Energy, Albania in 2023 produced 11% more than it consumed

2024-02-16 17:48:00, Ekonomi CNA

The year 2023 can be described as a good hydro year where net domestic production reached about 8.8 million MWh of energy, almost 11 percent more than energy consumption. Over 58 percent of this production was provided by the Albanian Electricity Corporation (KESH).

Charged with the task of providing energy through production but also purchase in the free market, KESH during 2023 purchased at least 561 thousand Mwh. In total, the amount of production and purchase that KESH transferred to the Universal Service Supplier (FSHU) was about 50 percent of the total consumption in the country.

The necessary local consumption difference was provided by the Free Market Supplier (part of the OSHEE Group) from several segments, first from Selita, then a part from priority energy producers connected to OSSH's network, another part from priority producers in the OST network, a quantity from Ashta and finally from the free market. In total, FTL has purchased 3.17 million MWh of energy, less than half of which has gone to cover network losses.

During the past year, several energy exchange or deposit procedures took place with Kosovo, where according to the data reported by the companies, KESH has provided 1.79 million MWh of energy to KEK.

Independent energy producers that are large investments in HPPs over 15 MW with concession contracts that provide for the sale of energy in the free market during the past year have produced 1.2 million MWh of energy or 13.7 percent of net domestic production. It is about the HPPs built by Devoll HydropoWer, Ayen Enerji, Kurum HPPs which were once bought by the Albanian government.

The year 2023 was generally a more relaxed year as far as the energy crisis is concerned, where prices suffered a significant decrease compared to 2022. This situation made the government at the end of last year end the state of emergency which it had initiated of the crisis in November 2021.

Energy production in the country continues to remain hydro-focused, making the country vulnerable to bad hydro years. The crisis that started in 2021 gave a boost to solar energy projects, but still reaching a level of diversification that guarantees energy security remains far away./ Monitor Magazine