Albania holds tender to sell power distributor utility

TIRANA, Sep 29 – Italian and Czech companies on Monday expressed interest in buying the Albanian OSSH power distributor utility in an international tender.
The Economy, Trade and Energy Ministry opened the bids Monday for the sale of 76 percent of the power distributor utility aiming to alleviate a power crisis that has recently caused regular power cuts, according to a statement.
Italian Enel S.p.A and Czech CEZ a.s. were the two bidders.
OSSH has been separated from the KESH power corporation in an effort to improve management.
Electricity shortages have become almost regular in the last three years in Albania, one of Europe’s poorest countries, with an overall negative impact on the economy.
Tens of millions of Euros (dollars) are spent every year to buy electricity from other countries.
Post-communist Albania has had chronic electricity problems, which have been blamed on poor management, an outdated distribution system and lack of money.
The ministry would announce the winning bid in a month time.
“That privatization will bring about more security and quality of the operational network, attract foreign capital in the necessary investment in the network and also eliminate the negative effects of the power sector in the state budget,” said the statement.