A decision by Protergia, a member of the Mytilineos corporate group, to develop a 650 MW natural gas-fueled power station is primarily based on long-term trends projected for the domestic energy market over the next 10 to 15 years, Dinos Benroubi, the energy division head at the Mytilineos group, informed participants at a conference staged by HAEE, the Hellenic Association for Energy Economics.
“We have made certain decisions and will push ahead with a new 650 MW gas-fueled power station,” Benroubi remarked.
Electricity demand is expected to significantly increase beyond 2025, while the European trend is headed towards decarbonization and a turn to renewable energy, according to projections made by IPTO, Greece’s power grid operator, the official explained.
By 2022, when the new Protergia gas-fueled power station is expected to begin operating, thermal units totaling 1,060 MW are expected to be added to the system while between 1,600 and 1,900 MW will be withdrawn by 2025, Benroubi noted.
He explained that, based on IPTO forecasts, a capacity sufficiency issue will emerge as of 2022.
“Acting together, we will all resolve this issue for the years 2020 and 2021 but, from then on, thermal output will be needed, it has become apparent,” Benroubi remarked.
According to Eurelectric, the sector association representing the common interests of the electricity industry at a European level, 1 MW of thermal capacity is needed for every 1 MW of wind energy capacity, the Mytilineos group’s energy head told.
Thermal output currently suffices to cover present RES levels, Benroubi explained, while questioning whether reduced thermal output will be enough to cover increased RES levels in 2025.
The corporation has estimated that, in 2025, a lignite-fired power station would generate electricity at a cost of 105 euros per MWh and a natural gas-fueled unit would produce at a cost of 67 euros per MWh, the official pointed out.
The development of a new natural gas-fueled unit is needed both in terms of grid needs and sustainability.