Montenegrin Day-Ahead Market Launched

The Montenegrin Power Exchange (MEPX) day-ahead market becomes operational, today, 26 April 2023.

With the intention of establishing a wholesale organized power market in the form of an electronic trading platform, MEPX was initially established in 2017 by three Montenegrin state-owned companies: (i) the transmission system operator CGES (in Montenegrin: Crnogorski Elektroprenosni Sistem), (ii) the electric energy market operator COTEE (in Montenegrin: Crnogorski operator tržišta električne energije) and (iii) the electric power distribution company of Montenegro, EPCG (in Montenegrin: Elektroprivreda Crne Gore). Prior to the launch of the day-ahead market, the only functional MPEX market was the long-term market, which was mainly used for supply for compensation for losses in the distribution and transmission systems in accordance with the Energy Law.

The launch of the MEPX day-ahead market is expected to create new business opportunities for all market members, as well as to provide better efficiency, more competitive prices, greater security, quality, and standard of services. MEPX day-ahead market will be anonymous, transparent, optional, and accessible to all companies and partners who meet the regulations for day-ahead market participation. Also, as a next step, the plan is to establish the intraday electric energy market.

MEPX day-ahead market will be implemented and initiated on the basis of the practice of European companies, French-German consortium EPEX SPOT and Slovenian BSP South pool, as announced by MEPX. According to MEPX, in order to implement the recommendations of the EU for the development of the energy market, the plan is to move towards market coupling of the Montenegrin market with the markets of neighboring countries in order to increase the competitiveness and liquidity of the market.

The information in this document does not constitute legal advice on any particular matter and is provided for general informational purposes only.