ECONOMIC CONSULTING ASSOCIATES

ECA has been appointed to appraise the gas transmission tariff methodology in FYR Macedonia, especially the determination and allocation of allowed revenues. The current situation in FYR Macedonia is that the gas transmission system is heavily underutilised meaning that the large capital costs required to construct the network are being recovered from a low volume of gas. This means that per unit tariffs for gas are at a level that might be prohibitive and unsustainable for customers (and potentially inconsistent with levels that would encourage the efficient utilisation of the gas transmission network).