Energy Law at Bosnia and Herzegovina
Here’s an overview of Energy Law in Bosnia and Herzegovina (BiH):
⚖️ Energy Law in Bosnia and Herzegovina
1. Political and Legal Structure
Bosnia and Herzegovina is a complex federal state composed of two entities:
The Federation of Bosnia and Herzegovina (FBiH)
The Republika Srpska (RS)
Energy legislation and regulation largely occur at the entity level, with some coordination at the state level.
This decentralized system leads to multiple laws and regulatory bodies operating simultaneously.
2. Key Legal Acts
Law on Electricity (entity-level laws in both FBiH and RS) regulate generation, transmission, distribution, and supply.
Energy Law of Bosnia and Herzegovina (state-level, mainly for coordination and international relations).
Law on Natural Gas (entity-level).
Law on Renewable Energy in both entities promoting renewable energy use.
Law on Energy Efficiency aligned with EU directives.
3. Regulatory Bodies
State Electricity Regulatory Commission (SERC) — Regulates transmission and sets framework at the state level.
Federal Energy Regulatory Commission (FERK) — Oversees electricity and gas in the Federation of BiH.
Regulatory Commission for Energy in Republika Srpska (RERS) — Regulates energy in the Republika Srpska.
Transmission System Operators (TSOs) and Distribution System Operators (DSOs) operate within entities.
4. Energy Market Structure
BiH has an unbundled electricity market structure:
Generation companies (often state-owned)
Transmission operators (regulated by SERC)
Distribution companies
Suppliers
The country aims to align its energy market with EU energy acquis and integrate with the regional energy market.
5. Renewable Energy and Efficiency
Support mechanisms include feed-in tariffs and premiums.
Several hydro, wind, and biomass projects exist.
Energy efficiency laws promote reductions in consumption and greenhouse gas emissions.
6. Challenges
Complex governance complicates market integration and investment.
Aging infrastructure and need for modernization.
Legal and regulatory fragmentation between entities.
Reliance on coal and hydroelectric power; efforts ongoing to diversify energy sources.
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