1. ELECTRICITY IMPORT AND FISCAL ISSUES IN THE REPUBLIC OF MACEDONIA
TRENDS AND OPTIONS
Atanasko Tuneski
General Manager of AD MEPSO

2. ELECTRICITY FORECAST DEMAND FOR PERIOD 2005-2015
Distributive consumers + losses
Direct industrial consumers
Consumption-FENI
Consumption- Energetika

3. ENERGY BALANS
Thermal
Hydro
Import

4. ELECTRICITY IMPORT

5. IMPORT COST

6. STRUCTURE OF ELECTRICITY CONSUMENTS YEAR 2006
2. Direct consumers (26%)
1. Distributive consumers (74%)

7. STRUCTURE OF ELECTRICITY PRODUCTION FOR SUPPLYING DOMESTIC DEMAND
2. Import (26%)
1. Domestic production (74%)

8. COSTS STRUCTURE FOR ELECTRICITY SUPPLY IN 2006
2. Electricity import costs (44%)
1. Domestic production costs (56%)

9. DISTRIBUTION CONSUMPTION 2004 - 2006 YEAR

10. Macedonia is not in situation to stimulate
SOLUTION
Gasification
Industry
Heating
Energy Efficiency
Macedonia is not in situation to stimulate
industry/consumers which has high electricity demand.

11. TOTAL PRODUCTION DEVELOPMENT

12. FACTS: THE PRICE OF DOMECTIC PRODUCED ELECTRICITY IS 21 EUR/MWh;
IMPORTED ELECTRICITY IN MACEDONIA IN YEAR 2007 IS ABOUT 70 EUR/MWh AND HAS INCREASED FOR 55% WITH RESPECT TO YEAR 2006
THE TOTAL AMOUNT PAID FOR IMPORTED ELECTRICITY IN YEAR 2006 IS ABOUT 100 MILLION EUR.
THE TOTAL AMOUNT PAID FOR IMPORTED ELECTRICITY IN YEAR 2007 IS EXPECTED TO BE ABOUT MORE THAN 150 MILLION EUR.
IN THE NEXT SEVERAL YEARS A LACK OF ELECTRICITY AND INCREASE OF THE ELECTRICITY PRICE IN SOUTH-EAST EUROPE IS EXPECTED.

13. SOLUTIONS:
STARTING FROM MAY 2007, DIRECT BIG INDUSTRIAL CONSUMERS IN MACEDONIA ARE BUYING 55% OF THEIR ELECTRICITY ON A FREE MARKET, AND 45% OF THEIR ELECTRICITY WITH A REGULATED PRICE;
STARTING FROM JANUARY 2008 DIRECT BIG CONSUMERS IN
MACEDONIA WILL BUY 100 % OF THEIR ELECTRICITY ON A FREE
MARKET;
REDUCTION OF DISTRIBUTION ELECTRICITY LOSSES
(NOW THEY ARE ABOUT 25%, AND THEY SHOULD BE 11%)

14. Energy Efficiency Programs Promotion/ education
MEASURES
Energy Efficiency Programs
Promotion/ education
Electricity should be treated as stock category – the real electricity price is most strongly signal for stimulating reduction of the consumption, stimulating investments in new production units, etc.
Block Tariff – for poor categories

15. THANKS FOR YOUR ATTENTION
Atanasko Tuneski
General Manager of AD MEPSO