1. PRESENTATION OF MONTENEGRO
Negotiating Team for the Accession of Montenegro to the European Union Working Group for Chapter 15 – ENERGY
Bilateral screening: Chapter 15
PRESENTATION OF MONTENEGRO
Brussels, April 2013

2. EMERGENCY OIL STOCKS Chapter 15: Energy Danilo Barjaktarovic
Ministry of Economy
Tihomir Milatovic
EMERGENCY OIL STOCKS
M O N T E N E G R O
Negotiating Team for the Accession of Montenegro to the European Union
Chapter 15: ENERGY

3. CURRENT SITUATION IN OIL SECTOR
Chapter 15: Energy
CURRENT SITUATION IN OIL SECTOR
Fully dependence on imported oil products.
Most of the products are imported from Greece as the largest oil company Jugopetrol is owned by Hellenic Petroleum.
There are no pipelines or refineries
Total storage capacity is around t. Most storage facilities are located in three locations : Port of Bar, Lipci on the coast at Boka Kotorska Bay and Bijelo Polje in the northeast of Montenegro.
At present the tanks in operation used serve commercial needs of the companies’ only (operating reserves);
Only small part of existing capacity is operational and the major part of idle capacity requires substantial investment and maintenance.
M O N T E N E G R O
Negotiating Team for the Accession of Montenegro to the European Union
Chapter 15: ENERGY

4. Chapter 15: Energy
NATIONAL LEGISLATION
Sector of petroleum products sector is regulated by the following laws and bylaws:
Law on Energy ("Official Gazette of Montenegro", No. 28/10, 40/11 and 06/13),
Law on Air Protection (Official Gazette of MNE 025/10-26),
Law on General Product Safety (Official Gazette of MNE 048/08-22),
Law on Inspection (Official Gazette of the Republic of MNE 039/03-16 and Official Gazette of MNE 076/09-6),
Decree on method of setting maximum retail prices of petroleum products (Official Gazette of the Republic of MNE 52/02, 55/02, 23/03, 32/05 and 35/05 and Official Gazette of MNE 73/08 and 73/10),
Decree on limit values of the content of pollution materials in liquid fuels of oil origin (Official Gazette of MNE 39/10 and 43/10),
Rules on manner and conditions for issuance, change and revoke license for energy activities (Official Gazette of MNE, No. 66/10)
M O N T E N E G R O
Negotiating Team for the Accession of Montenegro to the European Union
Chapter 15: ENERGY

5. RELEVANT ACQUIS – EU LEGISLATION
Chapter 15: Energy
RELEVANT ACQUIS – EU LEGISLATION
Council Directive 2009/119/EC imposing an obligation on Member States to maintain minimum stocks of crude oil and/or petroleum products CELEX: 32009L0119
M O N T E N E G R O
Negotiating Team for the Accession of Montenegro to the European Union
Chapter 15: ENERGY

6. Chapter 15: Energy
TRANSPOSITION
Articles 173 and 174 of the Energy Law (Official Gazette of Montenegro 28/10) provides for the manner of provision of the strategic oil products stocks. It is also provided that the Government should adopt a regulation which defines the manner of management of strategic oil products stocks. The provisions of the aforesaid articles of the Energy Law comply to the Directive 2006/67/EC,
A Proposal for a Decree on strategic oil products stocks which is partially in compliance with propositions of Directive 2009/119/EC has been prepared by Ministry of Economy, but not yet adopted.
M O N T E N E G R O
Negotiating Team for the Accession of Montenegro to the European Union
Chapter 15: ENERGY

7. STATE OF PLAY Emergency oil stocks-Current Situation
Currently there are no strategic reserves of petroleum products or crude oil in Montenegro.
Required Legislative Changes
The Adoption of Decree on strategic oil products stocks is one of the highest priorities. This Decree define the requirement of 90 – days-coverage, including the manner of formation, maintenance and management of strategic stocks of oil and oil products.
Timeframe for implementation of Directive 2009/119/EC
Ministerial Council of Energy Community in 2012 adopted Decision on the implementation of the Directive imposing obligation to Contracting Parties to maintain stocks of oil and petroleum product not latter than 1 January 2023.
Chapter 15: Energy
M O N T E N E G R O
Negotiating Team for the Accession of Montenegro to the European Union
Chapter 15: ENERGY

8. ROAD MAP
Montenegro is progressing towards compliance with Directive 2009/119/EC and should continue along this path. Priority must be given to developing a suitable CSE body to oversee the build up, maintenance and reporting of emergency oil stocks.
The following schedule of sequential actions is envisaged:
Founding of the Central Stockholding Entity (CSE) to manage and control proper implementation of the security oil stockholding and participate in the next steps of establishing security oil stockholding activity
Design in detail the security oil stockholding system of the country
Preparation of the relevant Regulation based on the system design and in proper detail to avoid disputes and illegal actions by the market actors.
Announcement by the CSE of initiation day and procedures to be followed by market actors regarding their obligations with emergency oil stockholding activity
Chapter 15: Energy
M O N T E N E G R O
Negotiating Team for the Accession of Montenegro to the European Union
Chapter 15: ENERGY

9. Thank you for your attention.
QUESTIONS