Serbia: Industrial consumers needs professional assistance for energy procurement procedures once the power market starts functioning in 2014

2. July 2013. / News Serbia Energy

The second phase of electricity market liberalization is expected since 1 January 2014. Fully developed free power market is expected and prices will be formed on the market on the base of offer and purchase ratio.

The law areas which cover power market liberalization will be valid as of 1 January 2014 in order to wait on usage and the second phase of electricity market liberalization for industrial buyers on medium voltage (10 to 0 KV). Action plan for consumers’ education should be made for this time period.

Buyers shall think about their consumption very deeply i.e. how much and when they use the most energy in order to make an adequate contract for electricity deliveries with one of 27 licensed suppliers. Electricity market is liberalized for around 9% of consumers in Serbia i.e. for big industrial consumers who don’t have right on supply at regulated prices but market prices.

The next phase of liberalization is for the other consumers but also for those who have status of small consumers and it will start in 2014. Electricity market opening will begin in 2015 and it is valid for households what means that everyone needs to sign a contract for supply otherwise they will be excluded from network.

Neda Mijatovic from Ministry of Energy, Development and Environment Protection stressed in Energy Law was adopted in 2011. According to her words, market will be opened completely since 1 January 2015 what means that it will be applied to households also. Market is being in the process of opening in Serbia since 2008. Electricity market will be free so electricity will be able to be bought at stock market. We need to prepare for the following period and free electricity market. Consumer will be able to change and to search for most profitable electricity supplier.

Electricity market can function competitive because 27 active and licensed electricity suppliers is doing business in Serbia, these will be competition to EPS which held monopoly since the beginning of this year. Mijat Milosevic from EPS- Direction for electricity market explained about expectations from use of the existing Energy Law, especially during its application on free electricity market. He pointed the moment that we are waiting for which is completely free electricity market where price will be formed on the base of the offer.

Managing Director of “Metalac” from Gornji Milanovac, Petrasin Jakovljevic, stressed that industry expects all this not ready enough. He emphasized that procedures are too complicated and that the period for preparation of industrials who need to prepare and to use it is short. Other industrials had the similar opinion, especially small and medium electricity consumers.

Source;PKS/Serbia Energy

Download as PDF :

Download PDF