Serbia: Retail electricity market trends

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In 2014, 27,664 GWh were sold and delivered to final customers, which is 4.3% more than in 2005. In comparison to 2013, final customer’s consumption was by 1.2% lower which is a consequence of the consumption reduction with customers with their facilities connected to low voltage.

A considerable consumption drop in comparison to 2013 of 2.4% was recorded with households and of 4.6% with other customers with facilities connected to low voltage which is a consequence of a higher average temperature during winter months and slightly lower temperatures with more rainy days during summer months. In addition, it is a consequence of a great number of interruptions in customers supply due to natural disasters – floods and freezing rain which affected certain regions in Serbia several times during 2014. Producers withdrew over 20% of electricity less than in 2013 to cover their own demand. This was due to reduced operations of thermal power plants due to coal shortage.

Consumption increased by with customers connected to high and medium voltage by 2.2% and 5.8% respectively.

Total number of metering points for customer delivery in Serbia without APKM (without metering points of facilities within Železnice Srbije/Serbian Railroad) at the end of 2014 amounted to 3, 605,448. Compared to 2013, the number was increased by 0.7%.

Since the beginning of 2013, all final customers whose facilities are connected to the electricity transmission system were obliged to purchase electricity in the open retail market. Therefore, in 2013, 2,238 GWh of electricity was delivered to customers in the open market, which amounted to 8% of total final customers’ consumption. Out of 72 companies licensed for electricity supply at the end of 2013, only two of them were active in the open retail market, while PE EPS, as a traditional supplier, via the daughter company EPS Snabdevanje, remained the dominant supplier with over 92% of share in the total electricity quantities sold in the open market.

Since the beginning of 2014 all final customers except either for households or for customers who did not belong to the small customers group were obliged to purchase electricity in the open retail market. There were 10,156 GWh of electricity delivered in the open market which accounts for 36.7% of total final customers’ consumption in 2014. Electricity was delivered on over 45,000 metering points to customers in the open market. Out of 86 companies licensed for electricity supply in the end of 2014, only seven of them were active in the open retail market. The dominant supplier in the open market was still PE EPS with the 96% of electricity sold, since all other suppliers sold around 373.5 GWh of electricity to their customers. Average price in 2014 for this category of customers amounted to 6.83 RSD/kWh (VAT free).

Apart from final customers, electricity had to be provided in the open market for loss recovery in transmission and distribution networks as well as the electricity necessary to cover the demand of production in PE EPS hydro power plants and thermal power plants. Additional 5,517 GWh of electricity were necessary for these purposes. , transmits