Bosnia: Licensed participants for electricity trading activity

, SEE Energy News

In 2014 Energy regulator SERC granted six licenses for the international electricity trading activity, while at the time of writing this Report, it worked intensively on solving two additional applications for the same activity filed by Proenergy d.o.o. Mostar and Petrol BH Oil Company d.o.o. Sarajevo.

Due to the expiration of the term of the previously issued license for the international electricity trading activity, proceedings were conducted and the licenses were renewed with a five-year term to the following entities:

EZPADA d.o.o. Mostar (March 2014),
§Comsar Energy Trading d.o.o. Banja Luka (October 2014),
§Axpo BH d.o.o. Sarajevo (October 2014),
§EL-EN Solutions d.o.o. Banja Luka (November 2014).

The Company KTG Zenica d.o.o. Zenica was again granted a temporary license (April 2014), while the Company B.S.I. d.o.o. Jajce renewed the license for the international electricity trading for self-consumption (November 2014).

Taking into consideration the changes introduced with full market opening as of 1 January 2015, in December 2014 SERC amended the Decision granting the license for the activity of supplying non-eligible customers with electricity to the Public Utility Komunalno Brčko. The title of the license was amended to read: License for performance of electricity trading and supply activities in the territory of BIH.

Due to the change of address, that is, the seat, decisions extending the use of licenses were adopted for the following companies: HSE BH d.o.o. Sarajevo (January 2014), Energy Financing Team d.o.o. Bileća (April 2014), as well as extending the use of the temporary license for Petrol BH Oil Company d.o.o. Sarajevo (February 2014).

At the request of Aluminij d.d. Mostar, the initiated license renewal proceedings for international electricity trading activity for self-consumption were discontinued for an indefinite period of time.

As licensees for the international electricity trading activity, the following entities also were registered in the previous period: Rudnap d.o.o. Banja Luka, GEN-I d.o.o. Sarajevo, Interenergo d.o.o. Sarajevo, Alpiq Energija BH d.o.o. Sarajevo, Repower Adria d.o.o. Sarajevo, HSE BH d.o.o. Sarajevo, MH Elektro-privreda Republike Srpske Parent Company, a.d. Trebinje, JP Elektroprivreda Hrvatske zajednice Herceg Bosne d.d. Mostar, JP Elektroprivreda Bosne i Hercegovine d.d. Sarajevo, while as holders of temporary licences were registered: Proenergy d.o.o. Mostar, Elektro energija BH d.o.o. Banja Luka, HEP-Trade d.o.o. Mostar, Danske Comodities BH d.o.o. Sarajevo and Steelmin BH d.o.o. Jajce for the import of electricity for self-consumption.

The Independent System Operator in Bosnia and Herzegovina Sarajevo and Elektroprenos Bosne i Hercegovine a.d. Banja Luka are holders of the license for performance of the activity of independent system operator and the license for the electricity transmission activity respectively. The Public Utility Komu-nalno Brčko d.o.o. Brčko holds the license for electricity distribution and the license for electricity trading and supply in the territory of BIH.

Every year, including this one, the Company Elektroprenos Bosne i Hercegovine a.d. Banja Luka updated and reported changes in Overviews of facilities used by the Company for performance of the activity of electricity transmission as well as Overviews of transmission lines which are not owned by the Transmission Company and are not in the function of electricity transmission, on which SERC reached relevant conclusions in March 2014.

In 2014, for the first time the State Electricity Regulatory Commission revoked a license within its competence. It is a case of Korlea d.o.o. Mostar, whose international electricity trading licence was first suspended in November 2014. Namely, a proposal to initiate bankruptcy procedures submitted by the licensee seriously challenged the licensee’s stability and solvency which was also demonstrated through non-payment of regulatory fee. Apart from this behaviour being in its own right the reason for suspension of a license pursuant to SERC rules and regulations, the same goes for the indication of the licensee’s lack of economic and financial capability to meet other obligetions as defined by the Licensing Conditions.

Taking into account that licensee’s economic and financial incapability may have a negative impact on other entities in the electricity sector, electricity market functioning and quality of supply, after the general public hearing in December 2014, SERC adopted the Decision on revocation of license to the Korlea Company. , transmits