Albania Energy Information

Albania Energy Research

- Albania's Energy & Climate Policy Framework: Albania is transposing EU energy acquis, liberalising its electricity market, and boosting renewables to become a regional energy leader by 2030.

- Albania's Energy Companies: **Summary:** Albania’s energy sector is dominated by state-run KESh (electricity) and Bankers Petroleum (oil/gas). Privatisation efforts face challenges.

- Albania's Energy Supply & Demand: Albania’s energy supply relies heavily on hydropower, with fluctuating output, while oil production declines. Total energy consumption has fallen since 2017, with per capita use significantly below the EU average. Electricity generation is dominated by hydropower (90%), supplemented by solar.

- Albania's Energy Use & Price by Sector: **Summary:** Final energy consumption stable at 2 Mtoe since 2010. Oil dominates (46%), followed by electricity (30%). Industry, transport, and households account for 25%, 32%, and 43% respectively. Prices liberalised, converging with EU levels.

- Albania's Issues & Prospects: Albania advances hydropower, solar, wind, and gas projects to meet rising energy demand and diversify its energy mix.

Albania Total Energy Production & Consumption

Total energy consumption has been declining overall by an average of 1.4%/year since 2017 to 2.1 Mtoe in 2024. It had increased at a slower pace before (+0.6%/year between 2005 and 2017). Consumption per capita is much lower than the EU average, at approximately 0.8 toe (72% below the EU average) in 2024.

Graph: Primary Consumption Trends by Energy Source

Source: Albania energy report

Interactive Chart Albania Total Energy Production & Consumption

Source: Global Energy & CO₂ data

Albania Oil Production & Consumption

Oil production has halved since 2014, from 1.4 Mt to less than 0.6 Mt in 2024, due to low investment in the sector and most of this production is exported. Production had previously tripled between 2004 and 2014.

With its two refineries stopped, Albania relies on crude oil product imports (1.1 Mt in 2024, +9% in 2024). The country has a biodiesel refinery (100 kt/year) at Porto Romano, that started in 2011.

Graph: Crude Oil Production & Consumption

Source: Albania energy report

Interactive Chart Albania Crude Oil Production & Consumption

Source: Global Energy & CO₂ data

Interactive Chart Albania Refined Oil Products Production & Consumption

Source: Global Energy & CO₂ data

Albania Natural Gas Production & Consumption

Natural gas production is marginal (55 mcm in 2024). There are no imports. Gas is only used in industry.

Graph: Gas Production & Consumption

Source: Albania energy report

Interactive Chart Albania Gas Production & Consumption

Source: Global Energy & CO₂ data

Albania Coal and Lignite Production & Consumption

Coal production is marginal (below 250 kt in 2024, -48% in 2024). It is produced from 8 mines. Albania only imports small amounts of coal (211 kt in 2024) to supply its industry, which accounts for 97% of coal demand (2024).

Graph: Coal Production & Consumption

Source: Albania energy report

Interactive Chart Albania Coal and Lignite Production & Consumption

Source: Global Energy & CO₂ data

Albania Renewable in % Electricity Production

The target of 38% of renewables in final energy consumption in 2020 from the National Renewable Energy Action Plan was exceeded by 7 points, as this share reached 45%.

The draft revised NECP (2024) targets a share of 59.4% of renewables in final consumption in 2030 (up from the 54.4% target set in the 2021 NECP, including 178% in electricity, 16.6% in heating and cooling, and 34.6% in transport). In 2024, renewables covered 46.9% of final energy consumption (105% for electricity, 23% for heating and cooling, and 0.2% for transport).

Source: Albania energy report

Interactive Chart Albania Share of Renewables in Electricity Production (incl hydro)

Source: Global Energy & CO₂ data

Albania GHG emissions and CO₂ emissions

The draft revised NECP (2024) aims to limit net GHG emissions to 10.2 MtCO2eq in 2030, which will require additional measures (with existing measures, emissions could exceed 11.7 MtCO2eq). This is in line with the first NECP but more ambitious than the updated NDC (2021), which aimed to reduce GHG emissions to 12 MtCO2eq by 2030 (-20.9% compared to a BAU scenario). In 2020, Albania committed to reaching carbon neutrality by 2050, without adopting a long-term strategy.

Source: Albania energy report

Interactive Chart Albania CO₂ emissions

Source: Global Energy & CO₂ data