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Published: 4/20/2018. Updated:

On 17-18 April, 2018, representatives of NCC attended the Baltic forums on Energy and Water issues in Tartu, Estonia

The necessary steps to create a regional natural gas market were discussed at the Baltic Gas Market Forum and the Regional Gas Coordination Subgroup. It is important to note that the commitment of the Baltic States to have functioning regional gas market since 2019 remains, and the most discussed was the potential for the effective models for determining the prices of natural gas transmission services in the region, the impact of infrastructure and other factors on the proper functioning of the market. Finland should join the Baltic natural gas market from 2020.

The Baltic Electricity Market Forum and the Electricity Working Group Meeting highlighted the progress in electricity regulation by implementing network codes and discussed the challenges faced by regulators and transmission system operators in pursuit of an efficient regional electricity market. The planned launch of the cross-border intraday trading project (XBID) in Europe in June 2018 and the activities of nominated electricity market operators (NEMO) were highlighted: Nord Pool and EPEX SPOT have presented challenges for the active participation in the market, the planned projects and development of services in the Baltic region.

At the expert meeting on water regulation, the Estonian regulator introduced the development of regulated activities in 2011-2016. It should be noted that in Estonia there are about 200 water suppliers within regulated activities, the prices are determined on the basis of the main costs incurred by the operators in obtaining water and collecting wastewater. In addition, it was mentioned that Estonia has historically established tradition of applying different prices to natural and legal persons. The Latvian regulator introduced main principles of the regulation of water sector, which are essentially identical to the principles applied in Lithuania. It was observed that there is an exchange of information between water supply providers in the Baltic States. Furthermore, more frequent are the cases where companies base their arguments on regulation following the experience of neighboring countries. Discussions on the infrastructure for water supply financed by EU funds, efficient and user-friendly pricing options were intensively held.

Presentations of the forums can be found here: