HEDNO’s Crete assets transfer to IPTO based on market value

A legislative revision needed for the transfer to power grid operator IPTO of distribution network operator DEDDIE/HEDNO’s assets on Crete, a pending issue that must be resolved for the launch of market activity concerning the island’s small-scale interconnection with the Peloponnese, is close to being finalized, according to sources, informing that this transfer will be based on the commercial value, not book value, of assets.

The price of the transfer will be determined by the market value of DEDDIE/HEDNO, as shaped following offers by suitors in a privatization offering a 49 percent of the distribution network operator.

These offers are expected to be submitted very soon.

Asked yesterday on whether DEDDIE/HEDNO’s assets will be valued based on market price or book value, energy minister Kostas Skrekas said the matter is still being processed.

It is already considered certain that the fiber optics network will remain with DEDDIE/HEDNO, bolstering the capital base of parent company PPC, the power utility.

This essentially means that whichever consortium acquires a 49 percent stake in DEDDIE/HEDNO will not have control over the fiber optics PPC intends to install at its subsidiary’s networks, through deals such as one already established with telecommunication company Forthnet.