Serbia’s draft Energy Law: Key changes include nuclear energy reintroduction, variable pricing for electricity

The proposed amendments to Serbia’s Law on Energy introduce several significant changes. Key updates include the regulation of the balancing market, provisions for end customers to become active participants with variable price contracts and a renewed focus on nuclear energy.

Key amendments:

1. Balancing market regulation: The draft law introduces rules for the balancing market and the financial responsibility of market participants for balancing deviations. It also sets out basic rules for the electricity balancing market and procurement of balancing capacity.
2. Variable price contracts: End customers will now be able to enter into electricity contracts with variable pricing, reflecting changes in the organized market. This new provision allows contracts with suppliers serving more than 200,000 customers. The process of changing suppliers, previously free, will incur a fee starting January 1, 2026.
3. Nuclear energy: The law lifts the ban on nuclear power plants, previously imposed by the Law on the Prohibition of Nuclear Power Plants in the Federal Republic of Yugoslavia. This law was enacted in response to the Chernobyl disaster in 1986. The draft law aims to enable the development of nuclear energy programs and the training of personnel in this field.
4. Waste fuels: New activities related to aggregation and production of unconventional fuels from non-hazardous waste are introduced. These fuels will be used in processes such as cement and lime production, coal-fired thermal power plants, and cogeneration plants.
5. Electricity storage licensing: Although electricity storage was already recognized as an activity, the draft introduces a requirement for obtaining a license for storage operations.
6. Abolition of net calculation and net metering: By December 31, 2026, net calculation and net metering—currently used by prosumers—will be abolished. The draft law also introduces certification for installers of renewable energy systems.
7. Active customer definition: The draft defines an active customer as someone who uses, stores, or sells electricity produced on their premises or participates in flexibility services or energy efficiency measures, without these activities being their primary commercial or professional activities.

The Ministry of Mining and Energy has invited public comments on the Draft Law until September 10.