le Transport de l’Electricité en Algérie Alger, 19 et 20 Septembre 2005 EVOLUTION AND PERSPECTIVES OF THE REGIONAL ENERGY MARKET OF SOUTH-EAST EUROPE I. Galimberti, F. Tambone – AEEG; G. Manduzio – GRTN; G. Migliavacca – CESI Abstract — im of the present paper is to present the experience of the Italian Regulator, AEEG, in the ongoing process to establish the Energy Community of South East Europe (ECSEE). In this frame, a common approach, called “Athens Process”, has been conceived leading to the creation of one single regional market, so as to attract foreign investments and promote development and security of supply in the region. Additionally, the creation of a regional market will allow the ECSEE countries to integrate their energy sources (hydro, thermal, nuclear). The process will be carried out with the aim to harmonize the legislation in force in the single countries with the one adopted by the EU Members in respect to the liberalization of the electricity sector. A smooth transitional phase towards this achievement must be carefully devised, so as to allow the electricity markets of the single countries to attain a state of maturity, carry out the needed reciprocal harmonization, create the necessary regional institutions and set up the necessary legislative and social framework. In fact, presently two-speeds are emerging in the liberalizing process of the different SEE countries: some countries like Romania, Bulgaria and Turkey are already at an advanced stage of unbundling and liberalization, whilst others are lagging behind. The year 2004 has seen the introduction of a Inter-TSO Compensation (ITC) mechanism, similar to the one in force in the European Union. In 2005, the SEE ITC mechanism has been again agreed among SEE TSOs and is being operated. About congestion management in SEE, a pilot-project was started in July 2004 to investigate the technical aspects connected with the implementation of coordinated auctioning at a regional scale for the allocation of interconnections capacity. Now, the TSOs, grouped under the South-eastern Europe Transmission System Operators (SETSO) Task Force, are working together with the regulators for the implementation of a coordinated auctioning system in the region on a dry-run basis starting from October 2005. This could be the first project of this kind interesting an entire region and, as such, this implementation is followed with great interest by the western European Countries too. Finally, the recent reconnection of the two former UCTE 1 and 2 networks, isolated after the past war events, opens new perspectives for the future exchange of energy with EU countries. The paper gives a complete picture of the Athens Process, together with a thorough view of the perspectives for a real and effective integration of the national electric markets in the ECSEE region in view of the possible evolution of an Euro-Mediterranean Energy Market. PUBBLICATO A5059906 (PAD – 747512)