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Serbia: Draft amendments to Energy Law introduce key changes

The draft amendments to Serbia’s Energy Law propose several significant updates, including the regulation of the balancing market and the reintroduction of nuclear energy into the country’s energy mix. The amendments also introduce provisions for end consumers to become active participants, allowing them to enter into contracts with variable pricing.

The Ministry of Mining and Energy has published the draft law and invites public feedback until September 10. Key changes include:

  • Supplier switching: The process of changing suppliers, currently free, may incur charges starting January 1, 2026.
  • Variable pricing contracts: End consumers will have the option to sign contracts with variable electricity prices, reflecting market changes at intervals aligned with organized market or exchange pricing.
  • Comparison tool: Household and small consumers with annual consumption below 100,000 kWh will have free access to a supplier comparison application.
  • Net billing and metering: The draft law proposes the abolition of net billing and net metering for prosumers by December 31, 2026.
  • Installer certification: The certification of renewable energy facility installers will be introduced, aligning with EU’s Renewable Energy Directive (RED II) and practices from Croatia, Slovenia, and Italy.
  • Active consumers: Defined as consumers or groups who generate, store, or sell electricity independently or participate in flexibility services without making these activities their primary business.
  • Balancing responsibility: Market participants will be financially accountable for balancing deviations they cause, contributing to system balance.
  • Capacity mechanism: The draft introduces a capacity mechanism and stipulates that from July 1, 2025, power plants emitting more than 550 g of CO2 per kWh and over 350 kg of CO2 annually per installed kW capacity cannot participate in this mechanism.

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