The main power utility PPC has prepared a list of the country’s coal potential as a tool for prospective talks with the country’s lenders, pushing for the government to sell 40 percent of the utility’s carbon-fired capacity.
State-controlled PPC believes this demand entails difficulties as a number of carbon-fired units are expected to be withdrawn from operation over the next few years as a result of their age and the EU’s greenhouse emission targets.
The country’s coal deposits, their life expectancy, the electricity generating capacity of each deposit – which depends on coal quality – as well as the power stations being supplied by these sources are all included on the PPC list.
Coal mines in the Amynteo, Kardia, Mavropiyi, Vevi, Klidi and Ahlada areas have been included. The majority of these coal deposits are expected to be able to supply exisiting or new power stations until 2050, according to PPC.
The utility hopes its list will help shape proposals and solutions in prospective electricity market negotiations with the country’s lenders.
It remains unclear which year’s carbon-fired production capacity will be applied as the base year to determine the quantitative content of the 40 percent sale of PPC’s production ability, as is being demanded by the lenders. For example, using the country’s carbon-fired production capacity of 2015, 2017 or 2020, when a number of units are expected to have been withdrawn, would produce different results.
It remains to be seen what may become of Meliti I, the most modern of PPC’s exisiting carbon-fired power stations, which has been incorporated into a possible agreement between PPC and CMEC (China Machinery Engineering Corporation). CMEC is currently examining the prospect of developing an additional Meliti II unit.
Uncertainty also surrounds PPC’s Ptolemaida 5 power station, a 1.5 billion-euro project under construction. PPC has already provided 500 million euros for this project.
According to sources, the utility would be willing to sell this project to any investor willing to offer a 500 million-euro payment, plus a premium.