RAE, the Regulatory Authority for Energy, has forwarded a proposal to the energy and finance ministries for a NOME auction starting price of 32.05 euros per MWh to apply at the next session, on July 12. This represents a 5.32 euro reduction compared to the previous auction.

The two ministries will need to endorse the proposal before issuing a joint approval. The next auction’s terms, including the starting price, will need to be published in the government gazette by July 3 if the bailout-linked schedule for the next NOME auction is to be maintained.

Increased bidding competition is expected at the next NOME auction as current market data indicates wholesale electricity prices are headed for an increase in Greece and throughout Europe. This expected price increase is expected to elevate the interest of independent energy firms in the next NOME auction, where they will seek lower prices for further market leeway.

NOME auctions were introduced last October to offer independent firms access to main power utilty PPC’s low-cost lignite and hydrocarbon sources.

The electricity amount to be offered at the next auction will remain unchanged at 145 MWH/h. An increase of electricity amounts and the new lower starting price will be offered at the year’s next NOME auction, the fourth, to be held in December.