Why is the price of energy reduced now? The head of KESH answers

Nga A2 CNN
2025-01-08 19:44:00 | Aktualitet

Why is the price of energy reduced now? The head of KESH answers

Good performance, reduction of losses and increase in the level of collection by OSSHE, are the main factors that have influenced the decision to reduce the price of electricity in our country. This was confirmed in the Ditari studio with Andi Nurjan, the administrator of KESH, Erald Elezi, ruling out the taking of this decision for electoral reasons.

In A2 CNN he said that this decision came after a long analysis and it is expected that this award will last.

"This decision was taken at this moment because it is the result of a deep reform in the electric-energy system, this reform started in 2013-2014, today the conditions have matured for all the companies of the electric-energy system to be in a very good condition and make this landing. The performance of these companies, we have managed to have the opportunity to withstand this decrease. The good performance of OSSHE related to the reduction of losses which translates into direct income and record collection level which is the merit of OSSHE which has reached 100.5% collection level, but also KESH due to the diversification of the portfolio and the new assets that will are added to us, it means that we have more flows and reduce the energy for the family consumer. There may be voices that say for electoral reasons, but it does not come as a result of a political decision-making but as a result of an analysis that has lasted a long time and shows us that we can afford this price. The expectation is that this price will last," he said on A2 CNN.

According to Elez, this decision will save a total of 3.1 billion per year. According to him, the bandage is not in favor of Albanians, as it promotes consumption, while categorization promotes energy saving.

"It is not a bandage in favor of the Albanians, because today's decision is not a bandage but a category of consumption. Everyone who is under 70 will pay a reduced price, those who are over 700 will pay the same. Bandages encourage consumption. Whereas the categorization of consumption encourages energy saving. The total effect of this saving is 3.1 billion in total per year and it concerns 95% of consumers. The 3.1 billion saved is money saved by consumers. The effect is not funny, but it is borne by companies in the energy sector. There are about 1 million and 70 thousand consumers, the real effect of this decision will be seen when we see the incentive for reducing consumption".

In the A2 CNN studio, the head of KESH emphasized that the government's goal is for Albania to become a net exporter in 2029 and remove its dependence on rainfall, diversifying the portfolio. Elezi claimed that many businesses are turning to renewable energies

"The goal is that in 2029, Albania will turn into a net exporter and remove its dependence on atmospheric factors, as we are today dependent on rainfall. This is done through investment incentives in renewable energy and production of renewable energy by private investors or businesses. A process has started that has helped us to reduce the price. There are 200 megawatts of energy that will be produced by the wind. Diversification of the portfolio is the only solution so that we do not depend on the rains and the hydropower plants that KESH owns and cope with the pit that is created by the dry season of the year. We see a reduction in consumption during daylight hours, there is an increase in consumption during dinner, a galloping increase during summer, but a slight decrease during sunlight, especially in certain areas. All businesses are turning to this scheme. We are a leader in the region. Albanian businesses are moving towards renewable energies".

According to him, a good job has also been done in the collection of Water and Sewerage debts

"There has been a revolution regarding the Water and Sewerage. Collections have reached 85% and have begun to pay off debts. OSSHE will start the campaign to reduce the amount of debt".

Regarding future investments in KESH, Elezi announced that the focus is on diversifying KESH's portfolio.

"We are waiting to invest in renewable energy. We are waiting to start the photovoltaic plant at the Zadeja dam, a plant in the Belsh area co-financed by the EBRD and advanced technologies".  

  (A2 Televizion)

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