The Kosovo Electricity Distribution Company (KEDS) announced on Saturday that it has begun disconnecting around 450 businesses from the grid after the deadline expired for them to sign contracts with alternative energy suppliers.
This follows a decision by the Kosovo Energy Regulatory Office (ZRRE), upheld by the Commercial Court of Appeals, which ruled against postponing the liberalization of the electricity market.
Currently, about 1,300 companies with nearly 10,000 meters are operating in the open energy market. KEDS confirmed that some disconnections are being done remotely, while others require physical intervention, with teams mobilized across Kosovo.
The market liberalization decision, in force since June 1, obliges all companies with over 50 employees or an annual turnover exceeding €10 million to purchase energy on the open market. From June 1 to July 31, businesses were temporarily supplied by Kosovo Energy Corporation (KEK) as the Supplier of Last Resort.
So far, over 250 private businesses have signed contracts with KESCO, with dozens more applications pending. Kosovo currently has 22 licensed energy trading companies, while three others are in the process of being licensed.
The move has raised alarm among business associations. The Kosovo Chamber of Commerce vowed to continue its legal battle against the measure, while the Kosovo Chamber of Trade and Industry warned of “dramatic consequences” including:
- Business closures
- Loss of domestic production
- Increased imports
- Rising prices
- Further impoverishment of citizens
The Chamber urged Kosovo’s institutions to intervene and halt the process.
Kosovo’s market liberalization stems from the 2016 Electricity Law, though implementation was repeatedly delayed. In the EU, this process began in the late 1990s to encourage competition, efficiency, and consumer choice, while in the Western Balkans, it remains a work in progress.
