Prospects and problems of creating the Eurasian economic union (EAEU) countries single electricity market

Abstract

The article studies the advantages of creating a single energy market for Russia, Belarus, Armenia, Kazakhstan and Kyrgyzstan. The member states’ national electricity markets have been analyzed in terms of the degree of their liberalization and creation of prerequisites for competitive relations formation in the field of electricity trade. According to the results of the analysis, Belarus has a high degree of monopolization of the electricity market represented by a vertically integrated company, while in other countries monopolistic and competitive activities are separated. The export potential of the EAEU countries has been analyzed. The study reveals that Russia has the predominant export potential, Belarus is quite self-balanced, Armenia has no ties with other members of the Big Five, and Kazakhstan and Kyrgyzstan are potential importers of electricity. In addition, four blocks of problems that need to be solved for formation of a single electric energy market have been highlighted and the mechanisms currently being implemented considered.

Keywords

• single electric power market
• intersystem flows
• kazakhstan
• armenia
• belarus
• kyrgyzstan
• eaeu members
• trading floor
• export potential