Montenegro and Italy are advancing preparations to integrate their wholesale electricity markets, but regulatory approvals mean coordinated trading is unlikely to begin soon. Technical work is continuing while Montenegro awaits the necessary assessments and approvals.
Regulatory approvals remain outstanding
Montenegrin regulator REGAGEN estimates that the formal market-coupling procedure will take about 18 months from the submission of an application. Montenegro cannot start the procedure until the European Commission confirms that its electricity legislation complies with EU requirements. The country requested an assessment of its regulatory framework in March 2026, and the Energy Community Secretariat sent its findings to Brussels in June. By the time of the report, the European Commission had not confirmed its assessment.
Montenegro may need to make further amendments to domestic legislation. It must also secure approval from the EU energy regulator, the Agency for the Cooperation of Energy Regulators (ACER), for its market-integration plan.
Technical work focuses on cross-border capacity
Regulators, transmission system operators and market operators from Montenegro and Italy are continuing technical work, meeting every two weeks to develop procedures for coordinated cross-border trading. Transmission operators CGES and Terna are working in particular on methods to calculate and allocate available cross-border capacity. The two markets are already physically connected by the Adriatic submarine cable; coupling would introduce coordinated capacity allocation and trading, potentially increasing liquidity and improving use of the interconnector.