The purpose of the Law shall be to ensure electricity supply by providing electric power service and its compatibility with the environment. It shall regulate activities in the electrical power sector. The Law consists of eight Chapters divided into 63 articles dealing with the following matters: general provisions (Chapt. 1); Independent Electricity Regulatory Entity (ERE) (Chapt. 2); licences and licensing procedures (Chapt. 3); electricity tariffs (Chapt. 4); electric power system (Chapt. 5); electric power market (Chapt. 6); property rights (Chapt. 7) and administrative offences (Chapt. 8). The ERE shall have the following competencies: sets the rules and requirements for granting, modifying and revoking licenses to companies for generation, transmission, distribution, supply, export and import of electric power. The ERE shall grant licenses for the following activities: (a) generation of electricity; (b) the transmission of electric power; (c) the distribution of electric power; (d) supply of or trade in electric power in whatever form; (e) the export of electric power; and (f) the import of electric power inside the territory of the Republic of Albania. The ERE shall grant a license for transmission of electricity only to one state juridical person. Licensing conditions include: (a) environmental protection; (b) promotion of energy efficiency in the electric power sector; (c) reliability of electric power supply. All electric power producers, with an installed capacity higher than 100 MW, are obliged to produce electric power from renewable energy sources for the electroenergetic system no less than 2 percent of their total electric power production from other sources.