Governance Structure

The Governance structure of the Pan-Arab Electricity Market is embedded in the 2017 MoU, which stipulates the establishment of the following primary regional bodies:

The regional institutions will not initially have permanent staff. They will instead rely on the PAEM Secretariat to provide administrative and technical support. They will also rely on the sub-committees to provide expertise on technical, commercial, and regulatory matters.

In line with PAEM governance, the following committees are envisioned to coordinate and perform trade transactions by participating Member States.

The LAS Secretariat is an existing body whose function is being expanded and enhanced to take on additional responsibilities for moving the regional market integration process forward by undertaking the day-to-day administrative tasks, facilitating the work of the regional committees, monitoring and maintaining comprehensive information systems, and serving the corresponding needs of the Arab Ministerial Council for Electricity (AMCE), the Executive Bureau, the two PAEM committees and their respective teams, and any task forces established subsequently.

Pan-Arab Advisory and Regulatory (PAEM ARC) Committee

  • Review and advise on market governance documents, changes to governance documents, transmission tariffs, generation reserve criteria, cross-border transmission allocation, available transmission capacity, and so on.
  • Ensure compliance with governance documentation, including non-discriminatory access.
  • Market surveillance.
  • Dispute resolution.

Arab TSOs (PAEM TSOs) Committee

  • Coordinate and cooperate with national TSOs.
  • Play active role in rule-setting process.
  • Promote market integration, reliability, and security of supply.
  • Research and development, promote public acceptability.
  • Participate in energy policy.

PAEM Secretariat

  • Provide administrative support to regional governing entities.
  • Perform market monitoring function under Pan-Arab ARC.
  • Maintain comprehensive information systems.
  • Carry out other tasks as assigned.