Ministry of Energy of the Republic of Kazakhstan: subjects of the wholesale electricity market need to qualitatively predict the volume of electricity consumption

On July 18, 2023, the Ministry of Energy of the Republic of Kazakhstan held a regular meeting online, at which the results of the first days of work of the Single Purchaser and the Balancing Electricity Market were summed up. The meeting was attended by about 350 participants in the electricity market.

  The Ministry informed about the conclusion of an agreement between the Single Purchaser of Electricity and PJSC Inter RAO for planned supplies of electricity, which will make it possible, if necessary, to ensure the purchase of electricity from the power system of the Russian Federation.

The agency also noted that the analysis and monitoring of the past 17 days of functioning of the Single Purchaser and the Balancing Market confirm that the subjects of the wholesale electricity market submit applications in excess of real consumption volumes.

These circumstances are reflected in the formation of the schedule for the required volume of electricity production, based on the technical capabilities of our power plants and the declared missing volumes of purchases of imported electricity from the power system of the Russian Federation.

During the meeting, the Ministry of Energy of the Republic of Kazakhstan repeatedly brought to the attention of the entities of the wholesale electricity market about the need for high-quality forecasting of the volume of electricity consumption. Poor forecasting leads to the purchase of imported electricity, which is more expensive than domestic electricity, which can ultimately lead to higher tariffs for the end consumer.

Recall that since July 1, 2023, in accordance with the instructions of the Head of State Kassym-Jomart Tokayev, the Ministry of Energy of the Republic of Kazakhstan has carried out sectoral work to reform the electricity market. Legislative norms have been adopted to introduce a new model of the electricity market.