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Thermal energy

The District Heating Sector in Kosovo includes four district heating companies/enterprises which cover the municipalities of Prishtina, Gjakova, Mitrovica and Zvecan.

An important development in the district heating sector in Kosovo in terms of completing the legal and regulatory basis of the district heating sector, is the adoption of Law no. 03/L-116 on District Heating by the Assembly of the Republic of Kosovo on 20 November 2008. This law defines the criteria and standards for performing the activity of production, distribution and supply of heat, operating criteria with plants and other district heating facilities, organization of the heating market and access to the distribution network, as well as rights and obligations of entities operating under this law. Also, the Law on Public Enterprises adopted in June 2008, has brought changes in terms of ownership, corporate governance and supervision. In fact, with this law, the district heating companies are classified as local public enterprises and consequently are transferred to the ownership and supervision of the respective municipalities. According to this law, these companies are always organized as Joint Stock Companies, where the shareholder rights are exercised by the Municipal Commission of Shareholders, while the supervision of the activity of companies is carried out by the Board of Directors which is elected by the Municipal Commission of Shareholders. The District Heating “Termokos” JSC. and the District Heating “Gjakova” JSC operate as corporations or joint stock companies, whereas the district heatings "Termomit" and “Zvecan” are organized as business units of integrated municipal enterprises of Mitrovica, respectively Zvecan.

DH Termokos and DH Gjakova are still in the process of implementing corporate governance according to internationally recognized practices and achieving objectives for successful operation on commercial basis. Despite the positive developments in this regard, these companies still do not function as self-sustaining and profitable businesses, and consequently still remain dependent on subsidies from the Consolidated Budget of Kosovo.