Kosovo, as all other countries in the world, has become involved in globalization and the fields which are drivers will be mentioned briefly in this paper. The main focus of the paper is on the opportunities and challenges created by globalization with attention to the energy situation in Kosovo and use of lignite for sustainable economic development. The negative impacts on the environment will also be considered. Kosovo�s obligations to fulfill the European and International Standards on legislation and policies for the energy sector and environmental protection must also be discussed.
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