The spokesperson for the Montenegrin company Berza Elektricne Energije (BELEN) Dragana Radulovic said that it is in the final stage of negotiations with its potential strategic partner, Norwegian electricity market operator Nord Pool, for the establishment of Montenegrin day-ahead electricity market, which should start operating by the end of 2020.
Radulovic said that, since the local electricity market is small, the exchange is expected to reach full liquidity only after it connects with the regional markets, primarily the Italian one.
In July 2017, CEOs of Montenegrin power utility EPCG, electricity market operator COTEE and electricity transmission system operator CGES have signed the founding agreement and the statute of Berza Elektricne Energije (BELEN), the company that will operate the future Montenegrin electricity exchange.
Last March, BELEN selected Nord Pool as strategic partner for the establishment of day-ahead market. The cooperation will include support to establish processes and procedures required to operate a national day-ahead market in Montenegro, market coupling with neighboring countries and day-ahead clearing and settlement processes. The two parties also intend to extend the cooperation to include Nord Pool becoming a shareholder of BELEN. BELEN and Nord Pool have committed themselves to the development of a transparent and efficient power market, enabling Montenegro to couple with neighboring countries according to the European Internal Energy Market (IEM) standards. In November, Italian electricity transmission system operator Terna has successfully commissioned the underwater cable connecting Italy and Montenegro, namely electricity interconnection between the two countries. Terna said that this interconnection will allow bi-directional flow of electricity between Italy and Montenegro with initial capacity of 600 MW, which should be doubled to 1,200 MW after the second cable is laid in a few years.
