WSHPDR_2013_Final_Report-updated_version

4.3.1 Albania
Pascal Hauser and Lara Esser, International Center on
Small Hydro Power
Key facts
Population 3,002,859 1
Area 28,748 km 2
Climate Mild temperate; cool, cloudy, wet
winters; hot, clear, dry summers;
interior is cooler and wetter 1
Topography Mostly mountains and hills; small plains
along coast
Rain
pattern
Average annual rainfall is 1,300 mm to
1,400 mm and 80% of this occurs from
November to March. The driest area is
the southeast part with 600 mm to 700
mm of rainfall annually.2
Electricity sector overview
The Monitoring Report on the Energy Strategy 2007-
2011 of the Ministry of Economy, Trade and Energy,
reported that Albania’s electricity sector had
difficulties supplying electricity to its consumers in
2011. The country’s generating capacity was
insufficient to meet demand for electricity, financial
losses on non-technical and technical electricity
continued to be high, and interconnection lines with
neighbouring countries were insufficient to meet
demand for electricity import. 3
Domestic electricity production increased to 4,158
GWh in 2011; 98 per cent of Albania’s electricity was
produced by the public sector. Electricity imports
increased to about 3,170 GWh in 2011. 3 Albania used
to be an exporter of electrical power, but has in 1998
became an importer. 4
Thermal 0.81%
Imported Electricity
43.96%
Hydropow er
55.23%
0% 10% 20% 30% 40% 50% 60%
Figure 1 Electricity generation in Albania
Source: Ministry of Economy, Trade and Energy and
Energy Regulator Regional Association 3 5
Presently, the Albanian generation system of
electricity is mainly based on hydropower from three
major rivers in the north of Albania with the rest
imported (figure 1). 6 The Albanian Power Corporation
(KESH, Korporata Elektroenergjitike Shqiptare - KESH),
a fully public-owned corporation, is the sole owner
and user of the major hydropower plants. One
thermal power plant is in operation since November
2009 (at 97 MW) in the south of Albania, owned by a
subsidiary of KESH. 6
Small hydropower sector overview and potential
Albania is a country rich in rivers, mainly flowing from
south-east to north-west and towards the Adriatic
coast. The small river flow with big cascades make
them an important hydropower source. 7
The overall hydropower potential in Albania is
estimated to be 17 TWh. In 2010, hydropower
production was 5,300 GWh. Only 33 per cent of its
hydro energy potential has been tapped.
Three rivers are developed in a cascade form: Drin
river has three hydropower plants with a total
installed capacity of 1,350 MW and constitute 92 per
cent of the country’s power generation. 8 Mat River
has two hydropower plants with a total installed
capacity of 49 MW; Bistrica River has a total installed
capacity of 27.5 MW.
SHP installed
capacity
SHP potential
n/a
37.45 MW
0 10 20 30 40 50
Figure 2 Small hydropower capacities in Albania
Source: International Journal on Hydropower and
Dams 9
Seventy small hydropower plants are reported to exist
in Albania, with capacities from 20-9,200 kW, but only
38 of them were operational in 2010, the rest is out of
function. The average age of small hydropower plants
in Albania is 25 years, the initial construction purpose
was to supply energy to remote mountain areas. 9
Out of all small hydropower plants: 7
• 32 of them operate on concessionary contracts, with
an installed capacity of 24.4 MW.
• 16 of them have been privatized, with an installed
capacity of 2.047 MW.
• 22 of them are owned by the State, with an installed
capacity of 11 MW.
The total small hydropower potential has not been
assessed (figure 2).
Renewable energy policy
Albania lacks a national renewable energy policy. The
National Energy Strategy promotes minimizing the
environmental impact of energy generation, but does
not provide guarantees for the uptake of renewable
energy. The National Agency of Energy (NAE) prepares
and defines the action plans for the implementation
of the National Energy Strategy together with the
Albanian General Directorates. 4
The Albanian Government is in the process of
preparing a new Power Sector Law and a new
Renewable Energy Source Law. 5 The Power Sector Law
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