PPC to cover producer, RES debt through installments

PPC plans to pay twelve equal installments in 2017 in order to cover the remaining half of a 96.6 million-euro sum owed to electricity producers, the utility’s board recently decided, according to energypress sources.

Through these payments, PPC will settle an amount provided to the utility by LAGIE, the Electricity Market Operator, based on a RAE (Regulatory Authority for Energy) decision in 2013, covering a market system deficit caused in 2011 and 2012 by the withdrawals of the now-defunct electricity suppliers Energa and Hellas Power from the Greek electricity market.

PPC has already returned the first half of the amount owed following a verdict delivered by the Council of State, Greece’s Supreme Administrative Court.

To fully settle the amount owed, PPC will now need to pay an additional amount of roughly 72 million euros. According to energypress sources, the utility’s board reached a decision just prior to Christmas, on December 21, to cover this amount through twelve equal installments.

The PPC board also decided to cover amounts owed to the RES special account maintained by LAGIE, as well as petroleum company Motor Oil Hellas, based on the same Supreme Court verdict.

The utlity plans to make a first payment of roughly 8 million euros into the RES special account as part of a total amount of 80 million euros that needs to be covered, according to PPC estimates.