CAT plan, outdated by changing energy strategy, to be reworked

A Greek plan for a fixed CAT mechanism that had been submitted to the European Commission by the previous energy ministry is now considered inadequate, primarily as a result of the country’s changing energy plan.

A new CAT mechanism plan will now be prepared early next year once Greece’s revised National Energy and Climate Plan and the power utility PPC’s business plan and withdrawal schedule for its lignite units have both been finalized.

The CAT plan produced by the previous Syriza government’s energy minister Giorgos Stathakis was based on factors no longer relevant as a result of these upcoming changes.

The previous government’s plan also included legislation designed to enable state-controlled PPC to seek CATs for its Ptolemaida V power station, a lignite-fired facility in development but with an indefinite future.

Power grid operator IPTO will conduct an extensive study identifying the system’s needs. This study will serve as the basis for Greece’s new permanent CAT plan, to be forwarded to Brussels ahead of negotiations.

Also, the energy ministry intends to apply to Brussels for extensions to Greece’s transitional CAT plan and the demand response mechanism, a vital energy cost-saving tool for industry.