EPS adds new variable-price contract options for corporate buyers as Serbia moves toward more dynamic electricity pricing

Serbia’s state-owned electricity utility Elektroprivreda Srbije (EPS) is broadening how corporate customers can buy power, offering additional market-based pricing options designed to give businesses more flexibility in energy procurement. The shift reflects a move away from purely fixed-rate supply agreements toward contract terms that track changing market conditions.

Contracts linked to market references

EPS said business consumers operating on the open market can now choose contracts with variable electricity prices rather than relying solely on traditional fixed-rate supply. Under the new framework, prices are not constant across the contract duration; instead, they are set based on market developments using reference values from the SEEPEX day-ahead electricity exchange combined with an agreed supplier margin.

Multiple structures for different customer needs

Speaking at an energy conference organized by the American Chamber of Commerce, Vojkan Vučković, head of EPS’s Free Market Development Sector, said the company has already introduced several contract structures tailored to different customer profiles.

These include agreements indexed to hourly market prices, contracts based on monthly average prices, and hybrid models that combine fixed-price volumes with portions linked to exchange-based pricing.

Benefits—and added volatility risk

EPS said these arrangements can help companies improve cost control and better align electricity consumption with prevailing market conditions. The utility emphasized that such contracts are particularly suitable for businesses with advanced energy management systems capable of adjusting usage in response to price signals.

At the same time, EPS acknowledged that dynamic pricing models increase exposure to market volatility. As a result, it said they are more appropriate for customers able to actively manage operational and financial risks associated with electricity price fluctuations.

Timeline of EPS’s rollout

EPS reported that it signed its first contract linked to average monthly market prices in May 2025. Hourly-indexed and hybrid contracts were introduced later as part of a broader strategy to modernize its commercial supply offering and align with evolving European electricity market practices.

For corporate buyers, the expanded menu of variable-price contracts offers a clearer path to tailoring procurement strategies to their operational flexibility—while also requiring stronger risk management as power costs become more directly tied to day-to-day market movements.