Experience Exchange between the Albanian Electricity Regulator and the Energy Regulatory Commission of Macedonia
On the 8th of May 2008 in Progradec it was held a meeting between the representatives of the Albanian Electricity Regulator (ERE) and the Energy Regulatory Commission of Macedonia. The representatives from both Regulatory Authorities were headed by the respective Chairmen Mr. Bujar Nepravishta and Mr.Slave Ivanovski. The goal of this meeting was the exchange of experience in the privatization process of the distribution sector of electricity. In
Albania
is in process the privatization of DSO (Distribution System Operator), which is going to be concluded within 2008.
The main issues of discussion in the meeting were as below:
The role of the Regulator in the privatization process
the priorities of the privatization process in the distribution sector from the performance point of view
Modifications for license of distribution, and license of retail public supplier in the privatization framework
The standards set for the quality of supply and their relation with the investment plan
 Treatment of vulnerable customers and the mechanism used
Performance monitoring after privatization and system of penalties, in case of violation of license obligations or other legal obligations
Establishment of the regulation period
Establishment of RAB value
Establishment of capital structure and report of debt coverage
The method of setting the level of RoE for distribution and the retail public supplier
How it is dealt with the non technical losses and the bad debt in respect to the requested revenues of the company
Program of losses reduction and non payments
The methods for calculation of X factor and the incentives given to the company to increase the efficiency
From the Macedonian part were given all the answers concerning the issues discussed, by bringing their experience in the complex and difficult process of privatization of distribution and supply of electricity.The Chairman Nepravishta thanked the Macedonian colleagues for the useful experience that they brought in this meeting by expressing the engagement of ERE in a successful process for the privatization of DSO.
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