Albania addresses challenges from rapid growth in renewable energy

Infrastructure and Energy Minister Enea Karakaçi met electricity producers, members of the Assembly of Albania’s Natural Resources Committee and energy sector officials. The meeting focused on new developments and challenges linked to the rapid growth of renewable energy capacity.
Karakaçi said Albania’s new energy law brings the country closer to European market rules. He said the changes create more opportunities for integration into regional and European energy markets. The meeting also addressed rising investment in renewable energy. Around 700 megawatts of photovoltaic capacity currently operate in Albania. Another 1,000 megawatts are under construction or in various procedural stages. Interest in battery and energy storage systems is also growing.
Meanwhile, work is underway with the European Bank for Reconstruction and Development on a new photovoltaic energy auction. Karakaçi said the auction will also include battery systems. He warned that the rapid capacity increase creates challenges for the transmission network. The network was not designed for this level of generation. Some areas are already close to their network capacity limits, requiring significant investment. Karakaçi also raised concerns about financing. He said consumers should not carry the entire cost, particularly because some generated electricity will serve regional and European export markets. The ministry is therefore examining financing models used in European Union countries.
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