The pandemic’s gradual remission and tougher climate-change policies have ushered in a period of elevated electricity price levels, both in Greece and internationally, expected to be prolonged, according to many analysts.
Suppliers, one after another, are increasing prices for household and business consumption, passing on to consumers additional costs encountered in the wholesale market through the activation of price-related clauses.
According to Greek energy exchange data, day-ahead market prices currently range between 78 and 80 euros per MWh, nearly double the level of 45 euros per MWh at the beginning of the year.
Similar price increases of about 50 percent have also been recorded in markets abroad during the first half of the year.
Electricity producers operating natural-gas fueled power stations have been impacted by higher gas prices, data provided by the Dutch trading platform TTF has highlighted.
Electricity producers also face considerably higher CO2 emission right prices, currently ranging between 52 and 55 euros per ton from 32 to 34 euros per MWh early this year.
According to many analysts, CO2 emission right prices will continue rising in the years to come and may have doubled by 2030.
Higher natural gas and CO2 emission right prices are impacting electricity producers generating through natural gas-fired power stations. They are required to pay for CO2 emission rights, one-third of levels imposed on lignite-based producers.
Experts agree that toughening EU climate-change measures, to be followed by corresponding US polices, will keep driving energy commodities higher, noting that oil and gas price rises will be subdued as low-cost, cleaner forms of energy further penetrate markets.