American Oda reiterates call for delay in energy market liberalisation

Business concerns have increased significantly following supply from suppliers, which envisions growth of over 200% of energy tariffs -- a development that conflicts with expectations that liberalisation would bring price reductions through competition.

This unforeseen increase will affect the country's wide chain of businesses, from the production and processing sector to the service sector, trade and technology, putting financial stability and investment prospects at risk.

Topics that countries in the region have successfully implemented liberalisation are not valid in the context of Kosovo.

 

 

Neighboring countries have access to alternative sources such as natural gas, while in Kosovo, due to wrong decisions in the past, gas infrastructure construction projects have been abandoned, leaving electricity as the only source for business and industrial needs.

Furthermore, the non-compliance of the Assembly represents an additional reason why the Energy Regulatory Office should not proceed with plans for market liberalisation at this stage, given that this independent institution is accountable to the deputies of the Republic of Kosovo.

For a stable and fair transition, the American Economic Oda calls on policymakers to extend the deadline beyond June 1st 2025, and in parallel to adopt the necessary secondary legislation to enable investments in energy storage technology (bater) and high energy efficiency systems. Also, the introduction of a tax and customs promotional scheme for renewable energy technologies and support infrastructure is required. Without these measures, liberalisation risks bringing more harm than benefits for the country's sustainable economic development. /Periscope/