Albania Provision on Regional Coordinate Capacity by Lorenc Gordani | Friday, August 07, 2015

The largest obstacle for the integration of electricity markets in 8th
Region is its legal basis lacks harmonisation and implementation. Structural changes
like a number of legislative provisions are necessary for promoting the
creation of a regional market. A Regional Action Plan for Wholesale Market Opening
in South East Europe (SEE RAP) have been jointly developed by the Energy
Community Regulatory Board and ENTSO-E Regional Group SEE.

Regard the progress made, it can start with capacity calculation. The
SEE region’s TSOs are already running a coordinated capacity calculation
process based on a rotational sharing of model merging responsibility. But now
with the adoption of the CACM Network Code in the European Union, a challenge
with regard to the definition of the so-called Capacity Calculation Regions
(CCR) arises. The factually existing SEE CCR for forward capacities will have
to be acknowledged in order to fulfil the Code’s requirements.

In this regard the new Law
on the Albanian Electricity Sector no. 43 on 30th April 2015, state among the duties of the transmission system
operator, the manage of the limited capacity with the operators of neighbouring
transmission networks, based on objective, transparent, non-discriminatory
criteria and publish information related to cross-border capacities (paragraph
1, point l).

Transmission system operator shall develop Regulation for
interconnection capacity allocation, which shall be approved by the ERE within
one (1) year from the entry into force of this law (Article 65, paragraph 1). Capacity
allocation shall not discriminate between market participants that wish to
exercise their rights to make use of bilateral supply contracts or to bid into
the free market of electric energy. All potential market participants shall be
permitted to participate in the capacities allocation procedures without restriction.
Transmission system operator shall accept all potential commercial
transactions, including those emerging from cross-border trades.

Then regard the Management of limited capacities Transmission system
operator shall develop Regulation for limited capacity management, which shall
be approved by the ERE within one (1) year from the entry into force of this
law. The network limited capacity cases shall be treated in a
non-discriminatory way by ensuring treatment to market participants and
Transmission System Operator based on market principles. Article 67, paragraf
1).

The here above develop
Regulation are important not only regard the crosborder exchange of the
countries of the region but also to allow the EU Member State TSOs to follow
their obligations in a reasonable manner with its interconnected partners. Then
the definition of the CCRs and the processes attached to it will bridge by
early implementation on the one hand and the timely inclusion of relevant
provision into the Energy Community acquis on the other hand.

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