Energy crisis in Europe knocks on Kosovo door

Europe is now alerting many days to the energy crisis that has begun to emerge in many states of the ancient continent, but even more for the deepening possibilities of this crisis in the coming months. Now, the severe energy crisis in many European countries is no longer near the door but inside the house. In the first place, it is being expressed with the establishment of energy and natural gas prices.

Day by day these awards are rising with high aggressiveness, breaking all records and going to quotas that Europe never remembers. The price of natural gas in Europe yesterday, on October 5th, which has again broken the record, reaching $1,250 per 1,000 cubic metres, according to ICE bez data. This prize has never occurred in Europe or in the world so far.

According to representatives of the world's gas producers, rising demand for gas has affected record prices, which, according to developments in the near future, could easily be exceeded by new records.

In Italy, according to world news agencies, the government has already warned Italians to expect a 40% increase in energy bills over the coming months. France said it would reward more than 100 euros for over 5.8m low-income households. Madrid also sent a letter to Brussels asking for action throughout the EU. “We need urgent need to react immediately to the dramatic increase in prices”. The Netherlands, Bulgaria, and many other European states have already been alarmed by the expected crisis.

The price rate rate in Europe is linked to increased demand for energy while restrictions imposed by the pandemic” are being lifted, said Tim Gore, of the Institute for European Environment Policy (IEEP).

Even Prime Minister Edi Rama, these days, at an unusual conference, alarmed, saying that we have “in the face of an inexorable energy crisis, and Albania will not remain intact”. He said that very soon we will face staggering prices. “This is the extraordinary energy crisis, which has only just begun to give its most disturbing signs to major markets in the world, ranging from China and South Korea to America, Great Britain and the European Union space to neighboring countries like Italy and Greece. The temperature of this crisis is increasing everywhere, now for hours not for days, while the decline in weather temperatures is approaching, along with winter, and with the natural growth of the need for heating”, Rama has said.

The phenomenon of the staggering price of gas and carbon in all international markets, as well as the strong trend of rising oil prices, accompanied by a total increase in prices of daily consumer products, stand ahead of all countries today, such as the silhouettes of an enemy army on the difficult winter horizon that the world has ahead.

For Albania, the average annual price of purchase of energy from import has almost tripled compared to last year. On the HUPX Stock Exchange, electricity was traded at an average of 39 euros/MWh last year, while this price this year has reached 110 euros. /MWh, marking an increase of 182%

As far as in Kosovo, at present, the energy crisis is not being broadcast directly and it is not tangible as in many other European countries, it is definitely knocking on the door. Winter is also offering in us, the season when Kosovars have always had energy problems, especially faced severe electricity reductions as a result of lack of production in local electromagnetic and inefficiency capacities for many reasons to provide the energy needed by import. A glimmer of hope in Kosovo exists that maybe the energy crisis will be slightly soft due to the production structure that is largely supported by coal burning, which in our mines for now abounds. However, it must be taken into account, however, that an unexpected hallucination and an unsatisified disruption in our thermal power plants. And then how to secure electricity from import, which is now known to be markedly over 120-130 euros of megawatts.

However, KED officials, the only electricity distributor in Kosovo, stress they have made all preparations to spend the winter season with as little trouble as possible. Of course, promising measures have been taken and strong investments have been made on the side of the country so that the preconditions for providing services as good as possible have been made, says Victor Buzhala, spokesman at KEDS. Of course, in their course, there are other factors that are out of hand, he said. Local electricity and import production, such as factors covering increased demand, are also introduced after the cooling of time.

Current prices in bellas are in the stratosphere, so very high. Of course, those prices have a direct impact on Kosovo, as well as we are part of this market. But, what happens during the winter, we can't speculate, he said next. This, since consumption also depends heavily on weather, a considerable portion of citizens are warming up with electricity. At the same time, there is a chain of electric companies in Kosovo, and each link has a certain and vital turn for the functioning of all this chain. So we don't know what local production will be, because for this, production companies are responsible, mostly KEK produces as part of this chain. It's KO. STT, which handles transmission lines and energy markets, is of great importance in import. Then came KEDS, which manages the distribution network and KESCO as suppliers. The only proper malfunction of any of these links affects the entire system, so it has chain effect, Buzhala said of the Economic Bulletin.

The rise in the price of derivatives at a global level is expected to affect the Balkan countries, including Kosovo. On a global level, the price of gas has increased by about 250%, while oil has increased by 80%.

On the other hand, Kosovo Oil Association Chairman Fadil Behrani has told the Economic Bulletin that Kosovo can also be affected by this crisis, as prices define international bellas. Currently, a litre of oil in the market amounts to 1.10 euros, while gas stands at 1.20 euros.

The price of the derivatives has not moved yet. In the future it can, because we also have supplies from Albania”, Behrani said.

From COSTT officials we received no answers or any clarification about the views of this energy crisis institution, despite the interest in consulting it and writing down questions about the subject being addressed.

The largest showing of Kosovars is for the time being warned of possible electricity prices. Any evental price raised beyond any criterion would greatly burden the social status of the absolute majority of Kosovars, and social schemes would die out. So Z RRE- Must consider that fact. After all, for many researchers and financial analysts, this energy crisis is different. Therefore, overpassing tenants, or, rather, a little bit of domestication, should be taken differently than the other time. But most importantly, curbing the electricity prices at any cost. It's up to us, and this reinment Kosovo can do. /Economic Butletine/