IPTO, Greece’s power grid operator, as part of a consultation procedure staged with RAE, the Regulatory Authority for Energy, is looking at  forwarding a proposal entailing the introduction of incentives in place of penalty threats, as is the case at present, for the swift development of new island interconnection projects.

Development of island interconnection projects, which promise to reduce public service compensation (YKO) surcharges included on electricity bills and also increase the RES sector’s share of the country’s energy mix, stand as national objectives.

IPTO is examining incentives that would encourage the completion of interconnection projects ahead of their scheduled delivery dates included in ten-year development plans, operator officials told energypress.

Officials at the operator pointed out experiences of other EU member states, stressing that the implementation of bonus plans have proven more effective than the threat of penalties for swifter project development. Penalty threats are also viewed negatively by investors, local and foreign, the IPTO sources noted.