Power utility PPC, which officially reached a supply agreement last week with Aluminium of Greece, a member of the Mytilineos group, is close to finalizing agreements with all other industrial consumers. Announcements of new deals could be imminent.
PPC and the industrial consumers still need to agree on the extent of a tariff increase, expected to be set at approximately 20 percent. The new agreements are not expected to offer consumers discounts for punctual payments.
Other details being discussed between the two sides include how the respective profiles of industrial consumers will influence tariff agreements. Take-or-pay clause details are also still being negotiated.
This round of deals between PPC and industrial consumers will be the last involving fixed tariff agreements.
From 2023 onwards, industrial consumers establishing supply agreements with PPC will be subject to floating rates pegged to wholesale market costs.
Industrial tariffs will fluctuate in accordance with monthly clearing prices at the energy exchange’s day-ahead market.
PPC’s recent agreement with Aluminium of Greece, covering July 1, 2021 to December 31, 2023, is the last following a 60-year association between the two companies. The Mytilineos group has set eco-friendly objectives for aluminium production.
Beyond 2023, Aluminium of Greece will receive electricity from the Mytilineos group’s new natural gas-fired power plant being developed in the Agios Nikolaos industrial zone in Viotia’s Agios Nikolaos area, northwest of Athens, to be direct cable-linked to the Aluminium of Greece facility, as well as through RES production.