The American Chamber of Commerce in Kosovo has reiterated its concern over the consequences of the ongoing liberalization of the electricity market.
The chamber has urged the Energy Regulatory Office (ERO) to urgently halt the process until essential preconditions are met.
“Warnings from private sector representatives are already becoming a reality. Just days after market liberalization took effect, at least two manufacturing companies have announced the suspension of their operations, citing energy costs and the resulting instability as the main reasons. State institutions have been informed of these developments. This confirms that the liberalization, as currently being implemented, is not only premature but is also harming Kosovo’s economic activity and investment climate.”
While acknowledging that liberalization is a strategic necessity for Kosovo’s path toward regional and EU energy integration, the Chamber emphasized that this transition must be managed responsibly, transparently, and with full preparation by all parties involved.
“Statements published yesterday in Kosovo media and attributed to the European Union clearly reinforce this point: liberalization must be gradual and managed in a way that minimizes social and economic disruptions.”
The Chamber stressed that market conditions have not been met for liberalization, especially with limited competition in supply, which imposes an unbearable burden on large businesses.
“Contrary to the claims of some policymakers that business community pressure is merely about asking for more time to prepare, the American Chamber emphasizes this is a misinterpretation. Businesses have consistently and clearly requested that before customers are expected to adapt, it is the market itself that must be prepared.”
According to the Chamber, liberalizing a market with only one active supplier does not constitute genuine competition, but rather a theoretical reform implemented during a period of institutional vacuum, with serious consequences for the private sector and the country’s economic stability.
For this reason, the American Chamber of Commerce in Kosovo repeats its call to the Energy Regulatory Office to take immediate corrective actions by suspending the liberalization process until a functional and competitive market is established and transitional support measures are put in place.
