United States Recognized for Supporting Kosovo’s Integration into Regional and EU Electricity Markets

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Friday, February 19, 2021
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On January 21, 2020, the CEO of the Kosovo transmission system operator (KOSTT), Mr. Mustafe Hasani, recognized the U.S. Embassy, especially USAID, for assisting KOSTT to become an independent operator within the European continental transmission network and the continuous cooperation of the United States in the development of a regional electricity market.

As of December 14, 2020, KOSTT now has the authority to manage energy within Kosovo’s borders and to work directly with neighboring operators to ensure adequate electricity to meet customers’ demands.  This important milestone lays the groundwork for further integration of Kosovo into regional and EU energy markets, a key objective of USAID’s strategy.

The formation of the Albania-Kosovo control block under which KOSTT is now operating is critical to ongoing efforts to create a joint market with Albania that will allow both countries to deliver more reliable and affordable electricity to households and businesses.  Since becoming an independent operator, KOSTT has also begun working directly with other neighbors.  KOSTT entered into an agreement with the North Macedonia Transmission System Operator for the allocation of cross-border interconnection capacities on December 15, 2020, and began the process of allocating transmission capacity with the transmission system operator in Montenegro as of January 1, 2021.  These important steps help KOSTT fulfill its obligations as an independent operator, support the creation of a regional electricity market, and advance domestic and regional energy security.

Since 2014, USAID has provided technical assistance to KOSTT and other key energy stakeholders in Kosovo to achieve these objectives by aligning electricity market rules, regulatory frameworks, and operating principles with neighbors and preparing respective institutions for market coupling and integration within the regional and EU electricity markets.  USAID and its partners will continue to provide technical support to ensure energy security for all of Kosovo’s citizens and a sustainable resolution for addressing the electricity challenges in northern Kosovo.

Last updated: March 05, 2021

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