Solar Is No Longer THE FUTURE, IT'S NOW

LawofficeDodić∙Đurić∙Dabićstrivesforlong-termcooperationwithclientstofind optimal legal and market solutions. They enjoy working together on legal issues and are sure that this is reflected in the quality of the service they provide

Based on rich experience gained in representing companies in the construction, energy, trade, IT and insurance sectors, our guest comments on market trends and speaks optimistically about the economic situation in the country

■ You represent leading companies in the fields of insurance, energy, construction, IT and trade. How do you see the economic situation in Serbia?

- Besides the stability we see in Serbia, partnership and cooperation are needed in all branches of industry. A real example is our clients in insurance who provide a huge help to industry by constantly adapting their products to the needs. For example, general and professional liability insurance in the IT sector is becoming ever more common, covering unforeseen costs and errors that may occur in business. In this way it provides protection to both the IT company and its clients. Cyber security and the protection of personal data are essential today, so cyber insurance is also necessary. That is why it is important that the insurance market is stable and growing.

■ How do you assess the state of the real estate market in Serbia?

- One of the main drivers of industry is the construction sector, so it is important it remain at the level of the previous two years to maintain economic activity. Inflation has had the greatest impact on the growth of real estate prices. On the other hand, buyers have behaved rationally, because the best escape from inflation lies in buying real estate. In the previous year, there was a decrease in the number of building permits issued, an increase in the price of construction materials, energy sources, higher prices for loans and slower construction, so we can expect prices to calm down. Real estate prices have not yet fallen. We expect price growth to stagnate, with a slight decline. There will not be a big drop in prices, because no recession is expected.

The demand for business space will remain high, because Serbia lacks business space both for sale and rent. It is the right time to invest in the building and purchase of office space because the demand for it is high and stable, as businesspeople from all over Europe are coming to the Serbian market.

■ Based on your experience, do you think that Serbia is a suitable place to build solar power plants?

- Solar power plants are no longer the future, but the present. Investing in a solar power plant is safe, and the risk is very low. The potential for using solar energy in Serbia is high as there are plenty of sunny days. It is possible to install solar panels on the roof of a building or to build a power plant on a separate plot. Solar panels have no moving parts and require little maintenance, and you can see how the prices of solar panels are falling from year to year. The investment return time is from five to seven years, and the lifespan of solar equipment is over 20 years. This is the cleanest form of energy produced today with no environmental pollution. Serbia has done everything necessary for the construction of solar power plants by passing laws, and state incentives are expected, so it is the right time to invest in solar.