Electricity price from private operators

24/03/2014 00:00

The Minister of Energy and Industry, Damian Gjiknuri, declared that the
government will review the price used by the Albanian Power Corporation
(KESH) to buy electricity from private operators.

“The newest law for energy had introduced a contradictory concept. It has used it as a subject. We know that prices are for unit of production. This created a huge contradiction. Not all production units have the same production cost, and not all of them contribute equally in the Albanian power network”, Gjiknuri declared.

Private producers sell electricity to KESH with a price several times higher than to what KESH produces it. The Italian Ambassador, Massimo Gaiani, asked for a quick solution as regards technical and non-technical losses.

“When compared to the import price, we must keep in mind that every kilowatt that is produced in Albania generates taxes and employment. This must be taken in consideration for a system that should be stable, and as such it should face the problem of losses between production and billing. Physical losses are a big obstacle for bringing the system to balance”, Gaiani declared.

Another modification of this law is the liberalization of the energy market
    
“It will be improved by having more commercial clients who are directly connected to the network, and who are generally industrial consumers. It should happen in the beginning of the next year, with a new law that will be part of a study. It will create a potential for the 30% extra part of the market which will need energy. Part of the energy produced by private operators could be used as supply to these consumers. The burden should not be only on the producer, the public supplier, and it should not be only on the shoulders of KESH”, Gjiknuri declared.

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