Independent suppliers respond to PPC’s 15% discount offer

Less than a fortnight after the main power utility PPC’s 15 percent discount offer on electricity bills for punctual customers came into effect, independent suppliers are responding with similar discount offers of their own, on top of already competitive packages. The overall activity highlights the intensifying competition setting into Greece’s retail electricity market.

According to energypress sources, the majority of independent suppliers are in the process of reducing their electricity tariffs by levels of between ten and fifteen percent. Independent suppliers will then wait for electricity market developments to further unfold in September, when NOME auctions are expected to be introduced, before they consider making any further pricing policy revisions and new offers.

The upcoming NOME auctions, a bailout requirement, are intended to provide third parties with access to PPC’s low-cost lignite and hydropower sources as a measure to help break the utility’s dominance, now beginning to gradually erode.

The Mytilineos corporate group’s Protergia, one of the main independent electricity suppliers, has already officially announced a 15 percent discount for punctual customers. It arrives as an added bonus to Protergia’s already competitively priced offers.

The Terna Group’s Heron and Elpedison, a joint venture involving ELPE (Hellenic Petroleum), Edison, and the Bobolas Group, both also vertically intergrated, like Protergia, have yet to unveil a response to PPC’s 15 percent discount offer. However, sources informed that both these suppliers will also reduce prices for customers paying electricity bills on time.

NRG, Wat+Volt, Green, and Volterra, all smaller players, are offering ten percent discounts, but officials announcements have yet to be made.

Protergia recently struck a deal with the Cosmote group that provides the independent power supplier with a broad retail market presence through the latter’s extensive nationwide network of Germanos and Cosmote outlets.

Heron and Elpedison are also maneuvering to establish similar agreements with other telecommunications companies. According to energypress sources, Heron is one step away from announcing a deal with Wind, while Elpedison has reached an advanced stage in talks with Vodafone.