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Country Information Albania  - News

Summer 2004

The Albanian Electricity Regulatory Authority would like to inform you about the  key changes, decisions and personnel changes within the past six months:

A key change has been the appointment of a new Board of Commissioners in January 2004. The main decisions taken within these six months have been: Approval of Transitory Market Model; Approval of Code of Ethics and Rules of Procedure for the functioning of ERE Commission; Approval of Rules of Procedure For Organization and Directing of ERE; Approval of Rules of Procedure for Licensing; Approval of License on Energy Generation; Approval of License for Transmission , Approval of License for Distribution, and Approval of License for Construction, Installment and Exploitation of a power plant and energy generation. There have been two licenses granted for generation; the prices for selling energy for 7 private companies have been approved.

Personnel changes
In January 2004 the new Board was elected: 1. Pjetër Dema, Chairman; Petrit Ahmeti, Adriatik Bego, Rajmonda Islamaj and Entela Çipo as Commissioners. The former chairman Mr. Ëngjëll Çuçi is actually working at ERE as an advisor of the Board. The new organizational chart for ERE has also been approved which is more complete and adequate for the Regulatory functioning.

Others
The commission is currently developing the methodology for setting tariffs and prices for 2005; and the Board must approve the Grid Codes by the end of 2004.

Spring 2004

The Albanian Electricity Regulatory Authority would like to inform you that at the beginning of this year, in accordance with the Albanian legislation, the Albanian Parliament appointed and approved the new Board of Commissioners of the Albanian Electricity Regulatory Authority. Mr. Pjeter Dema was appointed the Chairman of the Regulatory Authority.

During the years 2003-2004, licenses were issued to small operators that have taken under concession or privatized hydro plants with capacity below 5MW.

In July 2003, the new Law for the Power Sector was approved. This Law gives the legal background for the new conditions in the Country and for the operation of the Regional Market.

The Code of Transmission and Code of Distribution are still in the process of approval.

These Codes together with the Market Model were presented for approval to the Albanian Government in accordance with the legislation in effect late this month.

There is a monopolistic company, KESH (Albanian Power Incorporation) today in Albania which reduces in a certain way, the work of the Regulatory Authority, but in 2004 KESH will be finally unbundled. In the beginning of April the completed information from the TSO will be presented for licensing.

This means that the TSO will be created in the energy system of Albania.

As for distribution and supply, four companies will be established according to the regions, one in the North, one in the South and two in Middle and East Albania.

In generation there are two big companies, the river Drini cascade and the river Mati cascade, which is the cascade where most of the hydro plants are concentrated in Albania. The other part will be directly privatized or will be attached to the zones and distribution companies according to the market model that will be approved.

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For additional information on Albania, please refer to the full Membership Profile.
Old news can be found here >>

Please, pay attention to our latest Regulatory Exchange Newsletter as well.

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