Serbia: Unbundling in state gas company Srbijagas is the prerequisite for EU, but also for the EBRD loans

Published on 6. October 2014., News Serbia Energy

Director of the Energy Community Secretariat Janez Kopač has said that the unbundling within Srbijagas was the official prerequisite of the European Commission for the further negotiations on the joining to the EU, but also it was condition that the European Bank for the Reconstruction and Development (EBRD) placed some funds into the Serbian energy sector.

Kopač said that the biggest problem was that Srbijagas should have been separated to the transmission system operator and the gas supplier.
Representing Report on the Serbia progress in the energy sector, Kopač said that Serbia did not achieve progress only within the unbundling in Srbijagas, why there was a serious danger sanction to be imposed over the coming years.

“Theoretically, the sanctions could be imposed to Serbia, and this question will be on the agenda of the next ministerial meeting, that means in a year. I am sure that Serbia will solve that problem, so I do not see any reason to fear of sanctions “, he told reporters in the Parliament of Serbia.
Speaking on the unbundling model in Srbijagas, he said that Serbia should overtake the Third Energy Package by January 1st, 2015th, which only recognized the functional unbundling.

He said they still could be both a mother and a daughter company, but that between the two of them must not be the possibility to interfere with business.

“This company does not have the will to do something like that, so the Energy Community has launched an infringement procedure against Serbia, which was discussed at the Ministerial Council last week in Kiev, where Serbia was convicted for breaking contract in the foundation of the Energy Community precisely because of this case”, he said.

As this case, as he added, also has become a prerequisite for further negotiations on EU accession, “now the whole of Serbia becomes a hostage of this process that cannot happen” .

Kopač said that, among other members of the Energy Community, Serbia was “the most advanced in almost all other areas”, and emphasized the area of electricity trading where Serbia was on a good path to open completely its market by January 1st, 2015th.

“The only more important drawback is that Serbia is not included in any regional initiative for trading cross-border capacities. According to the directive must be a member of at least one regional association. It is a shame because Serbia could be a regional leader in this area”, he said.
He also recalled that Serbia was a far leader in all other areas in the region on its reforms, such as the establishment area of oil reserves, renewable energy sources, energy efficiency and environmental protection.