One of the most important concepts in the social sciences in recent decades is the global risk society, proposed by German sociologist Ulrich Beck. He observed that uncertainty and risk-taking have become dominant characteristics of modern societies. In addition to natural or external risks, human-made or manufactured risks are also key features of the global risk society. Global warming and environmental pollution are among the most significant threats in this context. While global warming varies in its regional, national, and local consequences, it remains a global process requiring a global institutional response. Such a response is understandably difficult to achieve in today's deeply divided world. However, environmental pollution, especially air pollution, has consequences that are far more immediate and dangerous for human settlements. Addressing these risks is much easier at the local level. For example, the City of Bijeljina (Republic of Srpska, Bosnia and Herzegovina) is often among the most air-polluted settlements in the region, especially in winter, mainly due to pollution from household energy consumption. Transitioning from fossil fuels (primarily coal) and inefficient use of firewood in individual household stoves would significantly reduce air pollution. The aim of this paper is to analyze the relevant regulatory framework for the transition towards more efficient and sustainable use of renewable energy sources in the household sector in the City of Bijeljina. A favorable institutional framework, combined with appropriate incentives for households in Bijeljina, would lead to greater use of renewable energy sources and, consequently, significantly lower levels of air pollution.

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