Brussels delivers strictest energy-sector report in years

The European Commission’s latest report on the country’s energy-sector commitments is the strictest to have emerged in recent years and certainly the toughest during the Syriza party’s four-year mandate, now into its final year.

All energy-sector deadlines the country has committed itself to are behind schedule, prompting ambiguities regarding the sector’s course, the report notes. It observes increased delays in the implementation of reforms over the past few months and a slowdown in commitments agreed to at a Eurogroup level.

The report also makes note of the energy-sector challenges to face the country’s next administration. The government has called for snap elections, scheduled to take place on July 7.

Greece is held responsible for main power utility PPC’s delayed disinvestment of lignite units. The report also blames the country for the delayed market coupling procedures with Italy and Bulgaria.

RAE, the Regulatory Authority for Energy, has been held accountable, is blamed for its export restrictions imposed on electricity amounts acquired at Greece’s NOME auctions, as the results of this action are seen as unclear.

The report also calls for PPC to increase electricity tariffs for cost recovery and needed investments.

Also, RES sector procedures are deemed as too complex and time-consuming, a disincentive for investments.