Data show that at 11.6 Euro per 100 kWh in 2011, Albania’s power prices stand higher than EU members Bulgaria, Estonia and Romania, acceding Croatia as well as Turkey and Bosnia-Herzegovina whose rates vary from 7.9 Euros to 11.5 euros
TIRANA, May 28 – While Albania’s purchasing power ranks the lowest in Europe, power prices, which take a considerable part of households’ monthly income, are higher than in six EU-members and aspirants, according to a report released by Eurostat, the statistical office of the European Union.
Data show that at 11.6 Euro per 100 kWh in 2011, Albania’s power prices stand higher than EU members Bulgaria, Estonia and Romania, acceding Croatia as well as Turkey and Bosnia-Herzegovina whose rates vary from 7.9 Euros to 11.5 euros.
The rather higher prices Albanians pay for electricity are also confirmed in the annual report of the Energy Regulatory Entity (ERE) measuring both household and non-household power tariffs in Central and Eastern Europe.
Data from this report show Albania’s household power prices stand at 8.06 eurocent/kWh, lower than the average of 9.37 Eurocent in the region but relative higher than in six other countries. Power prices in Ukraine, Kosovo, Russia, Bosnia-Herzegovina, Macedonia, Serbia vary from Eurocent 2.64 to 6.61/kWh. For non-household consumers Albania’s power prices for non-household consumers stand at 8.2 Eurocent higher than the same six countries.
Data from the Eurostat report show household electricity prices in the EU27 rose by 6.3% between the second half of 2010 and the second half of 2011. The report does not adjust Albania’s power prices in purchasing power standards but previous data show Albania’s Gross Domestic Product (GDP) per person expressed in purchasing power standards (PPS) in 2010 was less than one third of the EU-27 average and remains even below regional competitor Bosnia and Herzegovina, according to Eurostat.
Data show Albania’s GDP per inhabitant in PPS climbed from 23 percent of the EU-27 average in 2007 to 26 percent at the end of 2008 before reaching 27 percent in 2009 and 29 percent in 2010.
Under the latest ERE decision, power prices for both household and business consumers will remain unchanged for the 2012-2014 period. ERE’s board of Commissioners decided in late 2011 to continue applying the two-tier price level, under which Albanian households will pay 7.7 lek/kWh for a consumption of up to 300 kWh a month and 13.5 lek for each kWh they consume above the 300 kWh threshold (VAT excluded). A request for price increases by CEZ Shperndarje private distribution operator was turned down for the second year in a row.
Albania’s power prices during the past six years have increased by 63 percent climbing from an average of 5.71 kWh in 2005 to 9.53 lek kWh currently.
