Edison considering DEPA distribution network subsidiary

The participation of Edison’s executive vice president Pierre Vergerio at an Economist conference in Athens this Friday has added further credibility to recent rumors of the French-owned Italian company’s interest in a DEPA subsidiary representing the Greek gas utility’s distribution network to be offered as part of its privatization.

It is believed the DEPA privatization model, still not official, will offer investors a majority stake in a subsidiary representing the gas utility’s commercial interests and a minority stake in another subsidiary covering the distribution network.

Edison is rumored to be particularly interested in DEPA’s distribution network subsidiary, which is expected to be established for the upcoming privatization.

Vergerio, in charge of Edison’s midstream gas, energy management and optimization, is also the managing director of IGI Poseidon, a DEPA-Edison joint venture developing the ITGI project.

A number of major Greek players, including ELPE (Hellenic Petroleum), Mytilineos and Motor Oil, have already expressed interest in DEPA’s prospective subsidiary for commercial matters.

Prior to Edison’s emergence as a possible candidate for DEPA’s distribution network subsidiary, pundits had forecast this part of the privatization would only attract special funds that invest in infrastructure projects offering consistent long-term yields.

Announcements offered to date by Edison officials have gone no further than to inform that the corporation is keeping a close watch on the DEPA privatization developments. A finalized and detailed DEPA privatization model has yet to be delivered, Edison officials have pointed out, adding that decisions on the matter have yet to be reached at the company.