Albanian
distribution system operator OSHEE has bought 265,200 MWh of electricity for
the period from 21 December 2016 to 31 January 2017 at an average price of
50.41 EUR/MWh (49.08 EUR/MWh for the period 21-31 December 2016 and 50.99
EUR/MWh. The tender has been known in previous through a press release dated 14-12-2016.
The contract foreseen the agree to sell and deliver, and buy and accept
electricity during delivery period, continuous delivery from Monday to Sunday
from hours 00:00 through 24:00 of CET.

Delivery of
electricity shall be guaranteed during the full Contract term except where the
Seller’s non-performance is excused by an event of Force Majeure and/or
non-performance due to remounts and tripping of the interconnection transmission
lines, or the Buyer’s failure to comply with the terms and conditions of the
Contract. The cross-border-capacities on the Montenegrin/Serbian/Greek –
Albanian borderand from Internal Sources shall be provided by the Seller for
the whole delivery period. Title to, and risk of loss of, energy delivered
shall pass from the Seller to the Buyer at the delivery point.

Parties
shall confirm the schedules of electricity delivery/acceptance with the
Administrator of the Contract for the whole electricity supply in accordance
with all applicable rules and other customary industry practices and procedures.
The daily schedule shall be agreed between Parties with weekly agreements, i.e.
each Thursday up to 12:00 h; daily programs shall be declared and agreed for
the next week, Monday till Sunday.

In case that
the agreed weekly programs are changed, the Parties are obliged to inform each
other thereof until 12:00 h CET on day ahead or intraday basis. The delivery
program will be agreed under mutual confirmations. In case of changes to the
Weekly Delivery Schedules pursuant to above mentioned paragraph, the Daily
Delivery Schedules shall be considered fulfilled with a maximum daily tolerance
of ± 10% baseload.

All taxes
resulting from the implementation and execution of this Contract inside Albania
shall be borne by the Buyer and outside Albania by the Seller. On the request
of each Party, the other Party shall provide all necessary and relevant
information and documents concerning tax duties to the other party always in
due time.

Any dispute,
controversy or claim arising out including the validity, invalidity, breach or
termination thereof, shall be settled by arbitration in accordance with the
Swiss Rules of International Arbitration of the Swiss Chambers of Commerce. The
seat of the arbitration shall be in Zurich. The language of arbitration is to
be English governed by Swiss law.

For more on above, we invite you to
discover through the
Official Website of Acerc or to keep updated through the Albanian Energy Market – AEM Group and Personal Publications in
LinkedIn.

Disclaimer: While
every effort has been made to ensure the accuracy of this publication, it is
not intended to provide legal advice as individual situations will differ and
should be discussed with an expert and/or lawyer. For specific technical or
legal advice on the information provided and related topics, please contact the
author.