Excess profits earned by electricity producers during the ongoing energy crisis’ period between October, 2021 and March, 2022 reached 600 million euros, an 80 percent share of this amount gained by power utility PPC, the dominant player, an inquiry held by RAE, the Regulatory Authority for Energy, has found.
The findings of this report, forwarded to energy minister Kostas Skrekas last Friday, concern vertically integrated energy groups active in electricity production and supply.
Most of these excess profits have been utilized by energy companies to support their pricing policies in avoidance of even further price rises, the RAE reported has noted.
Sector officials have estimated the sum of excess profits channeled by energy companies for pricing-policy support at 400 million euros, meaning the net amount of excess earnings is 200 million euros.
Energy companies have offered discounts and subdued, as much as possible, retail prices with these excess profits.
The government has announced it will impose a 90 percent tax rate on excess profits, but details of this plan remain unclear.
Funds to be collected by the state will be used to support ongoing subsidies offered to consumers.