Today, a meeting was convened to mark the commencement of works at the Elbasan electrical substation for the 400 kV interconnection line between Albania and North Macedonia. Present at the event were Deputy Prime Minister and Minister of Infrastructure and Energy Belinda Balluku, Deputy Prime Minister responsible for Economic Affairs of North Macedonia Fatmir Bytyqi, Ambassador of the European Union in Albania Silvio Gonzato, Director of the KfW Office in Albania Brit Horschke, and several other high-ranking officials from both Albania and North Macedonia.

“The 400 kV interconnection line between Albania and North Macedonia stands as a pivotal project that will significantly contribute to the sustainable development of the Albanian economy and bolster regional integration in the energy sector. It aims to enhance supply stability, promote electricity trading between the two countries, and facilitate broader regional energy trade among Balkan nations,” expressed the German Ambassador to Albania, Karl Bergner.

Bergner highlighted that the transmission line will enhance Albania’s integration into the regional electricity system and fortify east-west high-voltage connections by finalizing the 400-kV loop with Greece.

The German Ambassador to Albania, Karl Bergner, emphasized that this stands as a significant accomplishment of the Regional Partnership for Climate. Its implementation was agreed upon by the Western Balkan countries and Germany during the Summit of the Berlin Process held in Tirana in October 2023.

The project is funded through a 50-million-euro loan from the German Government via the KfW Development Bank and a grant of 15.7 million euros from the European Union through the Western Balkans Investment Facility (WBIF). The implementation of this project is overseen by KfW as mandated by the funding agreement.

The German Development Bank KfW supports the German-Albanian Financial Cooperation through diverse projects and programs. KfW offers grants and soft loans for crucial infrastructure investments and related consulting services across various projects. Cooperation between Germany and Albania commenced in 1988. Since then, the German Government, via KfW, has allocated over one billion euros for development projects and programs. The energy sector stands as a key focus area within the German-Albanian Financial Cooperation, boasting an active investment portfolio totaling 386 million euros.

The WBIF is a collaborative initiative involving the European Commission, the Council of Europe Development Bank (CEB), the European Bank for Reconstruction and Development (EBRD), the European Investment Bank (EIB), bilateral donors, and beneficiaries of the Western Balkans. It was launched in December 2009 with the objective of offering financial and technical assistance for strategic investments. Later, KfW and the World Bank joined the platform. In December 2018, the Agence Française de Développement (AFD) also became a participating organization in the WBIF.

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