Power utility PPC’s prospective Ptolemaida V power station in northern Greece, whose construction has almost been completed, is expected to undergo a test run this coming summer, as a lignite-fired facility, ahead of its launch late in the year or early 2022, while the unit will be converted into a natural gas-fired unit as of 2025, top-ranked company officials have informed.
The officials ruled out any possibility of a deviation away from the corporation’s natural gas conversion plan for the facility by 2025.
Any delay would be detrimental for PPC given the rising cost of carbon emission rights, currently at a level of approximately 90 euros per ton, leading to losses.
Carbon emission rights would need to drop to a level of no more than 45 euros per ton for Ptolemaida V to cover its operating costs as a lignite-fired facility, the PPC officials noted.
Meanwhile, a recent European Commission decision on its Taxonomy, essentially excluding ultra-modern power stations that are exclusively fueled by natural gas from its list of green investments, comes as a setback for the financing terms achievable for such facilities, the PPC officials pointed out.
The PPC officials admitted, however, that this Brussels decision will push investors to seek emission-reducing solutions, such as mixed natural gas and hydrogen solutions.
PPC is preparing such ventures following a recent announcement concerning a related collaboration with Motor Oil.
The European Commission’s Taxonomy is intended to serve as a guide for private and public-sector investments required to achieve climate neutrality over the next 30 years.