Barriers, restrictions affecting power, gas market liberalization

Greece’s retail electricity and gas markets are moving towards full liberalization, but, in the course, needing to overcome major barriers and restrictions, a European Commission report for 2020 has highlighted.

Despite the progress made, obstacles in four key areas continue to obstruct the entry of new players in the country’s electricity and gas markets, the report noted.

Disincentives of regulatory nature, market inequalities, entrepreneurial and procedural barriers, as well as customer inaction were identified as the four key areas that need to be dealt with if full liberalization of the electricity and gas markets is to be achieved, the report found.

On the regulatory front, proposals offered by the European Commission focus on the need for a consistent framework offering long-term stability and security for market players.

Market surveillance and monitoring by authorities needs to be effective and accurate to prevent unfair competition behavior by market players, it added.

On market entry, the report recommends actions that would enhance the procedure’s reliability and uniformity.

As for customer immobility, signifying a market still not fully mature, the European Commission report proposes the provision of improved information to customers before supply agreements are signed, greater transparency, better price-comparing ability, as well as mechanisms protecting consumers against unprincipled actions by suppliers.