SARAJEVO May 15 Serbia plans to set up a spot
power exchange in the first quarter of 2014 with the aim of
later joining it with other regional day-ahead markets, an
official of its grid operator EMS said on Wednesday.
Milos Mladenovic, EMS's director for international and
regulatory issues, said the SEEPEX exchange project would boost
competition, increase liquidity and security of supply in the
region, as well as develop reliable price indices.
Regional grid operators, power utilities and other European
power bourses would be offered roles as strategic partners and
shareholders in SEEPEX, he added.
In the initial phase, neighbouring Bosnia, Montenegro and
Macedonia could join SEEPEX before eventually linking with the
Hungarian, Romanian, Czech and Slovak markets, another EMS
"However, it is difficult to say when the market coupling
could kick off since this will be an issue for each national
market to decide upon," Mladenovic told Reuters.
EMS had earlier said it was exploring how to set up the
regional power exchange with Paris-based EPEX but Mladenovic
declined to comment about the progress of talks to do so.
Under the current plan, SEEPEX will offer multiple prices
for each of the neighbouring markets and participants will be
able to trade hourly, baseload, peak, off-peak, as well as
euro-peak and euro-off-peak contracts, Mladenovic said.
The Balkan region has become attractive for potential
trading opportunities due to expected growth as it closes the
gap with Western Europe and because of the number of shared
borders with European Union nations.
But market participants say state control over prices,
export fees and allocation of cross-border capacities are
obstacles to the growth of electricity trading in the region.
Ljubljana-based BSP Southpool, run by international
derivatives exchange Eurex and Slovenian power market operator
Borzen, offers spot power trade for the Slovenian and Serbian
markets but liquidity there has been poor.
(Reporting By Maja Zuvela; Editing by Michael Kahn and William