The latest NOME auction, scheduled for this Wednesday and representing the third session to be held since the measure’s introduction last October, is expected to be a tentative affair as participants hold back in anticipation of possibly drastic bailout-related market revisions that could improve conditions for better deals at future auctions.
Wednesday’s auction more or less coincides with the return of the country’s lenders, expected in Athens tomorrow to resume efforts in search of an agreement for the second bailout’s conclusion.
As has been previously reported, the lenders have already asked for significantly greater electricity amounts to be offered through NOME auctions. This demand is expected to be incorporated into the bailout’s updated terms.
Also, RAE, the Regulatory Authority for Energy, needs to adjust the starting price for the third and fourth auctions. Given the current conditions, the new price to be set is expected to be lowered.
Subsequently, the events of last January’s second NOME auction, an extended session prolonged by some 2,200 bids that drove prices up to between 41.04 and 41.14 euros per MWh from a starting price of 37.37 euros, are unlikely to be repeated this Wednesday.
Instead, it is anticipated that this coming session will resemble last October’s inaugural auction, when bidding remained extremely reserved. A total of 460 MWh of electricity was offered and prices hovered marginally above the 37.37-euro starting price to a maximum of 37.50 euros per MWh.
A total of 145 MWh is expected to be offered this Wednesday.