A Greek proposal forwarded to the European Commission late in December for an extension of the country’s existing demand response mechanism, a key energy-saving tool for industry, is seeking an additional two years.

This application was forwarded along with a proposal for a transitional mechanism rewarding flexibility.

If an entirely new permanent demand response mechanism is granted a two-year lifespan, then the two-year extension for the existing system will cease to apply, sources informed.

The target model will need to be launched before a permanent mechanism can be implemented.

Conclusions to be drawn through the target model’s introduction will enable Greek officials to shape a proposal for the permanent mechanism, seen occurring late this year.

A previous demand response proposal forwarded to Brussels by former energy minister Giorgos Stathakis is no longer valid as the country’s energy plan has been completely reshaped since last summer’s change of government.