Secretariat opens dispute settlement case against Serbia for lack of availability of interconnection capacity at two interconnection lines

Since December 2020, KOSTT, the electricity transmission system operator (TSO) of Kosovo*, operates a single bidding zone and control area within the system of Continental Europe. However, at the interconnection lines between Niš and Kosova B and between Kruševac and Podujeva, Serbia’s TSO EMS has not agreed with KOSTT on a mechanism to set the net transfer capacity (NTC), nor has it determined any value for the available interconnection capacity. Therefore, the value of the NTC at these interconnection lines amounts to zero, which effectively prevents trade.

On 21 July 2022, the Secretariat opened dispute settlement procedures against Serbia for its failure to comply with the Electricity Directive 2009/72/EC and the Electricity Regulation 714/2009 by EMS not cooperating with KOSTT on coordinated cross-border capacity allocation and not making available the maximum capacity to market participants, as well as by the national regulatory authority of Serbia, AERS, not ensuring compliance by the TSO with its obligations.

Interested parties may be granted access to the case file and may submit written observations on the present case. All requests for information should be addressed to the Legal Counsel at [email protected] and should make reference to the relevant case number ECS-2/21.

^{* This designation is without prejudice to positions on status, and is in line with UNSCR 1244 and the ICJ Opinion on the Kosovo declaration of independence.}