North Macedonia has started reviewing regulated electricity prices for 2027, with the government under growing pressure to limit higher energy costs for households and small businesses. Transmission and distribution operators are seeking to recover rising expenditure. The Energy Regulatory Commission is examining cost submissions from state-owned electricity companies ahead of a new tariff period starting on 1 January.
Regulated supply price decision for ESM
The Energy Regulatory Commission’s most important outstanding decision concerns the electricity supply price offered by state producer ESM. The current supply price stands at €65/MWh. An updated offer is expected by the end of November.
Prime Minister Hristijan Mickoski said the government wants to keep the existing supply price unchanged, or reduce it if market conditions allow. Several regulated operators have already submitted their cost calculations to the regulator. The tariff review is therefore progressing alongside the pending ESM update.
Requests from MEMO, Energetika and network operators
Electricity market operator MEMO has requested no change to its regulated charge. ESM subsidiary Energetika, which supplies businesses within an industrial steel complex, has proposed a distribution tariff increase of nearly 53%. The requested charge would rise from approximately €6.50/MWh to €9.70/MWh.
The proposed distribution increase corresponds to a change from 0.65 to 0.97 eurocents per kWh. Electricity distributor Elektrodistribucija has not finalised its request because procurement of electricity needed to cover network losses remains incomplete. Transmission operator MEPSO has also delayed submitting its cost calculations after revised regulatory reporting requirements were introduced.
Revised reporting and separate gas transmission request
The revised reporting requirements require additional information on revenues and expenses from the regulated period, increasing complexity in the tariff review process. Separately, gas transmission operator Nomagas is requesting a 37% increase in transmission charges. Nomagas cited higher investment expenditure as the basis for its request.
The tariff review is taking place while regional wholesale electricity prices have climbed above €200/MWh. Gas quotations have approached €86/MWh. The regulator’s task involves aligning politically sensitive consumer pricing with investment and operational costs for maintaining energy infrastructure.
The final outcome will affect electricity bills paid by consumers in 2027. It will also influence how financial pressure is allocated among state-owned suppliers, network operators and the national budget.
