The American Chamber of Commerce in Kosovo (OEAK) has called for the immediate suspension of the electricity market liberalization process by the Energy Regulatory Office (ZRRE), citing serious concerns over economic stability and business viability.
As of June 1, all businesses in Kosovo with an annual turnover above €10 million or more than 50 employees have been moved to the liberalized energy market. However, this transition has sparked backlash from the private sector, which warns of widespread financial distress.
“Warnings from the private sector are already becoming reality,” the Chamber stated. “Just days after the liberalized market took effect, at least two manufacturing companies have suspended operations, pointing to soaring electricity costs and market instability.”
The OEAK emphasized that the current approach to liberalization is premature and is causing economic disruption and undermining Kosovo’s investment climate.
While acknowledging that energy market liberalization is a strategic necessity for Kosovo’s EU and regional integration goals, the Chamber insisted that the transition must be handled with responsibility, transparency, and full preparation from all stakeholders.
Recent EU commentary, cited by Kosovan media, reinforces this stance, underlining that liberalization must be gradual and managed in a way that minimizes social and economic disruption.
“As repeatedly stated by the American Chamber and other stakeholders, the process was launched without meeting the necessary market conditions,” the statement added. “With limited competition among suppliers, the burden placed on large businesses is simply unsustainable.”
Key Demands from OEAK:
- Immediate corrective action from ZRRE
- Suspension of liberalization until a functional, competitive market is established
- Implementation of transitional support measures for businesses
The American Chamber warned that without these steps, Kosovo risks damaging both its economic growth and its credibility among investors.