The country’s electricity market estimates it will need working capital totaling one billion euros to financially survive a worst-case coronavirus scenario requiring a lockdown beyond June.
A projection made just weeks ago estimating that the sector’s collective revenues would fall by 650 million euros over a three-month period could be outdated within the next few weeks, meaning even greater support measures may be necessary.
A one billion-euro support amount will most likely be needed to compensate for cash-flow shortages whose ramifications could overwhelm the entire electricity market, pundits told energypress.
State guarantees are a solution. They would enable enterprises to secure loans with favorable terms for periods of three to four years or issue bonds with an interest rate of between 1 and 2 percent.
This support amount would offer protection to players of all sizes, especially smaller firms more vulnerable to the adverse conditions.