Berza Električne Energije (BELEN), the power exchange company of Montenegro, has selected Nord Pool as a partner to create the first competitive Montenegrin day-ahead power market, which is expected to be operational in 2020.

The cooperation will include support to establish processes and procedures required to operate a national day-ahead market in Montenegro, market coupling with neighboring countries and day-ahead clearing and settlement processes, BELEN (Montenegrin Power Exchange – MEPX), said on its website.

It is planned that the new Montenegrin day-ahead power market will become operational in early 2020. According to BELEN, the two parties also intend to extend the cooperation to include Nord Pool becoming a shareholder of BELEN.

BELEN and Nord Pool, chosen after an open competition, have committed themselves to the development of a transparent and efficient power market, enabling Montenegro to couple with neighboring countries according to the European Internal Energy Market (IEM) standards, BELEN said.

“We are very proud to announce that we have successfully completed the competitive request for offer procedure to identify the best possible strategic partnership model for BELEN and for Montenegro. This was made possible with the help of the Energy Community Secretariat and Technical Assistance to Connectivity in the Western Balkans and we would like to thank them for their support throughout the entire process,” said Dejan Drašković, CEO of BELEN.

He said that BELEN reached out to the best in this business to help them develop the Montenegrin power market.

“In the end we will be closely cooperating with Nord Pool, the European leader in power trading,” Drašković added.

Kari Ekelund Thorud, CEO of Nord Pool, said that the company is committed to supporting the opening of power markets that is currently taking place in South-East Europe.

“To develop a liquid, and, more importantly, competitive market in Montenegro is key to establishing the country as a gateway between the Balkan region and Europe, through the undersea cable to Italy. This will ensure that Montenegro plays a vital role in moving the whole SEE power market closer to the EU internal market,” she said.