An Island De-carbonization Fund is established with 750-800 million euros

De-carbonization actions of their economy will begin in the Greek islands, with a “dowry” of 750 to 800 million euros. A “De-carbonization of the Islands Fund”  is established for the management of the funds, which will be managed by a 6-member Committee, headed by the former vice-president of Public Gas Corporation of Greece, Mr. Costas Andriosopoulos. According to information, the relevant ministerial decision has already been signed by the Minister of Environment and Energy Mr. Costas Skrekas.

The funds will come from the unallocated emission rights of the previous phase of the European Emissions Trading Scheme (ETS) for the period 2013-2020. Greece, with special regulation, is entitled to revenues from the auction of 25 million rights for the de-carbonization of the islands, which it will receive in the period 2021-2030. In fact, calculating based on the rights prices of last December, the ministry estimates that Greece will receive around 750 to 800 million euros, which may multiply, with the price rally recorded on the Pollutant Exchange.

The specific amounts will be the “yeast” for a series of actions on the islands aimed at their de-carbonization. In particular, according to sources from the Ministry of Environment and Energy, about 450 million euros will cover Independent Power Transmission Operator S.A. and  Hellenic Electricity Distribution Network Operator expenses for the electricity interconnections of the islands, as well as the upgrade of the electricity transmission infrastructure. With the progress of the interconnections, gradually, emissions will be reduced and with the completion of the projects they will be nulled as the operation of the polluting oil power plants will stop, thus improving the environmental footprint of the islands.

The remaining approximately 300 – 350 million euros will support actions such as “Save” exclusively for the needs of the islands. The rationale of the government’s energy staff is that not only households but also tourism units can participate in the new energy saving program in order to promote sustainable tourism. Also, in the planning for the projects that will be placed under the “umbrella” of the De-carbonation Fund, there will be a program called “Travel Electrically” only for the islands, which will subsidize the exchange of conventional vehicles with electric vehicles, focusing on the fleet of “Rent a car ” automobiles in the tourist island areas. The goal is also to subsidize chargers.

In fact, in parallel with the Fair Development Transition Plan, which in addition to the regions of Western Macedonia and Megalopolis, includes the islands, they will receive double support . With the “tools” of the new Fund and the Fair Development Transition Plan, an attempt will be made to halt the economic, social and territorial consequences of the transition to island societies on their way to a climate-neutral economy.