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Small HPPs, the energy price for 2024 remains at 10 ALL/kWh

2023-12-16 10:15:55Biznes SHKRUAR NGA REDAKSIA VOX

Small HPPs, the energy price for 2024 remains at 10 ALL/kWh

The Energy Regulatory Body approves the energy price for priority producers for 2024, leaving it at the level of 10 ALL/kWh.

The price remained the same as the one that is being paid to the producers from the second month of this year, as in this category are HPPs up to 15 MW which are currently placed in the public service regime.

The Board of Commissioners of the Entity made this decision after the analysis made by the responsible directorate in this institution, where the way the price is calculated was analyzed.

Concretely, based on the methodology that is based on the stock exchange of Hungary, the coefficient as well as other price elements that resulted from the formula was 14.49 ALL. According to the Entity, this price is above the maximum level, whereas the fixed price that will be applied is 10 ALL/kWh.

The official rate of the Bank of Albania was used to convert the value in euros resulting in the indicator obtained from the Hungarian stock exchange, which for the January-November period results in an average of ALL 108.34.

The entity argued that this could be reviewed after the full publication of the annual report of the Hungarian Stock Exchange on the average price and the exchange rate of BSH at the end of the year.

Price calculation formula

Price calculations for small HPPs that have the obligation to sell energy to the public distribution company are calculated on the promotion bonus, HPEX price according to the annual report, the average exchange rate of the euro from the Bank of Albania.

For the year 2023, the price was around 14.5 ALL, suffering a significant decrease compared to the average of 2022 when the crisis brought the prices to extraordinary levels. This average price was ALL 38.97/kWh.

The prices of the last two years under the effect of the crisis seem to be above the maximum price of 10 ALL. Small HPPs are currently forced to sell energy only to the public company because we are still in a state of emergency in supply which is in effect until the end of this year.

The energy crisis, although with a softer trajectory as far as prices are concerned, is still not considered a distant risk, causing countries to continue to be more vigilant.


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