Kosovo Energy Situation

From energypedia
Kosovo
Flag of Kosovo.png
Location _______.png

Capital:

Pristina

Region:

Coordinates:

42.602636° N, 20.902977° E

Total Area (km²): It includes a country's total area, including areas under inland bodies of water and some coastal waterways.

Population: It is based on the de facto definition of population, which counts all residents regardless of legal status or citizenship--except for refugees not permanently settled in the country of asylum, who are generally considered part of the population of their country of origin.

1,756,374 (2023)

Rural Population (% of total population): It refers to people living in rural areas as defined by national statistical offices. It is calculated as the difference between total population and urban population.

()

GDP (current US$): It is the sum of gross value added by all resident producers in the economy plus any product taxes and minus any subsidies not included in the value of the products. It is calculated without making deductions for depreciation of fabricated assets or for depletion and degradation of natural resources.

10,438,351,483 (2023)

GDP Per Capita (current US$): It is gross domestic product divided by midyear population

5,943.13 (2023)

Access to Electricity (% of population): It is the percentage of population with access to electricity.

100.00 (1999)

Energy Imports Net (% of energy use): It is estimated as energy use less production, both measured in oil equivalents. A negative value indicates that the country is a net exporter. Energy use refers to use of primary energy before transformation to other end-use fuels, which is equal to indigenous production plus imports and stock changes, minus exports and fuels supplied to ships and aircraft engaged in international transport.

27.39 (2014)

Fossil Fuel Energy Consumption (% of total): It comprises coal, oil, petroleum, and natural gas products.

86.12 (2014)

Source: World Bank



Introduction

Kosovo is located in Southeast Europe and bordered by Albania to the southwest, Montenegro to the west, Serbia to the north and east and North Macedonia to the southeast. Kosovo has a varied terrain, with high plains along with rolling hills and mountains, some of which reach an altitude of over 2,500 m. Its climate is mainly continental with some Mediterranean and alpine influences. Kosovo's capital and the most populous city is Pristina.[1]

In 2022, Kosovo applied to become a member of the European Union.[1]


Energy Situation

In the year 2022, the primary source of energy in Kosovo, as reflected in the country's total energy supply, was coal, accounting for 59% of the total. This was followed by oil, which constituted 29% of the total energy supply. Coal accounted for 91% of electricity generation, with the remaining 9% derived from renewable energy sources, predominantly wind energy.[2]

Kosovo has been working on diversifying its energy mix and increasing the share of renewable energy sources to reduce dependency on conventional fossil fuels. Factors such as government policies, international collaborations, and economic considerations play a significant role in shaping the progress of renewable energy deployment in any country.

Total Installed Capacity by the end of year 2022 is 1,925.52 MW
Technology Grid Connection Year Capacity (MW)
Solar photovoltaic On-grid 2022 19.75
Onshore wind energy On-grid 2022 138.75
Renewable hydropower On-grid 2022 110.13
Fossil fuels n.e.s On-grid 2022 1288
Installed Electricity Capacity in Percentage - Kosovo

Fig 1: Installed Electricity Capacity in Percentage

Energy Generation and Consumption

Description of data [unit] 2020 2021
Electricity production [GWh] 6.301 6.207
Gross electricity consumption [GWh] 5.771 6.885
Consumption structure [GWh] / industrial, transport, services and other 1.362 1.986
Consumption structure [GWh] / households (residential customers) 2.778 3.131

Net Import & Net Export

Description of data [unit] 2020 2021
Net imports [GWh] 839 1.311
Net exports [GWh] 1.283 835

Energy Losses

Description of data [unit] 2020 2021
Losses in transmission [%] 1,18% 1.26%
Losses in distribution [%] 25,4% 24.60%

Transmission Network

Description of data [unit] 2.367 2.35
Horizontal transmission network [km] 1.413 1.437
Horizontal transmission network [km] / substation capacity [MVA] 6.608 6.608

No of Consumers

Description of data [unit] 2020 2021
Electricity customers / total 630.454 657.649
Electricity customers / non-households 91.784 95.712
Eligible customers under national legislation 630.424 657.649

Internal Market

Description of data [unit] 2020 2021
Internal market / electricity supplied to active eligible customers [MWh] 396.124 395.924
Horizontal transmission network [km] / substation capacity [MVA] 10% 8%

Renewable Energy Potential

Unit Reference Case 2030 Remap 2030
Total installed power generation capacity MW 1,494.00 2,317.00
Renewable capacity MW 444.00 1,639.00
Hydropower MW 234.00 234.00
Wind - onshoore MW 150.00 385.00
Biofuels (solid, liquid, gaseous) MW 15.00 253.00
Solar PV MW 45.00 767.00
Non-renewable capacity MW 1,050.00 678.00
Coal MW 1,050.00 678.00
Technologies Technical Potential MW
Solar PV 581.3
Wind 2,328.8
Hydro 494.8
≤ 10 MW 144.8
> 10 MW 350.0
Pumping 350.0
Biomass 115.0
Biogas 70.0
Solid Biomass 15.0
Biowaste 30.0
Geothermal el. 0.0
Total 3,519.9
Technical Potential Capacity in Percentage - Kosovo
Fig 2: Technical potential Capacity in Percentage

As we can see, if Kosovo would use its entire technical potential,ti would increase the generating power by 126%.


Fossil Fuels

Greenhouse Gas Emissions

Greenhouse gas emissions in Kosovo are estimated around 10.5 milion tons of CO2 equivalent.

Unit Reference Case 2030 Remap 2030
Energy-related CO2 emissions [Mt CO2 /yr] 9.9 8
Sources of Greenhouse Gases - Kosovo
Fig 3: Sources of GreenHouse gases


Key Problems of the Energy Sector

Challenges on Increasing the RES Share

There are challenges associated with increasing the share of renewable energy in the country's energy mix. Some of the challenges include:

Dependency on Coal Kosovo has historically relied heavily on coal for its energy needs. Transitioning away from coal to renewable sources poses economic challenges, as coal has been a significant source of employment and revenue.
Financial Constraints Developing renewable energy projects requires substantial financial investment. Kosovo may face challenges in securing funding for the necessary infrastructure and technologies.
Lack of Investment Incentives The absence of attractive incentives for renewable energy investments can hinder the development of projects. Establishing effective financial incentives and policies is crucial to attracting investors.
Insufficient Grid Infrastructure The existing power grid may not be equipped to handle the integration of renewable energy sources. Upgrading and expanding the grid infrastructure are essential for a smooth transition to renewables.
Policy and Regulatory Framework A clear and supportive policy and regulatory framework is necessary for the growth of renewable energy. Kosovo may need to establish and enforce regulations that encourage investments in renewables while ensuring grid stability.
Technological Gaps Kosovo may face challenges in adopting and implementing the latest renewable energy technologies. Bridging technological gaps and promoting innovation are essential for sustainable growth.
Limited Access to International Markets Constraints in accessing international markets for renewable energy technologies and expertise may slow down progress. Establishing partnerships and collaborations with international entities can help overcome this challenge.
Political Instability Political instability can disrupt long-term planning and hinder the implementation of consistent renewable energy policies. A stable political environment is crucial for attracting investments and ensuring project continuity.
Socioeconomic Impacts on Coal Workers Shifting away from coal can impact the livelihoods of those employed in the coal industry. Adequate measures and support systems must be in place to address the socioeconomic consequences of this transition.
Energy Storage Challenges The intermittent nature of certain renewable sources requires effective energy storage solutions. Developing and implementing cost-effective and efficient energy storage technologies is a challenge that Kosovo may face.
Land Use Conflicts Identifying suitable land for renewable energy projects without conflicting with other land uses can be challenging. Balancing the needs of agriculture, biodiversity, and renewable energy development is crucial.
Capacity Building and Skills Development The deployment of renewable energy technologies may require specialized skills and knowledge. Investing in education and training programs to build a skilled workforce is essential.
Environmental Concerns While renewable energy is generally considered environmentally friendly, specific projects can still raise environmental concerns. Balancing the benefits of clean energy with potential environmental impacts and addressing concerns is important.
Integration of Renewable Energy in Urban Planning Incorporating renewable energy into urban planning and development may pose challenges, especially in existing urban areas. Strategies for integrating renewables into city planning need to be developed and implemented.


Policy Framework, Laws and Regulations

The main scheme supporting renewable energy sources in Kosovo* is a feed-in tariff. The public energy supplier is obliged to pay a regulated tariff for the electricity generated from renewable energy sources.

Support schemes

The public supplier is obliged to purchase electricity from renewable energy sources for a tariff set by the Energy Regulatory Office.

The tariff as well as the duration of the incentive period vary among technologies.

Feed-in tariff The public energy supplier is obliged to pay a regulated for the electricity tariff generated from renewable energy sources.


Institutional Set up and Key Actors in the Energy Sector

In Kosovo, the energy market involves various key actors responsible for the generation, transmission, distribution, and regulation of energy. Here are the key actors in the energy market in Kosovo:

1. Ministry of Economic Development (MED): The Ministry of Economic Development is responsible for formulating and implementing energy policies in Kosovo. It plays a key role in shaping the regulatory framework, energy development plans, and strategies for the energy sector.
2. Energy Regulatory Office (ERO): The Energy Regulatory Office is an independent regulatory body overseeing the energy sector in Kosovo. ERO is responsible for regulating and overseeing electricity and natural gas markets, ensuring fair competition, and protecting the interests of consumers.
3. Kosovo Electricity Transmission System and Market Operator (KOSTT J.S.C.): KOSTT operates the electricity transmission system in Kosovo and manages the electricity market. It ensures the reliable and secure transport of electricity, facilitates market transactions, and operates in accordance with the regulatory framework.
4. Distribution System Operator (DSO): The Distribution System Operator manages the low and medium- voltage electricity distribution network in Kosovo. It is responsible for distributing electricity to end-users, maintaining the distribution infrastructure, and ensuring the continuity of electricity supply.
5. Kosovo Energy Corporation (KEK): The Kosovo Energy Corporation is a state-owned company responsible for electricity generation. KEK operates power plants, including lignite- fired power plants, and contributes significantly to Kosovo's electricity production.
6. Privatization Agency of Kosovo: The Privatization Agency of Kosovo is involved in the privatization and restructuring of state-owned enterprises in the energy sector, including KEK and other energy-related assets.
7. Kosovo Transmission, System and Market Operator (KOSTT Co): KOSTT Co operates as the transmission system operator and is responsible for ensuring the reliable and efficient operation of the electricity transmission network in Kosovo.
8. Consumers and Industrial Users: End-users, including residential, commercial, and industrial consumers, are essential actors in the energy market. Their energy consumption patterns and demand influence market dynamics.
9. Investors and Financing Institutions: Investors, both domestic and foreign, play a crucial role in funding and developing energy projects. Financing institutions, such as banks and international financial organizations, provide funding and support for energy infrastructure projects.
10. International Organizations and Donors: International organizations and donor agencies may provide support, technical assistance, and funding for energy sector development projects, especially those focused on sustainability, renewable energy, and regulatory reforms.
11. Independent Power Producers (IPPs): Independent Power Producers are private entities involved in electricity generation. They contribute to the diversification of the generation mix and may operate renewable or conventional power plants.
12. Government Agencies and Local Authorities: Various government agencies and local authorities are involved in permitting, land-use planning, and environmental assessments for energy projects. They also play a role in setting policies that impact the energy sector.


Further Information


References

Further sources: