Mission

Today’s crisis of the country’s distribution networks is connected with the de facto existing discrimination of this sector of the power industry built into the structure of the current electricity tariff.

Today, up to 90% of the retail tariff is the cost of generating; whereas only up to 8% is the share of the electricity distribution system (in European countries this rate is 30% on average).

Chronic underfunding of this sector of the power industry together with the acting obsolete and economically ineffective method of “cost+” tariff-setting have led to power companies lacking finance not only for modernizing and developing electricity distribution networks but also for merely keeping them in working condition.

The aim

That is why the main objective of the Association’s activity is to serve and protect economic and social legitimate interests of its members which is achieved via the Association’s representatives cooperating with the bodies enforcing regulation and state administration of the power industry, via participating in the development of suggestions on improving primary and secondary legislation in the sphere as well as via informing about the problems of the industry and explaining possible mechanisms and instruments of managing the distribution system crisis and facilitating its sustainable development.

The main objectives:

-         assisting distribution companies in organizing reliable, safe, effective and rational distribution of electric power;

-         participating in the process of improving the mechanism of connecting new capacities to the distribution system;

-         facilitating implementation in the industry of non-discriminating network tariffs that will secure the investment necessary for modernizing and developing distribution networks;

-         promoting conditions for implementing innovative technologies in the industry (smart grid, integrating renewable energy objects, electricity storage units, networks for electric cars);

-         participating in the process of harmonization of the country’s legislature in the sphere of electric power in accordance with the EU legislature;

-         facilitating adaptation of distribution networks for working under conditions of a new market of electric power (subject to the best European and international experience);

-         participating in awareness-raising and educating events on power distribution as well as organizing those;

-         joining European and international associations and other organizations that unite electricity distribution companies.