Reaction against the decision of the ERO on the punishment of fines against KEDS nd KESCO
As you may know, during 2021 and 2022, the electricity sector in Europe and in the region is facing a very serious energy crisis - the most serious in recent decades. Countries, such as Kosovo, whose production does not cover consumption demand, are facing this crisis even more deeply.
Although the first signals of the energy crisis appeared in July 2021, the Energy Regulator Office, despite continuous requests from KEDS and KESCO operators, did not take any measures to prevent this crisis.
The request for extraordinary review, which is based on the legislation, was not considered and, as such, was rejected in principle, without considering it necessary to analyze it further, as required by the relevant rule.
In February of this year, the Regulator took a late decision, which did not give any result in overcoming the crisis, forcing operators to operate below costs.
The Regulator's inactions have created disorder, confusion, and additional costs in the electricity sector in Kosovo. Furthermore, even though the electricity sector has been in a state of emergency since December of last year, the Regulator insists on taking no action.
All countries in the region have supported operators in the electricity sector with a series of measures, in order to ensure the sustainability of their electricity system.
The regulator, as the only authority responsible for the healthy and stable operation of the energy system, has failed to fulfill the obligations provided by law, by not acting and, as a result, has introduced the energy system into an even deeper crisis.
With great concern, on November 16, 2022, we received a press release, through which we are informed that at the 13th session of the ERO Board, the final assessment regarding the findings presented by the professional staff of the ERO was reviewed in the monitoring reports, approving the proposal for administrative measures with a fine for KESCO in the amount of 8.4 million euros and for KEDS in the amount of 2.7 million euros.
From this statement, it is clear that the Board of ERO, in order to discharge the responsibilities of its continuous inaction, has decided to fine only the operators KEDS and KESCO, based on the findings of the professional staff. The consequences of this punishment, in the same way, are being passed on to the professional staff.
In other words, the only action to overcome the energy crisis is the decision to fine the KEDS/KSCO operators, deepening and jeopardizing the stability of the system in the difficult winter period ahead of us. The Board of the Energy Regulatory Office has left the electricity sector "at the mercy of fate".
Without any doubt, KEDS and KESCO will follow all the legal paths, with the relevant arguments and evidence, with unwavering faith in the Justice system of Kosovo.
The cause of the energy crisis happened beyond the control of the operators, who suffered the consequences of the inaction of the relevant institutions the most.
Despite the fact that we are in a very difficult situation and with a lot of uncertainty regarding the provision of electricity in the coming winter period, we promise to exhaust all our possibilities, the same as we have done so far, to fight this energy crisis, even though we feel alone and without institutional support.