A matter of a few weeks is the issuance of a decision by the Minister of Environment and Energy, Kostas Skrekas, which will deal with the problem of concluding bilateral Power Purchase Agreements (PPAs) between industry and power producers.
OT has access to information, according to which the provisions of the decision will exclude from the revenue recovery mechanism (ceiling) in the wholesale electricity market the revenues of power producers from the sale of electricity with PPAs to energy-intensive consumers.
The obstacle
It is noted that the big problem for concluding such contracts was that the wholesale ceiling did not exclude income from such agreements.
Kostas Skrekas had committed to the general council of the SEV – Hellenic Federation of Enterprises last month to address this problem, in order to pave the way for the implementation of PPAs between electricity companies and mainly high voltage industries.
Sources, therefore, report to OT that the Energy and Environment Ministry is already close to an agreement on the establishment of the exception. In fact, the power plants that will sell electricity to the factories with physical delivery will not be subject to a ceiling. Their income will therefore not be withheld to subsidize electricity bills.
The units
According to the information, this measure will be applied in the first phase for thermoelectric, lignite and natural gas units, followed by RES.
Entering into PPAs helps large consumers to secure electricity at competitive prices for a longer time. At the same time, electricity companies, once the revenues of the specific units are excluded from the ceiling, have greater hedging margins for providing low prices.
PPC
This measure also unfetters PPC for the renewal of contracts with the industry, as sources of the Ministry of the Interior state.
Big businesses electrified by high voltage would be left in the air… from this year as the public company did not have the room to maneuver to grant competitive prices,
RAE
At the same time, by its decision, The Regulatory Authority for Energy-RAE increased the percentage of electricity transactions that the dominant electricity supplier (ie PPC) can make outside the Energy Exchange.
More specifically, it raised it from 20% to 30%. In this way, the public company has more freedom to form a competitive basket of electricity prices, which it can provide to its customers.
Latest News
Insights into Greece’s Real Estate Landscape; Consumer Expectations and Challenges
The study indicates that while 66% of Greeks find recent real estate price hikes concerning and liken them to a "bubble," over half (56%) still anticipate further increases.
Athens in Top 10 Best Value City Breaks
Every year, Post Office Travel Money compares the costs of short breaks in cities across Europe for UK holidaymakers
Athens Int’l Airport: Americans Lead Total Passenger Traffic in Q1
According to the data processed by AIA, the top 10 in foreign arrivals are dominated by Americans, followed by the British and Germans. Other top nationalities include Cypriots, Italians, French, Dutch, Israelis, Poles, and Turks.
Greek PM Mitsotakis and Turkish President Erdogan Meet in Ankara Today
No major developments are expected, as the key aim of the meetings between the two leaders is to maintain positive diplomatic relations, but Greece is always vigilant for any surprises from the Turkish leader.
New Athens Metro Line Hopes to Alleviate Heavy City Traffic
The massive project is expected to be completed in 2029
National Intelligence Agency DG to Accompany Greek PM to Ankara
Prime Minister Mitsotakis also gave an interview to Turkish newspaper Milliyet regarding his upcoming visit
Draft Bill Eyes Detection of Uninsured, Poorly-Maintained Vehicles in Greece
According to reports, at least half a million vehicles in Greece are uninsured, while the number of those without inspections is unknown
AIA: Passenger Traffic Up by 16.3% in April
Passenger traffic at the Athens International Airport (AIA) amounted to 2.49 million during April 2024
Fitch Solutions: Greece Set to Welcome 40 Million Tourists Annually by 2028
However, Fitch Solutions highlights concerns about overtourism, cautioning that it could strain Greece's capacity to deliver quality services, potentially leading to neglect of popular destinations
ELSTAT: Q1 Exports Down 11% – Trade Deficit Up 8.7%
Amid international uncertainty and armed conflicts in Gaza and Ukraine in 2023, Greek exports continued to decline, ending the year with an 8.5% drop