PPC adopts measure to combat CO2-related cost swings

The main power utility PPC and energy ministry have decided to adopt a CO2 emission right costs-related clause designed to increase electricity tariffs when CO2 costs are elevated and decrease them when these emission right costs are lower.

The power utility was driven to adopt this measure, whose details still remain unknown, to combat current pressure on its share price and improve finances for better terms in capital markets.

To be implemented at the beginning of 2019, the measure is expected to be officially announced within the next two to three days.

Given the higher CO2 emission rights costs, which have quadrupled over the past year or so, the measure is expected to prompt tariff hikes for the time being.

Meanwhile, in another energy sector development, authorities have decided to reduce a RES-supporting surcharge (ETMEAR) imposed on electricity suppliers as a result of the RES special account’s surplus figures.