The package of incentives to be offered to prospective buyers in the main power utility PPC’s bailout-required sale of lignite units and mines remains unclear even though roughly one month remains before investors are due to submit their binding bids.

The quality of incentives to be offered is expected to play a crucial role in the sale’s outcome. Binding offers will not be submitted if the incentives are not appealing, potential buyers have already made clear to state-controlled PPC and energy ministry officials.

Various scenarios have emerged as to the nature of incentives that could be offered to investors for this sale. It is surrounded by uncertainties as a result of rising CO2 emission right prices and the European Commission’s unclear stance on whether it will endorse a Greek CAT mechanism proposal compensating electricity production at PPC’s lignite units.

A CO2 rights-related incentive would protect investors if emission right prices exceeded a certain level. CO2 emission right prices have dropped slightly in recent days, registering 18.57 euros per ton yesterday, but many analysts have projected levels of more than 30 euros per ton.