May 21, 2026
by in News

Electricity Production and Exports Rise Sharply in Albania in Q1 2026

Electricity production and exports increased significantly in the first quarter of 2026, while imports fell by more than half, according to data published by INSTAT on the country’s electricity balance.

Net domestic electricity production reached 3,647 GWh in the first three months of the year, compared with 2,234 GWh in the same period a year earlier, marking an increase of 63.2%. The growth was driven mainly by public hydropower plants, as well as private and concessionary hydropower producers, which together accounted for more than 93% of domestic production. Other producers, mainly photovoltaic plants, represented around 7% of total generation.

Gross electricity exports, including exchanges, rose to 1,503 GWh, up from 732 GWh in the first quarter of 2025, representing a year-on-year increase of 105.4%. At the same time, gross imports fell to 327 GWh, from 767 GWh, reflecting a decline of 57.4%.

As a result, the electricity exchange balance was positive at 1,177 GWh, while domestic production covered most of the country’s demand.

Public hydropower plants generated 1,667 GWh during the period, up 63% compared with the same quarter of the previous year. Production from private and concessionary hydropower plants reached 1,726 GWh, an annual increase of 66.8%. Meanwhile, other electricity producers, including photovoltaic plants, generated 254 GWh in the first quarter, compared with 176 GWh a year earlier, recording growth of 44%.

Electricity available for consumption increased by 8.9% compared with the first quarter of 2025, while final consumption reached 1,954 GWh, up 9.1% year-on-year.

Household electricity consumption increased by 8.8%, while consumption by businesses and other non-household consumers expanded by 9.5%. INSTAT also reported that network losses reached 516 GWh, or 8% higher than a year earlier. However, the share of losses in relation to electricity available for consumption declined slightly to 20.9%, from 21.1% in the first quarter of 2025.

Transmission losses increased by 31.9%, while distribution losses rose by 5.1%, according to official data.

TAB. 1 Electricity Energy Balance
MWh
Indicators Q1 2025 Q1 2026
A Available energy (A=1+2-3) 2.269.259 2.470.192
1 Domestic net production (1=1.1+1.2+1.3) 2.233.905 3.646.805
1.1 Thermal power plants 0 0
1.2 Hydropower plants (1.2=a+b) 2.057.523 3.392.739
a Public (a=a.1-a.2) 1.022.784 1.666.663
a.1 Gross production of public hydropower plants 1.032.261 1.679.355
a.2 Losses and own consumption 9.477 12.693
b Independent private and concessionary producers 1.034.740 1.726.076
1.3 Other producers — other renewable energy sources 176.381 254.066
2 Gross imports — energy received 767.187 326.815
3 Gross exports — energy delivered 731.833 1.503.429
B Electricity consumption (B=1+2) 2.269.259 2.470.192
1 Network losses (1.1+1.2) 477.816 515.817
1.1 Losses and own consumption in transmission 51.088 67.361
1.2 Distribution losses (1.2=a+b)1 426.728 448.456
a Technical losses in distribution 312.071 336.635
b Non-technical losses in distribution2 114.657 111.821
2 Use by consumers (2=2.1+2.2) 1.791.443 1.954.375
2.1 Household consumers 1.064.956 1.158.522
2.2 Non-household consumers 726.487 795.853
1 The breakdown of technical and non-technical losses consists of estimates carried out by operators active in the electricity sector.
2 Non-technical losses also include statistical differences arising from non-declarations of production and changes resulting from the timing of production measurement, which is shifted in relation to sales or consumption data.
⚡ Albania Electricity Balance · Q1 2026

Electricity Production and Exports Surge in Q1 2026

Official INSTAT data show that Albania’s electricity available for consumption increased by 8.9% year-on-year, supported by a strong rise in domestic generation and a sharp increase in exports.

⚡
Energy available 2,470 GWh ▲ +8.9% vs Q1 2025
🏭
Net domestic production 3,647 GWh ▲ +63.2% vs Q1 2025
🔌
Gross exports 1,503 GWh ▲ +105.4% vs Q1 2025
⬇️
Gross imports 327 GWh ▼ -57.4% vs Q1 2025

Q1 2025 vs Q1 2026: Electricity Balance

Indicator Q1 2025 Q1 2026 Change
April 30, 2026
by in News

Albania’s Hydropower Surge Strengthens Its Position in Regional and EU Energy Markets

The first three months of 2026 marked a substantial increase in electricity generation in Albania, driven primarily by a sharp rise in hydropower output. Production from hydropower plants was 70% higher in January–March 2026 compared to the same period a year earlier.

According to data published in the report of the Energy Community on the Carbon Border Adjustment Mechanism (CBAM), Albania gained a clear advantage over other regional countries in exporting electricity generated from renewable sources.

Specifically, the first quarterly report on CBAM implementation highlights that Albania’s hydropower generation increased significantly, positioning the country as a far more aggressive net exporter of electricity to both the regional market and the European Union.

“Hydropower production in Albania increased by 1.34 TWh (+70%) in the first quarter of 2026 compared to the same period in 2025, rising from 1.93 TWh to 3.27 TWh,” the report states. This growth was concentrated in January and February, with increases of +72% and +84% respectively, reflecting exceptionally favorable hydrological conditions.

This surplus translated directly into higher exports. Albania increased scheduled electricity exports by approximately 4,100 MWh per day to Greece, 3,700 MWh per day to Kosovo, and 2,000 MWh per day to Montenegro.

The report estimates that “these shifts in trade flows represent a net movement of approximately 1.2 TWh of Albanian electricity exported in the first quarter of 2026,” a volume that closely matches the incremental increase in hydropower generation.

The economic impact is further amplified by how CBAM treats Albanian electricity. Unlike Serbia, Bosnia and Herzegovina, or Montenegro, Albania benefits from a zero emissions factor. This means its electricity exports to the European Union are not subject to additional carbon costs.

“Electricity imported into the European Union from Albania was not financially affected by CBAM,” the report notes, adding that this “created a commercial incentive to import Albanian electricity into EU markets.”

Such dynamics position Albania as a preferential energy corridor դեպի the European market, particularly through Greece and onward to Italy. The report observes that exports from Albania to Greece intensified, with Albanian electricity—combined with strong Greek domestic production—subsequently redirected toward Bulgaria and Italy.

The Energy Community further warns that hydropower-dominated systems like Albania’s “appear to be in a structurally more competitive position,” suggesting that CBAM is already creating long-term winners and losers in the region. In contrast, countries with higher coal-based generation face substantial financial penalties.

For example, Montenegro pays approximately €73.8 per MWh of electricity exported to the European Union, while Albania pays zero. “The contrast between Albania and Montenegro illustrates how country-level emission factors shape cross-border electricity trade,” the report concludes, placing Albania firmly on the side of Europe’s evolving energy transition.