Signed Framework Agreement on Market Coupling between Albania and Kosovo electricity markets

Energy Regulatory Entity of Albania (ERE), Energy Regulatory Office (ERO), and transmission system operators of Albania and Kosovo (OST and KOSTT), supported by USAID, as part of the USA support for energy security and regional integration of Albania and Kosovo, on 21 October 2021, in Tirana, signed the Framework Agreement on Market Coupling between Albania and Kosovo electricity markets.

This Framework Agreement sets forth the rights, obligations and defines the necessary steps the Parties shall undertake in relation to cooperation in respect of the organizing the day-ahead and intraday market coupling between the two electricity markets, as regards roles and responsibilities regarding the operations, administration, and decision-making, by organizing implicit day-ahead and intra-day allocation of cross-border transmission capacities on their mutual borders

The market coupling of two electricity markets will contribute on strengthening the electricity security of supply and increasing competition in electricity markets as well as maintaining and expanding a priced market.

This cooperation will strengthen more the efficient use of joint cross-border interconnections through objective, implicit, market based and non-discriminatory and transparent methods, of allocation of cross-border transmission capacity

In addition, this cooperation will provide a fair and non-discriminatory access into the day-ahead and intra-day market, promoting efficiency gains in both electricity markets.

Parties of this Framework Agreement will cooperate closely with other stakeholders in designing the roadmap and actions for market coupling and also will be engaged in regional initiatives for market coupling with other bidding zones.