PPC presenting its new business plan today, market awaiting details

Power utility PPC’s new business plan, to be announced today, has attracted the attention of market officials, eagerly awaiting details on the utility’s transformation, objectives and how these can be achieved.

PPC is expected to make official a swifter withdrawal plan for all its existing lignite-fired power stations by 2023, a staff reduction plan numbering approximately 5,000 employees, as well as a renewable energy capacity boost of 1 GW by 2024.

Ptolemaida V, a 660-MW facility currently under construction, is expected to operate until 2028, Greece’s decarbonization deadline, according to the government, before it is converted into a  lignite-free unit. Details on this conversion plan remain unknown.

A recent study conducted by power grid operator IPTO determined that gas-fueled power stations offering a total capacity of between 2,400 and 2,800 MW can cover the gap to be created by the withdrawal of PPC’s lignite-fired units.

However, the IPTO study was conducted based on the assumption that PPC’s lignite-fired power stations would be withdrawn by 2028, the previous goal, not 2023, as has emerged more recently. It remains unclear how this change of plan could affect the overall capacity coverage equation and whether an additional study will be needed.

Market officials are also awaiting further details on the cost of PPC’s staff reduction plan. The  willingness of employees to accept voluntary exit plans will be crucial.

Also, the cost of the utility’s new focus for greater renewable energy production is another key aspect of the business plan being eagerly awaited by market officials.