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Energy Investment Regularion Conference 2008, Budapest


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SLOVAKIA
Regulatory Office for Network Industries (ÚRSO)

 

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Key Statistics (2007)

Population

 

GDP/Capita

 

Generation

 

Electricity Market Size

 

Surplus Installed Capacity over Demand

 

Net Electricity Importer

 

Natural Gas Imported

 

Natural Gas Consumed

 

Natural Gas Storage Capacity

 

Natural Gas Domestic Production

 

Summary
  • Established in 2001, 92 staff members
  • According to Act No. 276/2001, the Office is headed and managed by a Chairman who is appointed and recalled upon the Board for Regulation proposal (the Board for Regulation is an independent collective state authority responsible for determination of regulatory policy. The Board consists of 6 members appointed and recalled by the President of the Slovak Republic).
  • The Office is financed from state budget. The budget is approved by the Board for Regulation.
  • Act No. 276/2001 Coll. on Regulation in Network Industries and on Amendments and Additions to Some Acts as amended.
  • Legally and functionally independent. On an annual basis, always by 31 May of the subsequent year, the Office submits to the National Council a report on the Office’ s activities and management, a report on performance of regulation policy, and a report on results of performance of tasks approved by the Board for Regulation.

  • The Board for Regulation prepares draft regulatory policy for the upcoming regulatory period as well as the price proposal for regulated entities and submits them to the Ministry of Economy and the Ministry of Environment. If the proposals comply with the goals of energy policy and water policy, the Ministry of Economy approves the draft.

  • Electricity, natural gas, district heating, water:

    1. Ensures transparent, non-discriminatory and efficient competition with consideration for consumer protection
    2. Ensures efficient operation of the market in network industries
    3. Issues licenses
    4. Determines and approves the method, procedures and conditions of determination of prices
  • Industry and Market Structure

    Electricity Market

    Generation: The generation sector is heavily dominated by new Slovenské elektrárne a.s. (SE a. s., 66% controlled by Italy’s ENEL SpA), the generation company resulting from the split of vertically integrated utility SE a. s. in 2001. SE a.s. accounts for more than 80% of installed capacity (including 2 NPPs, 2 TPPs and several HPPs) and generated electricity, and also acts as reseller of power purchased by other sources. Residual capacity owned by Tepláreň Košice a. s. (TEKO a. s., the CHP Company resulting from SE restructuring).Wholesale prices are freely negotiated. Maximum price set on bids for the provision of ancillary services, due to the lack of IPPs.

    Networks: State-owned Slovenská elektrizačná prenosová sústava a.s. (SEPS a.s.) is the nation-wide TSO.Three regional distribution companies with majority shareholding by the National Property Fund and minority private participation: Východoslovenská energetika (VSE, participated by RWE), Stredoslovenská energetika (SSE, participated by EDF) and Zapadoslovenská energetika (ZZE, participated by E-ON).

    Supply: Regional distribution companies are dominant in respective areas. SE a.s. distributes directly to large consumers accounting for 5% of total electricity. In addition, about 150 local distribution operators (area-suppliers) are active. All non-residential consumers are eligible since January 2005. Actual switching ratio remains marginal. Electricity prices to consumers regulated through revenue cap since 2003.

    Natural Gas Market

    Upstream: The natural gas sector is dominated by vertically integrated company Slovenský plynárenský priemysel a.s. (SPP, or Slovak Gas Industry JSC). SPP is owned by the State (51%) and by Ruhrgas and Gaz de France through their company Slovak Gas Holding BV (49%).Domestic production by NAFTA Gleby is negligible. Virtually the entirety of gas demand is met through imports from the Russian Federation, on the basis of a long-term agreement between SPP and Russia’s Gazexport valid until 2008.

    Networks: SPP owns and operates gas transmission and distribution under regulated TPA regime.SPP also controls underground storage facilities, through participation in the capital of NAFTA a.s. (55%, together with Ruhrgas 40%) and POZAGAS a.s. (35%, together with NAFTA 35% and Gaz de France 30%)

    Supply: All non-residential consumers eligible since January 2005.SPP is the dominant supplier. About 50 small suppliers are active in industrial areas.Supply prices to captive customers are regulated through price cap.

    Current Energy Issues

     

    Contact

    Bajkalská 27, P.O.Box 12, 82007 Bratislava, Slovak Republic
    Tel.: (+421 2) 581004 18; Fax: (+421 2) 581004 79;
    Official website: http:// www.urso.gov.sk

     

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