| Tomaz Oresic from EFT Group feels that Slovene | | | | market could offer that. |
| energy market developments have been influenced by | | | | Though Slovenia is progressing in field of privatization |
| conditions on the gross-sale market. Energy prices in | | | | of energy monopolies, the situation in neighboring |
| Slovenia have risen significantly comparing to what | | | | countries shows much better picture. Profitability of |
| was the case a year before. The EEX energy price | | | | energy sector in neighboring countries is according to |
| benchmark has lost its value for price expectation | | | | Mr. Oresic much higher than in Slovenia. With higher |
| calculations on Slovenia. The prices for 2008 are 20 or | | | | profits the ambitions for expansion on other markets |
| 30% above the EEX index. According to Tomaz | | | | are much more present than in Slovenia. It is no secret, |
| Oresic, Slovenia energy price developments are far | | | | and the European Commission constantly repeats that, |
| more comparable to prices in Hungary or Italy. With the | | | | that removing market entry obstacles on energy |
| drastic increase in the price of the energy imported, | | | | markets of Europe brings lower prices, better quality |
| one can hardly imagine any domestic energy player | | | | and more profits for the best in energy business. And |
| would give up to the domestic energy sources. | | | | the best are those, who are selected by their final |
| That leads to market distortion and puts up barriers to | | | | customers, households, as the best. A kind of natural |
| possible competition. This situation furthermore leads to | | | | selection which works in each developed society. |
| price increase and the customer will pay more than he | | | | We are daily confronted with news of big energy |
| could if the market would function properly. Mr. Oresic | | | | merger attempts and many of them are achieved only |
| finds that dependence on domestic power plants | | | | after long persuasion of EC to put pressure on |
| means dependence on domestic politics, as the | | | | governments to stop with protectionism of domestic |
| majority of power plants in Slovenia are still | | | | energy owners. That is clearly another big obstacle |
| governmentally controlled which naturally presents | | | | that frequently drives the energy market back in the |
| another obstacle for competitive foreigners to enter | | | | era of 100% state owned monopolies. Though this is |
| the market. Energy in Slovenia is still perceived as a | | | | changing, the changes are not fast enough to ease the |
| sort of "common good". To be honest, this is not just | | | | burden of higher prices which lay on households. |
| the case of Slovenia. In the frequently misused term of | | | | Energy is a big business and the energy business will |
| "common good" by national politics, Tomaz Oresic | | | | continue to grow in the future. Everyone wants to |
| sees the danger of neglecting interest of the owners | | | | have his piece of sweet energy pie on the table, but |
| and entrepreneurs in the energy business. Nobody is | | | | the consumers are not around that table. They are |
| trying to undermine the importance of energy supply | | | | outside waiting to receive their monthly electricity and |
| safety and consistency, which is stated in the national | | | | gas bills. As long as the consumer stays behind those |
| and European directives, but the obvious consequence | | | | tightly closed doors, there is really no market leverage |
| of such regulations often means that prices will not | | | | that would bring the customers the best price-value |
| always bring the profit to the owners even if the | | | | product or service. |