AD MEPSO a full member of the newly established unique association named European Network of Transmission System Operator for Electricity (ENTSO-E)

• AD MEPSO has become a full member of the newly established European Network of Transmission System Operators for Electricity (ENTSO-E). This association is unique at European level, which shall replace all hitherto association for transmission system operators, operating the state and national power systems.
  
  Vladimir Zdravev, AD MEPSO General Director has signed the Agreement for full membership of our national electricity transmission system operator with the general directors of 42 companies-electricity transmission system operators from 34 European countries. The establishing meeting of ENTSO-E was held in Brussels on 19 December 2008.
  
  The signing of this Agreement is a step forward to more reliable and efficient European and regional electricity market according to the Third Package of electricity market.
  
  The establishment of ENTSO-E will strengthen the cooperation among system operators in many fields such as development of technical and market-oriented codes, coordination of system operators’ operation and grid development. One of the main goals to this association is to speed up the development of a European unique electricity market, contributing to safe and coordinated operations in the entire European electricity transmission system.
  
  ENTSO-E will operate on the basis of consultation with the European Committee, the state Energy Regulatory Commission and all market participants. The ENTSO-E operations will be conducted by three committees such as: Development Committee, Operating Committee and Electricity Market Committee. Every Committee will include representatives from all regions in Europe. ENTSO-E will be supported by the full time Secretariat staff having a head office in Brussels. ENTSO-E will be managed by the General Assembly also coordinating simultaneously the organization operation. In signing this Agreement, Daniel Dobeni, a general director of ELIA, Belgium, has been appointed as an ENTSO-E President with the mandate of two (2) years.
  
  ENTSO-E starts the process of undertaking all ETSO activities (European Transmission System Operators), UCTE (Union for Co-ordination of Transmission of Electricity, Nordel, UKTSOA (Great Britain), BALTSO (Baltic countries) and ATSOI (Ireland and North Ireland), and/or will unite all associations of transmission system operators in one single centre for coordination of their operations.

The biggest investments in high voltage power grid, put into operation

• In December 2008, AD MEPSO put into operation the biggest investment in the high voltage electric power grid since the independence of the Republic of Macedonia until now.
  The transmission line was ceremoniously put into operation by the Macedonian Prime-minister, Nikola Gruevski and Sergej Stanishev, the Prime-minister of Republic of Bulgaria. It is a 400 kV OHTL interconnection between Macedonia and Bulgaria, a transmission line from Crvena Mogila near Pernik in the Republic of Bulgaria to SS Stip in the Republic of Macedonia. This is also one of the biggest investments in the Macedonian 400 kV high voltage electric power grid since 1980 until now.
  This transmission line is of high importance to the stability and supply of the Macedonian electricity power system. This is a crucial capacity and a pearl in the AD MEPSO grid. It is the first 400 kV interconnection between two countries. At the same time, this OHTL is the first infrastructure standardized interconnection of corridor 8, between Macedonia and Bulgaria.
  AD MEPSO and NEK Bulgaria operate the 400 kV OHTL Stip-Crvena Mogila. 193 steel lattice towers on the route of 71, 2 km in length have been placed on the Macedonian territory from Macedonian Bulgarian border to Stip where it connects with the transmission line bay in the new substation, which construction shall be completed in June this year. The transmission line 140 km long and the new Stip substation are an investment in value more than Euro 32 million.
  
  The newly created values with its commissioning are as follows:
  • Strengthening the interconnection in the Balkans;
  • Establishment of 400 kV interconnection corridor East-West in Southeast Europe;
  • Improvement in reliability and operations of two electric power systems and in the region;
  • Increase in electricity transactions between the two power systems and improved connection between the countries in the region;
  • Rationalization in the use of generated capacity in both power systems in the region;
  • Savings in investments in new generator units in both countries and in the region;
  
  In a period shorter than two years, MEPSO will start the operation of two 400 kV interconnections. In June 2007 the second interconnection with Greece was put into operations.

The second power transformer put into operation at MEPSO

• In November AD MEPSO put the second power transformer into operation in the S/S Skopje 1/5 in the Skopje settlement Butel. The transformer is an electric power installation making transformation from 400 KV into 110 kV voltage level and electricity transmission between two voltage levels. This transformer is specially designed for the needs of MEPSO grid.
  
  Siemens - Koncar consortium is the manufacturer of the transformer whereas the high voltage equipment and the protection and control equipment with the transformer are supplied by the Sweden ABB company through its branch in Zagreb, Croatia.
  
  AD MEPSO has invested Euro 2,85 million in the transformer, high voltage equipment (breakers, disconnectors and instrument transformers), and in protection and control equipment. Out of these resources Euro 2,23 million have been obtained from a loan extended by the World Bank, and local MEPSO funds of Euro 0,62 million.
  
  This power transformer has been manufactured according to the latest technology and has equipment by which the MEPSO staff in charge will monitor its operation on-line from the computer. Apart from this the controlling process and modification of the transformer’s operating condition is atomized and the facility will be remote controlled from a local control center.
  
  The new transformer will improve the 110 kV voltage level and ensure more stable power system operation. Installing and putting this transformer into operation completes the second stage of this substation extension with even another transformer. Due to the projected growing electricity demands in the domestic economy and the country as a whole, this is one of the measures that MEPSO undertakes in increasing the capacity and reliability of the high voltage power transmission grid.
  
  Technical specifications:
  • Rated power 300 MVA
  • Rated voltage 400+6-10х1,25/115 kV
  • Transformer equipped with combined voltage control when alive
  • Transformer weight 215 tons containing 55 tons of oil
  

AD MEPSO put into operation new investment in SS Dubrovo

• In October AD MEPSO put into operation the new 400 kV transmission line bay at Dubrovo substation near TPP Negotino. The construction of the new transmission line bay took 12 months, a capacity which includes as follows: a breaker, a disconnector, instrument transformers, lightning arresters, protection system, control and measurement on surface of 2.500 m2 within the SS Dubrovo. The investment cost estimate is Euro 585.000 and is financed from the proceedings of the loan extended by the European Bank of Rehabilitation and Development and is a part of the crediting arrangement related to 400 kV power project for interconnection between Macedonia and Bulgaria.
  
  The contractor of works is Siemens, a German company. The new bay is a part of the project on interconnection with Bulgaria for which MEPSO has constructed a part of the infrastructure for the 400 kV transmission line with the eastern neighbor. MEPSO has also constructed the 400 kV transmission line so far from Stip to the Bulgarian border in the region of Kriva Palanka. A new 400/110 kV substation is under construction close to Stip, which is scheduled to be put into operation in spring, next year.
  
  This project will increase the power system capacity in Eastern and Central Macedonia and improve the system stability with the new 400 kV interconnection.

Construction of new 400/110 kV SS Stip

• The new 400/110 kV SS Stip is a new capital investment of extremely high importance to the high voltage electric power grid in the Republic of Macedonia and in the region of Southeast Europe. This investment being estimated more than Euro 11 million is financed with AD MEPSO own funds and a loan extended by the European Bank for Reconstruction and Development. The facility started to be constructed at the beginning of March 2008 and is scheduled to be completed and put into operation in the power system in the second half of 2009. Approximately 55% of the works were completed by the end of 2008 needed for its completion and putting into operation. The project contractor is Siemens A.E. from Republic of Greece.
  
  From technical criteria aspect, the main positive effects from the construction of the new modern SS 400/110 kV in Stip and the establishment of interconnection between the electric power system of the Republic of Macedonia and Bulgaria by which the project of interconnection shall be fully rounded up, can be divided into two levels:
  
  Local (within the framework of the national electric power system):
  • voltage improvement in the eastern part of Macedonia;
  • increase in reliability and safety of system operation;
  • reduction in electricity losses in the transmission grid;
  • ensuring of high electricity capacity for regular and reliable supply of the Macedonian power system;
  • acceptance of the most modern 400/110 kV substation in Stip for the future interconnection between the Republic of Macedonia and the Republic of Serbia i.e. Nis-Stip transmission line presenting a future MEPSO investment project of great importance to he Republic of Macedonia and the region as a whole.
  
  Regional:
  • increase in system reliability and safety at regional level;
  • establishment of a direct energy corridor between the junctions (points) In the region with big power thermal and hydro facilities;
  • Stip 400/110 kV substation is located immediately next to Stip new free industrial zone. AD MEPSO provides excellent conditions and capacity with the new 400 kV transmission line and the new substations for regular, duly and reliable electricity supply with high quality and at excellent voltage level to all foreign investors, which shall take the advantage of the possibility to invest in the Stip industrial zone.

MEPSO among the biggest 100 companies in Southeastern Europe

• AD MEPSO on the TOP 100 rank list with a revenue of Euro 256,3 million is 90 ranked and is the best Macedonian company ranked within the power sector.
  
  AD MEPSO is among the biggest 100 companies in Southeastern Europe according to the net sales revenue in 2007. This raking has been made for all companies except for those from the financial sector and includes Romania, Slovenia, Croatia, Bulgaria, Serbia, Macedonia, Monte Negro, Moldavia, Albania, and Bosnia and Herzegovina.
  
  AD MEPSO with a revenue Euro 256,3 million is found on the 90 place and is the best ranked Macedonian company within the electric power sector. The best ranked among the Macedonian companies in the list TOP 100 companies of Southeastern Europe is OKTA Refinery on the 45 place with a revenue of Euro 490,2 million in front of Makpetrol on the 70 place with the revenue of Euro 323 million, then follows AD MEPSO (the only state-owned company on the rank list), and EVN Macedonia on the 93 place with the revenue of Euro 249,4 million. The ranking has been done by the SEE NEWS medium house in cooperation with the Croatian office of world known consulting house Ronald Berger Strategy Consultants.

MEPSO gained more than Euro 1 million from auctions of allocation related to transmission line capacity

• The highest revenue from monthly auctions in one year, a record so far, has been achieved in May at the Macedonian-Serbian border in which AD MEPSO gained more than Euro 240.000 from trader companies which used the available capacities of transmission line.
  
  In 2008 AD MEPSO gained Euro 1.16 million from auctions for transmission line capacities. This sum was significantly higher than the one in 2007 where AD MEPSO gained Euro 300.000 from this activity in total.
  
  At the monthly auctions of companies-electricity traders, AD MEPSO offers portions of capacities of its transmission lines remaining to be available and unused after satisfying all the monthly demands which AD MEPSO is obliged to give up to the electricity market in compliance with the electric power balance. These monthly auctions are opened to all companies trading electricity in our region. These free capacities in the AD MEPSO transmission lines are used for supply to the big industrial consumers in our market and transit for transmission of their electricity to their clients.
  
  The electricity trader companies paid more than Euro 599.000 for allocation at our AD MEPSO south border in February, March, April, May, November, December with respect to auction at the Macedonian-Greek border. A month with the highest revenue is December in which AD MEPSO gained more than Euro 280.000 for allocation of available capacity.
  
  AD MEPSO gained Euro 560.000 at the north border for March, April, May, June, September and December with respect to auction of available capacity allocation for the transmission line. The highest revenue from the monthly auctions was obtained in May at the Macedonian-Serbian border in which AD MEPSO gained more than Euro 240.000 from the trader companies using portions of the transmission lines available capacities.

Information on auctions

• In the period between 1st May and 7th September 2008, AD MEPSO sold 36.547MWh of electricity by auctions for selling of night surpluses of megawatt-hours of electricity.
  AD MEPSO sold 66.7% out of the offered 54.775 MWh of electricity at the auctions which it has introduced and conducted for the first time from the existence of the Macedonian electricity system. Customers of auctions, organized at weekly level were eight (8) clients of which two (2) local companies (big industrial consumers), and six (6) foreign companies registered to trade electric energy. The majority of electricity was bought by two local clients and their share was 58,2% in the structure of sold energy in comparison with the six foreign companies registered to trade, which bought 41,8% of electricity.
  AD MEPSO earned Euro 1.396.800 from electricity selling. The highest price at the auctions was reached in July and it was Euro 55 for MWh, while the lowest was reached in May (when the auctions started to be organized) and it was Euro 29,05 for megawatt hour of electricity. The most efficient electricity selling at weekly level was in the first week of September when 100 % of the electricity offered was sold. It was the last auction organized and conducted by AD MEPSO prior to entering into force of the Amendments to the Law on Energy after which the electricity supply of the power system was taken over by AD ELEM.
  
  The most successful month was August where 94,7% were sold out of the offered quantities of night electricity surpluses. June follows when the sold electricity was 79,4% before July with 53,2% of electricity sold. The poorest electricity selling was registered in May, the first month in the arranging of auctions. The electricity sold at that month was 28.7% of the electricity offered during night electricity surpluses.
  
  According to the sum of the collected revenues from the weekly auctions, the best month was August with electricity sold of Euro 433.140 before July with electricity sold of Euro 403.620 and June with electricity sold of Euro 373.829. The analysis of results shows a growing trend which means a growth in revenue from electricity selling and increases in sold night surpluses of electricity. This trend is justification to the soundness of AD MEPSO management’s vision to organize and conduct auction on energy selling which has earlier been exchanged with the neighboring power systems. Another justification to the successful model of AD MEPSO is the fact that AD ELEM management has fully undertaken and conducts this model in selling night electricity surpluses from local electricity generation.