Energy Issues and Regulatory Developments In Europe and Eurasia NARUC Winter Meeting International Committee February 17, 2008 Robert A. Archer Energy.

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Presentation transcript:

Energy Issues and Regulatory Developments In Europe and Eurasia NARUC Winter Meeting International Committee February 17, 2008 Robert A. Archer Energy & Infrastructure Bureau for Europe and Eurasia USAID

ISSUES AND DEVELOPMENTS Energy Security: Trends and Regulatory Implications Regulatory Developments National and Regional Transparency Networking: Energy Regulators Regional Association (ERRA) & Regulatory Partnerships

ENERGY SECURITY Background Energy Community (of Southeast Europe) Natural Gas/Oil import dependency Rising energy prices: oil, gas, electricity, heat Political Implications of energy dependency

ENERGY SECURITY (cont’d) USAID Energy Security Initiative Activity is designed to improve energy security to enhance stability, improve governance and reduce poverty. Areas of Activity include regional cooperation in: electricity sector reform and regional integration heat sector and energy efficiency natural gas and renewable energy

ENERGY SECURITY (cont’d) Objective #1: Diversify energy imports and reduce import dependence in countries in Southeast Europe and the Black Sea region increase indigenous energy production improve efficiency of energy use including residential energy efficiency diversify natural gas import sources mobilize investment for all of above Integrate supply and demand planning

ENERGY SECURITY (cont’d) Objective #2: Develop and harmonize the regulatory framework for the Energy Community (of Southeast Europe) regional gas market, supply diversification and investment. Strengthen the regulatory capacity of the national and regional regulatory bodies in gas; Examine LNG role in diversification

ENERGY SECURITY (cont’d) Objective #3: Competitive and transparent Energy Community regional electricity market integrated with Western Europe and expanded to Black Sea countries. Develop national regulatory capacity and Energy Community Regulatory Board (ECRB) Support development of a Coordinated Auction Office for Transmission Capacity and regional Balancing/Spot Market. Establish a formal market monitoring system Support low income energy assistance and social protection

REGULATORY DEVELOPMENTS National Regulatory Issues and Development Rising prices and regulatory response Demand growth and lag in generation Investment High and uneven electricity import prices Demand Response? Data transparency and availability U.S. Regulatory Partnerships

REGULATORY DEVELOPMENTS Regional Issues Role of a regional regulator Regional electricity market monitoring Regional Networking: Energy Regulators Regional Association (ERRA) Exchange of Information and Experience; Training Annual Conference; Technical Committees; Working Groups; Issue Papers Support to the dedicated, under-funded, unpopular