MEMO versus HUPX electricity markets

 
Autor: Goran Sokolovski,
Head of Power procuremenet management group and
EVN Supply procurator 

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Why to choose a MEMO product?
In May 2023, the Macedonian electricity market operator MEMO began operating its Day-Ahead electricity market. Owned by MEPSO, MEMO aims to create a transparent, competitive, and efficient electricity market, ensuring reliable price formation and operations. It facilitates activities among producers, suppliers, and consumers by offering day-ahead hourly products.

Key Features of MEMO
  • Transparency and Fair Competition: MEMO promotes market transparency, efficiency, and fair competition in Macedonia's electricity sector.
  • Secure Energy Supply: Operating under Macedonian regulations, MEMO contributes to energy security and integrates within South East Europe.
  • Regional Collaboration: Collaborates with regional entities to enhance cross-border electricity trading and market connectivity.
  • Trading Platform: Uses the same trading platform as HUPX, one of Europe's largest exchanges, ensuring reliability.
The Purpose of HUPX
HUPX, established in 2007, is Hungary's central market platform for trading electricity, focusing on day-ahead and intraday markets. It ensures market transparency, efficiency, and liquidity and is main benchmark for South East Europe. HUPX also participates in regional initiatives to harmonize market rules and enhance cross-border electricity trading across neighboring European countries.

Why Choose MEMO?
  • Stability: MEMO is more stable and less susceptible to large energy price variations compared to HUPX. For instance, in July 2024, HUPX prices soared due to a heatwave and maintenance issues, while MEMO prices remained more stable.
  • No Cross-border Transmission Costs: Cross-border transmission capacity prices can vary, depending on the supply and demand of the neighboring countries. MEMO's operation within North Macedonia means no cross-border transmission costs, leading to cheaper deals for clients.
  • Steady Growth: MEMO has shown steady growth, increasing from 21 to 32 registered market participants within a year and daily trading volumes rising from 1770 MWh to over 2500 MWh.
The Future of MEMO
North Macedonia aims to emulate Hungary's success by leveraging its geographical advantages. With diverse energy sources from neighboring countries and potential for solar energy, MEMO is poised for significant growth. Also, the yearly average price for 2024 until now, of approximately 90 Euro/MWh and the daily volume average of 1770 MWh have positioned MEMO to pursue intraday trading implementation in the near future, ultimately leading to market coupling with neighboring countries.

Our Offer for MEMO Products
EVN Makedonija Elektrosnabduvanje offers new MEMO products, ensuring cheaper, greener and more reliable energy and continuous delivery for its customers. Choosing MEMO provides a stable, competitive alternative in the regional electricity market.

EVN Makedonija Elektrosnabduvanje DOOEL Skopje
Str. Lazar Lichenoski no.11, Skopje
PO Box 694, Skopje 1000, Macedonia
Phone +389 (0)2 3205 500
[email protected]