The main power utility PPC’s bailout-required disinvestment of lignite units and mines stands a high chance of not attracting investors for binding offers as additional incentives sought by buyers are not being included in the sale package.
Terms that could ensure CAT remuneration for lignite units, to be announced later this week, represent a step in the right direction for investors but will probably not be enough to draw investors.
Energy minister Giorgos Stathakis plans to meet with prospective buyers this week in an attempt to drum up interest but the combined effect of certain incentives agreed to so far appears incapable of generating genuine investor interest.
As an additional incentive for prospective buyers, the energy ministry is considering abolishing a special lignite surcharge imposed on lignite-fired power stations, costing 2 euros per MWh of electricity produced.
Some of the prospective bidders requested six-year partnership agreements with PPC, for sharing of both profits and losses, but the power utility appears to have rejected such a prospect.
This proposal by the investors was prompted by a government-ratified term forbidding worker dismissals for six years following the sale of units.