SARAJEVO, March 31 (Xinhua) -- Proposed amendments to legislation governing a gas pipeline project titled the Bosnia and Herzegovina (BiH)-Croatia South Gas Interconnection have triggered controversy in BiH, with watchdog groups and legal experts warning of risks to transparency and public oversight.
The government of the Federation of Bosnia and Herzegovina last week approved and submitted the amendments to parliament under an urgent procedure. The changes would introduce a U.S.-linked investor, AAFS Infrastructure and Energy, as both a partner and project holder in the project.
Transparency International in BiH said the move could undermine market competition and set a problematic precedent by naming a private investor directly in legislation, raising concerns about potential regulatory capture.
Legal experts also warned that embedding a specific investment model in law could interfere with the country's existing energy regulatory framework.
The project, backed by international partners and seen as key to improving energy security and diversification, involves the construction of a pipeline of more than 200 km linking Bosnia to Croatia and the liquefied natural gas terminal on Krk island. The estimated cost exceeds 180 million euros (207 million U.S. dollars). Authorities said the amendments are intended to clarify investor obligations and accelerate implementation.
However, opposition parties and other critics argued that the proposed approach departs from established models of public ownership in strategic infrastructure and could weaken public oversight. ■