Serbian oil sector: A new energy policy regulatory framework and development strategies

Serbia has established a great part of new legislative and institutional framework as a basis for all energy sub-sectorsʹ development in compliance with EU energy acquis. Main objectives of Serbian energy policy outlined in the new Energy Law are focused to increasing the energy supply security, energy efficiency, competitiveness of the energy market, use of renewable energy sources and environmental protection. Further steps of Serbia toward full EU membership concerning the new energy policy regulatory framework involve implementing and enforcing legislation. Besides considering the issue of Serbian energy policy and degree of its frameworkʹs alignment with the EU acquis, this paper provides an overview of new development strategies in the oil sector. The aim of Gazprom neft, a majority owner of the Petroleum industry of Serbia, is to increase crude oil production to 3 million tonnes, refining and sales volume of petroleum products to 5 million tonnes by 2020. Strategic development projects in crude oil and petroleum products transportation are: petroleum product pipeline construction in Serbia and Pan-European oil pipeline.The basic prerequisites for oil supply security, regarding the future high dependency of Serbian economy on imported oil, are establishment of the emergency oil stocks and diversification of supply sources.