Montenegro starts power market liberalization: Market prices for big electricity consumers KAP and Zeljezara

, SEE Energy News

Electricity prices for buyers and big consumers connected to transmission system like Aluminum company (KAP) and Niksicka steel foundry company (Zeljezara) is market price since today, i.e. depends on contracts buyers made directly with suppliers.

Regulation Energy Agency (RAE) made a decision about approving of electricity price tables from August until the end of July in 2015.

KAP, infrastructure of Zeljezara and TE Pljevlja price tables, which had been used until the end of the last year, were determined with this decision.

According to energy law from the beginning of this year, prices for buyers directly connected to transmission electricity system stops to be regulatory responsibility.

Electricity price for buyers directly connected to the transmission system will be market price, i.e. it will be object of the contract they make with suppliers. Net services prices will still be regulated by RAE and it will be valid for all buyers, tariff or qualified.

Households’ price with two-tariff measuring is 5, 86% higher since 1 August so citizens pay 8, 13 cent for kilowatt-hour of electricity. Electricity price increase is 10, 12% for KAP and 3, 66% for Zeljezara.

Medium price increase of services and compensations electricity in households with two-tariff measuring which are dominant group of buyers on 0, 4 kilovolt level (kV) amounts 6,17% for second and 5,69% for third year.

Electricity prices which have being calculated since 1 August last year last until the end of July.

RAE representatives made decision about approving of tables with prices for period since 1 August last year until 31 July 2015, after Elektroprivereda (EPCG) had previously delivered it to regulator, i.e. public supplier.

Source Serbia Energy Magazine