer — household or legal entity — that connects a renewable plant for own use to the building's internal installation, of up to 150 kW and no more than the building's approved connection capacity. Status is obtained through the distribution system operator's procedure and a contract with a supplier.

What is the difference between net metering and net billing?

Under net metering, surplus is carried forward as a kWh credit and offset against later consumption. Under net billing, surplus is valued in money — in the Federation of BiH at the active-energy tariff minus 10% — and carried forward as a BAM credit. In the Federation, only households with connection capacity up to 10.8 kW can choose net metering, for 10 years.

What happens to surplus I don't use?

In the Federation of BiH, unused credits are cancelled after the first quarter of the current year for the previous 12 months, without compensation, and any remaining surplus goes to the supplier. That is why a plant should be sized so annual generation does not exceed annual consumption.

Do I lose my credit if I switch supplier?

Under the FBiH rulebook, credits are cancelled when switching supplier unless the old and new suppliers agree otherwise with the customer. Check the terms before switching.

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