Albania Prevision  on Regional Coordinate Capacity

Part of Report: Third Energy Package  and Organise Market in Albania

Lorenc Gordani | Friday, August 07, 2015

The largest obstacle for the integration of electricity markets in 8th Region is its legal basis lacks harmonisation and implementation. Structural changes like a number of legislative provisions are necessary for promoting the creation of a regional market. A Regional Action Plan for Wholesale Market Opening in South East Europe (SEE RAP) have been jointly developed by the Energy Community Regulatory Board and ENTSO-E Regional Group SEE.

Regard the progress made, it can start with capacity calculation. The SEE region’s TSOs are already running a coordinated capacity calculation process based on a rotational sharing of model merging responsibility. But now with the adoption of the CACM Network Code in the European Union, a challenge with regard to the definition of the so-called Capacity Calculation Regions (CCR) arises. The factually existing SEE CCR for forward capacities will have to be acknowledged in order to fulfil the Code’s requirements.

In this regard the new Law on the Albanian Electricity Sector no. 43 on 30th April 2015, state among the duties of the transmission system operator, the manage of the limited capacity with the operators of neighbouring transmission networks, based on objective, transparent, non-discriminatory criteria and publish information related to cross-border capacities (paragraph 1, point l).

Transmission system operator shall develop Regulation for interconnection capacity allocation, which shall be approved by the ERE within one (1) year from the entry into force of this law (Article 65, paragraph 1). Capacity allocation shall not discriminate between market participants that wish to exercise their rights to make use of bilateral supply contracts or to bid into the free market of electric energy. All potential market participants shall be permitted to participate in the capacities allocation procedures without restriction. Transmission system operator shall accept all potential commercial transactions, including those emerging from cross-border trades.

Then regard the Management of limited capacities Transmission system operator shall develop Regulation for limited capacity management, which shall be approved by the ERE within one (1) year from the entry into force of this law. The network limited capacity cases shall be treated in a non-discriminatory way by ensuring treatment to market participants and Transmission System Operator based on market principles. Article 67, paragraf 1).

The here above develop Regulation are important not only regard the crosborder exchange of the countries of the region but also to allow the EU Member State TSOs to follow their obligations in a reasonable manner with its interconnected partners. Then the definition of the CCRs and the processes attached to it will bridge by early implementation on the one hand and the timely inclusion of relevant provision into the Energy Community acquis on the other hand.

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