Globally, decentralised distributed energy systems are taking the place of centralised energy generation. They are becoming more and more popular because they make it easier for renewable energy sources to be adopted and integrated into the energy mix more quickly. A decentralised energy system has not yet been implemented by Bosnia and Herzegovina's power sector, which is dependent on large, central power plants and the long transmission and distribution lines that provide electricity to consumers. At the very least, the decentralised energy system can be implemented as an addition to the current centralised energy system. In addition to lowering transmission and distribution inefficiencies and the associated economic and environmental consequences, they aim to bring power sources closer to the final consumer. Decentralised energy is usually dispersed locally, as opposed to traditional power-generating facilities that are connected to a centralised grid. The decentralised nature of renewable energy allows a variety of actors, such as businesses, citizens, and local authorities, to simultaneously produce and consume energy with the proper legal and regulatory framework. This paper investigates whether biomass and geothermal energy can be used to produce energy in the Brcko District of Bosnia and Herzegovina and determines how much electricity generated from them could contribute to achieving the aim of energy sustainablity.