Supervisory proceedings against Elektrilevi

The Competition Authority conducted supervisory proceedings with regard to the extensive power outages in the Elektrilevi network in autumn. The Authority identified that Elektrilevi has a shortage of repair teams eliminating outages, but mostly a lack of resources in the control centre, which results in long call queues that delay the work of repair teams. Elektrilevi does not have sufficient capability to automatically detect failures, mainly in the low-voltage network but, to some extent, in the medium-voltage network, which makes determining the start time of outages inaccurate. As a result, consumers’ network charges may in some cases not be reduced enough. This results in longer power outages for consumers. The lack of the necessary capability leads to inaccuracies in security of supply indicators and non-compliance with the actual situation in the Elektrilevi network. According to the Competition Authority, although Elektrilevi has taken the necessary steps to eliminate outages and improve its crisis management processes compared to December 2022, when large-scale network outages took place in Saare County, the lack of a framework for crisis measures in framework agreements continues to be a weakness for Elektrilevi, making it more difficult to promptly involve repair teams between regions. The Competition Authority has established that the outages of November and December were mainly caused by Elektrilevi’s shortcomings in the maintenance of line corridors. Twenty-eight percent of line corridors in need of maintenance have not been maintained by Elektrilevi, so when strong winds and/or heavy snow causes trees to break, it leads to extensive power outages.

Thus, the Competition Authority issued a precept to Elektrilevi and obliged it to develop an action plan to carry out maintenance on all line corridors in need of it. Elektrilevi must also develop an action plan on how to better and more promptly involve the teams of companies dealing with network outages in the event of crises, as well as a plan to reduce the resource shortage of Elektrilevi OÜ. Elektrilevi must also review the number of consumers whose network charges are to be reduced due to outages. The Competition Authority will carry out separate proceedings to assess Elektrilevi’s past and planned investments to meet the requirements for ensuring the security of supply of the network.