Summer 2004

The Act on Transmission of Electric Power, Regulator and System Operator of Bosnia and Herzegovina, adopted in April 2002, required the establishment of the State Electricity Regulatory Commission (SERC). SERC regulators were appointed June 30, 2003. SERC has three regulators with staggered terms (three, four and five years), with a one-year rotating Chairman mandate. As of July 1, 2004 until June 30, 2005, Mr. Mirsad Salkić will be SERC Chairman. SERC recently completed the staff hiring process, and 17 employees will be in their seats on August 1, 2004.  Information on the new address, phone numbers and e-mail addresses will be available in early August.  The SERC organization will be as follows:
Office of the Chief of Staff, Tariff and Market Department, License Department, Legal Department, Finance/Administrative Department.

Current organizations in the Electricity Sector in BiH are three Electric Power integrated utilities and ZEKC (Joint Power Coordination Center), the predecessor of the ISO. The Transmission Company Law and ISO Law (which will create the Transmission Company and ISO) are currently in the final stages of Parliamentary procedure and are expected to be effective in early August. Considering that the single Transmission Company has not been established yet, SERC issued temporary licenses for transmission-related activities to the three Electric Power utilities, as provided in the Act on Transmission.

ZEKC filed a Request for Approval with SERC to sign the SEE CBT Clearing and Settlement Agreement on June 28, 2004 and to start to apply it on July 1, 2004.  In its Request for Approval, ZEKC acknowledged that there are several commercial implementation issues that have not yet been resolved among the ECSEE Members and within Bosnia and Herzegovina. Therefore, in its Ruling, SERC declined to approve ZEKC’s execution of the Agreement due to lack of jurisdiction, approved the CBT mechanism process, but conditioned its approval for implementation of the mechanism until all commercial outstanding issues are resolved.
SERC will issue procedural rules for comment in the near future and will commence intensive training on tariffs in September with the help of Pierce Atwood.

Read further ...

For additional information on Bosnia & Herzegovina, please refer to the full Membership Profile.

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