Energy Community Secretariat: Serbia records strong momentum thanks to significant progress in decarbonization and electricity market reforms

After last year’s second place, Serbia has maintained its high position in the Energy Community Secretariat’s Annual Implementation Report 2025 thanks to significant progress in decarbonization and electricity market reforms.

Moldova is again in first place, maintaining its leading position for the second year in a row with a score of 74%. Serbia and North Macedonia recorded the most significant reform momentum during the reporting period, while the gap between the strongest and weakest performers has further widened to 48 percentage points.

Albania and Georgia have remained broadly stable, with limited progress in some areas, while Bosnia and Herzegovina and the territory of Kosovo and Metohija have recorded declines due to lack of progress in decarbonization and market reforms. Montenegro has taken an important step forward by adopting a new Energy Law, although it has not yet fully transposed the Energy Community Implementation Package (EIP).

No contracting party except Moldova and Serbia has made measurable progress in the area of environmental protection. Government performance scores have improved slightly in most countries, with Bosnia and Herzegovina and Ukraine experiencing a minor decline.

The report analyses the progress of nine contracting parties (Albania, Bosnia and Herzegovina, Georgia, North Macedonia, Moldova, Montenegro, Serbia and Ukraine, as well as the territory of Kosovo and Metohija) in five areas: market and integration; decarbonization of the energy sector; energy security; environmental improvement; government performance. The period covered by the report is from November 2024 to October 2025.

Serbia again achieved the best result this year in the area of decarbonization, according to the report, which monitors the progress of contracting parties in implementing the acquis of the Treaty on the development of an integrated regional energy market in line with the EU.

The implementation status in the area of decarbonization is 83%, which is one percentage point higher than in the government performance cluster. Serbia still has work to do in the area of environmental improvement, where 58% of recommendations have been implemented, while the lowest score is in the energy security cluster (35%).

– Following the transposition of Regulations (EU) 2019/941 and 2017/2196, Serbia should advance implementation, starting with preparation of risk-preparedness, defense and restoration plans, Serbia should resume submitting Security of Supply Statements to the Secretariat. Serbia should also transpose and implement Regulation (EU) 2017/1938 as adopted for the Energy Community – are some of the recommendations of the Energy Community Secretariat.

Energy Community Secretariat

Energy Community Secretariat Annual Implementation Report 2025

decarbonization

electricity market