The European Commission has remained tight-lipped as to if, when and under what conditions it intends to endorse Greece’s proposal for a permanent CAT remuneration mechanism.
The plan, attached to a wider draft bill prepared by the energy ministry, was ratified in Greek Parliament last week just ahead of the house’s closure for upcoming snap elections on July 7, the intention being to secure CAT remuneration and sustainability for the power utility PPC’s prospective Ptolemaida V power station, when the facility is launched.
Brussels has maintained a rigid stance on the matter, adopting an aggressive interpretation of regulations and guidelines, sources have informed.
Greece’s implementation of the target model, aiming for market coupling, or harmonization of EU wholesale markets, is believed to be one of the conditions demanded by Brussels for the CAT mechanism’s approval. Implementation of the target model within 2019 is seen as a highly unlikely prospect.
There have been no indications as to when the European Commission may deliver a comfort letter to Greece on the CAT remuneration mechanism.
The matter may be urgent for Greece but the new European Commission being pieced together following the recent European elections means slower progress in Brussels at present.