Albania – North Macedonia Power Interconnection (II): Grid Section in North Macedonia

Albania – North Macedonia Power Interconnection (II): Grid Section in North Macedonia

Project Description

This project is part of the European Commission’s initiative to establish an East-West electricity transmission corridor between Bulgaria, North Macedonia, Albania, Montenegro and Italy. The section between Bulgaria and North Macedonia has been completed, and the construction of a submarine cable between Italy and Montenegro is underway. In addition, a new 400kV connection between Albania and Montenegro is now in operation while an undersea cable connecting Albania and Italy is also planned for the medium term. Investments in North Macedonia include a 400 kV transmission system from Bitola to Ohrid and North Macedonia and Greece.

Electricity generation in Albania is predominantly based on hydropower, while approximately 85% of the power generated in North Macedonia is from coal. Connecting the two systems will help to balance the two power markets and enable more efficient management of the reserve and emergency capacities in both countries. Moreover, the new transmission line will trigger a better and less expensive energy supply to residents and businesses in North Macedonia by normalising voltage levels, stabilising load flow and frequency fluctuations, and decreasing technical losses in the overall transmission system. The new high-voltage supply system will thus not only help complete the connection with the wider region but also improve the capacity and reliability of the power supply system in North Macedonia.

The European Commission and the European Bank for Reconstruction and Development provided financial assistance for the project identification and preparation phases under the Western Balkans Investment Framework. The section from Bitola to the border with Albania is now at the detailed design stage; the project preparation phase is due to be completed in 2016. Construction will not involve population resettlement and will have a minimal impact on existing biodiversity.

Results:

  • Balanced energy market between North Macedonia and Albania.
  • 95 km of 400 kV overhead transmission line between Bitola and the border with Albania (via the Bitola – Resen – Ohrid – Struga corridor).
  • Bitola substation was upgraded and the new Ohrid substation was built and operational.

Benefits:

  • At least 270 jobs were created by MEPSO and its contractors for the duration of building works, i.e. a minimum of 36 months.
  • Reduced transmission losses led to lower electricity prices for householders, industry and investors in North Macedonia.
  • Power supply in both countries is secured by eliminating overloads in the existing systems.

Partner Financial Organisations

Western Balkans Partners