Page 143 - SE Outlook Regions 2024

7.0 Energy & Power
7.1 Energy & Power - Albania
Albania generates almost all its electricity from hydropower, and production fluctuates sharply from year to year depending on weather conditions. Accordingly, Albania is seeking to diversify its electricity production, mainly through investments into solar and wind capacity.
In the third quarter of 2023 (latest data available) net domestic electricity production rose by 17.5% y/y to 1,611 GWh, enabling Albania to significantly reduce imports.
Public hydropower plants (HPPs) contributed 76.7% of the total, independent power producers made up 21.5%, and other producers (photovoltaics) generated 1.8% of net domestic electricity production.
Albania has long taken advantage of its many rivers to produce electricity. Some of the main hydropower infrastructure was built back in the communist era such as the Komani HPP on the Drin river, which provides some 65% of the country's electricity, although there have been more recent investments such as those by Norway’s Statkraft.
Environmental groups have campaigned vigorously against the construction of new HPPs and dams in Albania and the region amid a new wave of hydropower investment – both large- and small-scale – in Southeast Europe.
Campaigners warned that new HPPs threatened the last wild river in Europe, Albania’s Vjosa river. Tirana has since announced plans to revise its strategy on building small HPPs, and has declared the Vjosa area a national park, thus blocking hydropower development.
Instead, the government is promoting other forms of renewable energy, in particular solar power, given Albania’s sunny climate.
Among the major renewables projects, France-based company Voltalia has announced the successful completion of its 140-MW Karavasta solar plant in Albania in October 2023. Located in the southern Fier district, the Karavasta solar plant is Albania's largest and holds the distinction of being the biggest in the entire Western Balkans. The project is estimated to cost €135mn.
In the wind sector, renewable energy project developer CWP Global and General Electric’s wind power arm, GE Vernova Onshore Wind,
143 SE Outlook 2024 www.intellinews.com