New Energy Law Says Large Consumers to Join Subvention Scheme

TIRANA, December 12

Currently, the price of electricity that households and other consumers pay includes the state subsidy for the energy purchased by small hydro power plants that have been given by concession of privatized.

This is a scheme that aims at increasing investments in this sector. Thus, the state ensures small producers that their product will be purchased with a price higher than the import or stock market prices.

The new law on renewable energy foresees that subsidy will be shared even with big businesses.
“This initiative that is offered to all the concessionaires will be distributed to all the consumers of electricity. Therefore, this value will not be a burden only for household consumers. According to the previous scheme, consumers out of the market were not charged for this part,” adviser at the Ministry of Energy and Industry Entela Cipa said.
The distribution of this contributions will be decided by a mechanism of the Energy Regulatory Entity (ERE).
The contribution will be distributed based on the energy that consumers consume per month.
Currently, the Albanian Power Distribution Operator is obligated to purchase energy from 87 companies that own 122 hydro power plants while new concessionary contracts will be signed.

News Source: TCH

Photo Credit: OSHEE