Sympower official: ‘Storage with demand-response optimal mix for grid stability’

The importance and benefits of the demand-response market, especially for commercial and industrial consumers, has been highlighted, amongst other matters, by Sympower Commercial Director Kostas Athanasopoulos in an interview with energypress.

The official also underlined the need for Greek power grid operator IPTO and the energy ministry to take action to further consolidate the demand-response service in the Greek energy market as a crucial tool for balancing the electricity system.

Mr. Athanasopoulos stressed the need to further promote the demand-response service as a complementary tool to battery energy storage for an ideal combination enabling the electrical system’s proper functioning under conditions of increased RES penetration.

In addition, the Sympower commercial director referred to the initiatives taken by his company to inform participants, stressing, however, that the central role in this process should be played by IPTO, as the responsible TSO, as well as the energy ministry, in order to properly inform market participants.

The full interview with energypress follows:

  • Demand-response is something new in the Greek energy reality. Your company is one of the very few market participants who work on that in a commercial way. So, I would like to start our conversation from point zero. What is demand response and which are the main advantages for the energy market, taking into account the actual challenges of the market? In different words, demand response solves any problem or not? 

Demand response is solving one of the most crucial challenges the Greek Transmission System Operator (TSO) is facing: how to stabilise the electricity grid and avoid blackouts in times of grid imbalance. 

But first, we have to understand how the energy transition impacts grid operation. TSOs have to cover demand during peak hours throughout the day, every day. Demand peaks regularly occur, so, historically, more energy had to be produced to prevent blackouts. However, this also resulted in production sites operating less efficiently to meet this increased demand. 

The Greek power grid had been designed for electricity supply to come from conventional energy sources, such as lignite. As Greece aims to become carbon neutral by 2050, its most recent energy reform plan firmly pushes for a green energy transition powered by wind, solar and hydrogen energy sources. While being sustainable alternatives, wind and solar are also volatile sources which add pressure to the grid by creating increased volatility and reduced predictability. In parallel, we also see an increased electricity demand as companies move away from fossil-fuel-powered processes and electric mobility develops throughout the country. 

Balancing the supply and demand of electricity to prevent blackouts is therefore one of the most critical and challenging aspects of transitioning the grid to a climate-neutral energy system.  

One of the most efficient ways to stabilise the grid, especially as we integrate more volatile energy sources, is through balancing services and demand response. Demand response is a change in electricity consumption from consumers, such as commercial and industrial businesses, to help keep the supply and demand of electricity in balance, stabilise the grid and prevent serious power outages. 

 The moment we see a discrepancy in the grid frequency, which is meant to operate at a stable 50Hz, we can opt to decrease or increase consumption according to what is required to stabilise the grid and prevent blackouts. 

  • As we said before, Sympower is one of the few market participants, acting in demand-response in Greece. If I am right, you are acting in the market as FOSE of demand response for a few months now. What have you observed until now? Could you give us feedback in a few words of that «journey»? 

Demand response in Greece is a very promising market, that not only supports the creation of a sustainable energy grid, but also provides a way for industries to participate in balancing markets and reduce their energy costs. 

Our journey so far has been very interesting, albeit challenging. We were the first independent aggregator to go live on the market in June, so of course we’ve been a bit the Guinea pigs in the market of demand response in Greece. Our licensing process was quite long, since the TSO was simultaneously building the market and ensuing regulation. Actually, we have been in the Greek market for the last three years, as we wanted to be active in the field and support the TSO in establishing a successful and competitive market in Greece. 

We’ve brought our extensive knowledge and experience from the Nordics market to answer their questions and help them solve challenges. We’ve also dedicated time and resources to educating companies, as the overall awareness of demand response was close to nonexistent. We are continuing this education work, and we’ve actually recently hosted a webinar to demonstrate further how commercial and industrial businesses can benefit from demand response services. 

Of course, there are still issues that need to be addressed, but the TSO is working hard on fixing them.  They strongly believe in the future of demand response, and want to create a positive environment for FOSE (ΦΟΣΕ) to participate in. The TSO has learnt through our participation in demand response, and we’re really proud to work closely with them to establish a successful demand response model and market in Greece. 

  • In the same spirit, what do you think that it has to be improved in the Greek market in order to promote in a better way the demand – response? 

The Greek demand response is still in its infancy, so it has to learn to crawl and walk before being able to run. There is much room for improvement, but we must remember that it is a new market. 

So far, the first data that we’ve extracted is very promising and shows that the Greek demand response market will be one of the most financially exciting in Europe. 

There are still many aspects of the market to improve in order to bring it to the same professional level as the Nordics’. The rule book, that is to say the daily operations of the market, the rules and the settlement process, has to improve, as well as the overall communications with the TSO and integration into their platform. 

Despite all of these needed improvements, I can already say with the utmost certainty that the Greek demand response market is only going to grow. Yes, we do have to protect this market, but it also already makes sense for companies to enter it, just in terms of reducing their energy and production costs. 

Demand response is here to stay. The grid will require more balancing as we increase the share of renewable energy, and as a result more demand response will be needed. Battery storage and demand response cannot cover the grid’s balancing needs alone, we need a joint approach. 

The business case for demand response has already been proven, and it will continue to be financially attractive for companies to enter as the market develops. The grid will expand, and so will the demand response market. 

  • In my opinion, demand-response is something «unknown» largely to the market. Do you think that the stakeholders and the Ministry have to take specific initiatives to change this situation? Do you have something to propose?  

Indeed, there is still a general lack of awareness regarding demand response. We have been working in Greece for the last three years, and we can see that industries still need to be made aware of demand response and the opportunities it can bring to their business. 

The TSO and the Ministry of Energy are actively trying to change this, but they need ramp up their effort to inform people. They have all the required data to run educational campaigns, produce case studies and articles, and show expected revenues for various industries and company sizes. 

So far, we have been the ones taking on the role of educators by creating series of articles and setting up a webinar to educate industries about demand response. Of course, our strength and reach are limited compared to what the TSO and Ministry can do to inform industries about what are balancing markets and demand response, how they can participate and which benefits they can receive. Even though we are experts in the field, after all, we are the number one aggregator in Finland and Sweden, we know that the TSO and Ministry can reach industries faster and better. 

I also advise the TSO and Ministry on promoting demand response in the right forums. In 2023, we were at the Power and Gas Supply Forum organised by Energy Press where we presented balancing services. Commercial and industrial companies with the right kind of assets for demand response attend this kind of forums, so they represent the perfect opportunity for the TSO to present the demand response market that they opened. 

RES cuts more cost-efficient than battery installations

RES cuts, to prevent grid overloads, appear to be the most competitive option available to small and medium-sized photovoltaics given the current cost of installing batteries behind the meter.

In the majority of cases, battery systems capable of providing stored energy to the grid over two-hour periods end up doubling the CAPEX cost of RES projects.

This essentially means that, at an operational level, without any state support for battery costs, tariffs would need to be doubled, especially in the cases of non-vertically integrated players, as was recently pointed out by Stelios Loumakis, president of SPEF, the Hellenic Association of Photovoltaic Energy Producers, during a presentation.

On the other hand, cutting RES grid input by 50 percent would result in annual PV park production losses of 20 percent, which could be compensated through a 25 percent tariff increase, a SPEF study showed, making this a more cost-efficient solution, the association’s president noted.

RES cuts, the SPF chief stressed, do not constitute a long-term viable solution as they restrict renewable energy supply, a pivotal factor if green energy is to further penetrate the system.

 

 

NECP investments of €192bn until 2030 promise GDP surge

The revised National Energy and Climate Plan, boosted to include more ambitious targets for 2030, anticipates investments worth 192 billion euros – primarily in transport – which promise to provide unprecedented momentum for the Greek economy.

Of this 192 billion-euro total, an amount of approximately 100 billion euros is expected to be injected into the electromobility sector, for which an NECP target figure of 460,000 electric vehicles has been set by 2030.

This leaves a further 92 billion euros, still an enormous amount, for investments in other sectors. Energy-related modernization of household equipment and appliances, as well as building energy-efficiency upgrades, are seen capturing the biggest share, with nearly 50 billion euros in investments forecast over the next seven years.

Replacement of outdated household equipment with new, more efficient systems is expected to mobilize close to 42.4 billion euros, according to the revised NECP. A further 6 billion euros in spending is expected for energy-efficiency upgrades to buildings.

The numbers are staggering and highlight a prospective boom in construction and related sectors, as long as households are ensured substantial aid and financing.

Subsidy programs supporting home energy-efficiency upgrades and electric vehicle purchases will need to be doubled, even tripled, annually, compared to previous years, as pointed out in the revised NECP, if abounding theories contending that the green transition is costly and financially harmful are to be proven wrong.

The percentage of GDP for spending on all types of energy-related products and services is seen rising from 19.4 percent in 2021 to 21.6 percent in 2030, before sliding to 17 percent.

Investments in all forms of cleaner electricity production, from solar farms to onshore and offshore wind farms, are ranked third. The revised NECP anticipates investments totaling 11.9 billion euros until 2030 in this domain.

Grid development is ranked fourth with anticipated investments of 6.5 billion euros by 2030, followed by much smaller amounts for energy-efficiency improvements in industry, natural gas and oil systems and other alternative fuel-related expenditure.

New RES auctions for battery-equipped units in the making

A series of RES auctions starting in early 2024 for battery-equipped renewable energy projects of around 2 GW, which will be open to investors who have already secured connection terms, is a key feature of a plan being shaped by energy minister Thodoris Skylakakis to deal with grid insufficiencies.

A decision on the matter seems to have been taken, as suggested by the minister during an interview yesterday at the ongoing two-day Renewable & Storage Forum conference in Athens. He did not elaborate as a number of technical issues remain pending.

Strict conditions will be set for swift electrification of these new RES projects. It is believed that RES projects securing tariffs at the first auction will need to be operating by December 31, 2024. All ensuing auctions will also commit bidders to swift launches of new RES projects.

This zero-tolerance approach comes as a complete contrast to the progress of 3 GW in RES projects that had secured connection terms back in 2020 but have yet to be launched, as was pointed out at the conference by power grid operator IPTO’s chief executive Manos Manousakis, who called for stricter regulations.

 

Demand to reach 10 GW today, officials confident on grid

Domestic electricity demand could reach 10 GW today, a record level for 2023, amid heatwave temperatures, but sector authorities are confident the grid is well prepared and equipped to handle the challenge.

Overall, the grid is in sound state, while any issues that may have emerged at some locations, especially areas affected by fires that have broken out in recent days, have been swiftly resolved to prevent a spread of grid problems in wider areas, sources at power grid operator IPTO have informed.

However, given the extensive fire fronts and high risk of new outbreaks in coming days, combined with elevated, heatwave-related electricity demand, IPTO officials are remaining vigilant, monitoring events for swift action if necessary.

According to an IPTO schedule for today, electricity demand is projected to peak at 1 pm, reaching 9,956 MW, over the highest level reached so far this year, 9,950 MW, recorded on July 14.

Solar panels are expected to cover over 40 percent of demand, delivering 4,300 MW, during today’s midday hours, when electricity demand will be highest.

Higher electricity demand will push prices higher on the energy exchange today, the average wholesale electricity price expected to rise by 6.62 percent to 135.58 euros per MWh, up from yesterday’s level of 127.17 euros per MWh.

 

Direct power lines promise to rid producers of grid issues

A regulatory framework for direct electricity lines linking producers and customers has been finalized after a series of necessary revisions were approved by the board at RAAEY, the Regulatory Authority for Waste, Energy and Water.

A direct line, according to the authority’s framework, refers to an electricity line that connects an individual generating plant to an individual customer, or an electricity line that connects an electricity producer with an electricity supply company, which, in turn, directly supplies its own facilities, subsidiaries and eligible customers.

Major-scale consumers such as industrial producers hope direct electricity lines may offer solutions that would overcome grid issues and end their reliance on the grid, thereby ensuring smooth operations for their production plants.

Changes needed to incorporate direct lines into grid

Officials at RAAEY, the Regulatory Authority for Waste, Energy and Water, and power grid operator IPTO are examining adjustments and changes needed to the existing legal framework so that direct-line operations can be incorporated into the country’s grid.

Direct lines are electricity lines that connect individual power plants with individual customers, or electricity lines that connect individual power producers with individual power suppliers directly supplying their own facilities, subsidiaries or selected customers.

At present, direct lines are not incorporated into transmission systems or distribution networks.

Direct lines, according to experts in this domain, can contribute to the decongestion of the grid and, to a certain extent, be part of the solution to the problem of RES grid-injection cuts as they bypass already saturated electricity networks either for transmission or distribution purposes.

 

IPTO formula for RES grid-injection cuts up for consultation

Power grid operator IPTO has offered a description of its temporary RES grid input-curtailing formula it applies, whenever necessary, to ensure grid stability by preventing overloading during periods of lower electricity demand, for consultation on the matter staged by RAAEY, the Regulatory Authority for Waste, Energy and Water.

Based on the operator’s formula, RES output cuts are currently conducted across the board and proportionately. The operator issues orders for RES grid-injection cuts to individual units, groups of units, as well as to private medium-voltage networks through which green-energy plants are connected to medium and high-voltage substations.

The IPTO formula forwarded for consultation is essentially serving as a transitional framework until a permanent set of rules are established. They are expected to feature criteria prioritizing the order of RES units curtailing their grid injections.

IPTO, according to its formula, is also entitled to issue orders to distribution network operator DEDDIE/HEDNO so that the latter may curtail grid injections at projects linked to the distribution network. The two operators have signed a Memorandum of Understanding concerning this matter.

The IPTO text forwarded for consultation also describes an inspection procedure for RES units as well as a penalty system for units not adhering to curtailment orders.

 

IPTO regulatory framework for RES output cuts in the pipeline

Power grid operator IPTO plans to soon work on a regulatory framework intended to configurate RES output cuts, the operator’s CEO Manos Manousakis has told an annual event staged by the Greek Wind Energy Association (ELETAEN).

IPTO will establish a working group with ELETAEN to examine RES grid injection restrictions that will need to be applied whenever necessary to ensure grid stability, the IPTO chief noted.

The prospective regulatory framework is intended to eventually replace a formula already being applied by IPTO for universal and proportional cuts in RES production.

The framework’s criteria will be fashioned in accordance with the grid’s features and needs, essentially meaning RES cuts will vary depending on RES unit technology.

Until the regulatory framework is drafted, IPTO, as a transitional solution, will continue cutting RES grid injections based on the production capacity of respective RES units.

RES investors have underlined the regulatory framework for RES output cuts will affect projected revenues of RES units and, as a result, is already impacting their negotiations with banks for loans concerning new projects.

Cuts on small-scale and large-scale RES units will need to be proportional, rather than based on the operator’s technical capabilities, investors have noted.

 

 

Crete set for hybrid RES station installations offering 120 MW

An energy ministry decision, either imminent or already signed, will pave the way for the installation of hybrid RES stations on Crete offering a total capacity of 120 MW, energypress sources have been informed.

This ministerial decision comes as a follow-up to legislation for a support framework concerning the development of RES facilities equipped with energy storage units on the Greek islands, a plan endorsed by the European Commission.

It is divided into three sections. Crete belongs to the framework’s second section, while the plan’s first section includes small islands, such as Gavdos, not planned to be incorporated with the mainland grid through power grid operator IPTO’s interconnection program. The third section of the plan concerns islands now undergoing interconnection procedures.

The 120 MW in hybrid stations to be installed on Crete will receive tariffs determined administratively rather than through auctions, as the island needs to secure energy sufficiency as soon as possible, leaving no time for competitive procedures.

Of Crete’s 120 MW in prospective hybrid stations, four projects offering a total capacity of 84.45 MW lead the race for securing tariffs, as their licensing procedures have reached an advanced stage.

No changes to RES, energy storage grid injection limit plan

The energy ministry has completed work on a ministerial decision designed to restrict injections into the grid by new RES and energy storage units and plans to sign it off within the next few days as the matter is one of the energy sector’s pending issues the ministry wants to have settled ahead of the May 21 legislative election.

According to sources, formulas proposed by power grid operator IPTO and distribution network operator DEDDIE/HEDNO have been maintained for the ministerial decision.

The ministry’s decision to impose grid injection restrictions was taken in order to make optimal use of available electrical capacity in the transmission and distribution system and ultimately maximize the number of green-energy power plants.

According to the legislative revision, the energy injection restrictions will not be able to exceed 5 percent of the respective annual capacities of units subject to the limit.

The measure will apply to all RES plants under development and possessing finalized connection offers, as well as to green-energy projects for which connection requests have been submitted to either DEDDIE/HEDNO or IPTO. Batteries will also be subject to the injection restriction, regardless of whether they have been incorporated into RES systems or not.

Grid overcomes Easter’s grid overload scare with little action

The country’s grid emerged untroubled by an overload scare concerning the Greek Easter long weekend, a situation prompted by the combination of high RES output, a lower-cost energy strategy planned by the grid operators, and low demand.

Overcast weather in most parts of the country restricted solar energy output, sparing power grid operator IPTO of the need to intervene in order to protect the grid from being overcharged amid low-demand conditions.

Had action been necessary, IPTO planned to orchestrate a highly complex combination of moves that would have included restricting electricity imports, deactivating as many power stations as possible and significantly cutting RES input.

As it turned out, Good Friday was the most challenging day for the grid, as cloudy weather on Easter Saturday and Easter Sunday proved pivotal in helping authorities overcome the overcharge threat.

IPTO, coordinating with distribution network operator DEDDIE/HEDNO, only needed to make limited RES cuts.

Grid facing overload challenge this Greek Easter Sunday

A drop in electricity demand forecast for this coming Greek Easter Sunday, combined with high renewable energy contribution to the energy mix, could prove to be a major test for the country’s grid, as was the case on March 26, when such a combination forced the power grid operator IPTO to cut back on RES production over extended periods in order to protect the grid from voltage overloads as demand plunged to just over 500 MWh for an hour.

Ioannis Margaris, Deputy Chairman at IPTO, highlighted the danger at the recent Power & Gas Forum in Athens, noting the grid is operating on edge and will be tested during the Greek Easter break.

In its weekly outlooks, IPTO had recently forecast a load of 4,390 MW and demand of 1,330 on March 26 at 2pm, before actual demand ended up reaching just over 500 MW.

For this coming Easter Sunday, IPTO has forecast loads of as low as 3,750 MW during the midday hours, meaning the operator is expecting another challenge that could be even trickier than the recent encounter. A day earlier, on Easter Saturday, IPTO has forecast a higher load of 4,800 MW for the midday hours.

To combat the grid-overcharge threat, IPTO plans to orchestrate a highly complex combination of moves that will include restricting electricity imports, deactivating as many generation units as possible and significantly cutting RES input.

IPTO’s Western Corridor power line to be delivered next month

A much-delayed section of a power transmission line project in Greece’s west, dubbed the Western Corridor, for which its developer, IPTO, the power grid operator, was forced to bypass a monastery in the Kalvryta area following objections and legal action taken by its nuns, is expected to be delivered by the end of this month, enabling the wider project’s launch by mid-April, energypress sources have informed.

The new 400-KV double circuit transmission line will enable a high-voltage center in Megalopoli, central Peloponnese, to be connected to 400-KV circuits at Antirio, on the mainland’s southern coast. This will boost the Peloponnese’s existing transmission line connections, currently entirely facilitated by 150-KV transmission lines linked with the wider Athens area and western Greece.

The new Western Corridor transmission line, comprised of aerial, underground and underwater sections, has been 98-percent ready since 2019, the missing link being a section that was originally planned to run by the monastery, at a 500-meter distance. Legal action taken by the Kalavryta-area monastery’s nuns blocked the installation of two pylons, forcing a change of course further away from the monastery.

This section’s development was put on hold for several months as a result of the legal action taken by the monastery.

The project’s launch will not offer additional grid capacity for RES projects. RAE, the Regulatory Authority for Energy, has already factored in the additional increased capacity that would be freed up by the project.

Increased grid capacity will, however, be made available for new RES project additions once the Eastern Corridor, a 400-kV transmission line linking Megalopoli, Corinth and Athens, is completed.

RES project links up 60% in ’22, better grid utilization needed

RES projects ended 2022 having recorded one of the best performances in recent years in terms of new unit connections to the transmission system, adding a green energy capacity of 583 MW, up from a total of 370 MW in 2021, an increase of approximately 60 percent in a year.

This spectacular increase highlights the tremendous level of interest expressed by investors for the development of new RES projects in Greece. It puts the country on the right track towards achieving ambitious green energy targets set for 2030.

According to the revised National Energy and Climate Plan, Greece is striving for a RES energy-mix share of 80 percent by the end of the decade.

Against this backdrop, priority now needs to be given to better utilize the existing network through legislative initiatives that will free up reserved electricity space from stagnant RES projects.

Also, RES project licensing procedures need to be further simplified so that grid projects included in power grid operator IPTO’s 10-year investment program may proceed even faster.

PPC plans to convert idle Kardia units into modern capacitors

Power utility PPC has decided to convert the generators of units III and IV at its Kardia power facility into modern capacitors to provide reactive power regulation, voltage support and power supply services to the system.

According to a tender prepared for this EPC/turn-key project, the conversion is planned to be ready for its commercial launch 15 months following the signing of a contract with the winning bidder.

PPC’s decision to convert the Kardia power generators to modern capacitors is in line with an international trend where conventional power plants are being decommissioned and RES installation capacities continue to increase, the power utility explained.

Large modern generators of conventional power plants that are being idled can remain extremely useful to the power system by being converted into modern capacitors, thereby continuing to provide important support to the country’s power system and grid quality.

More specifically, the intended uses of these capacitors include short circuit power enhancement in weak grids, synchronous inertial response, and grid fault ride-through capability.

‘Stricter enforcement of RES project development plans’

Stricter enforcement of project development schedules for prospective RES units holding connection terms is required, while licenses need to be revoked if project deadlines are not met, power grid operator IPTO deputy president Giannis Margaris has underlined at an energy storage event in Athens.

The official also stressed the need, from now on, for RES units with integrated energy storage facilities, a combination that would enable a greater number of renewable energy projects to be installed and increase the grid’s ability to absorb their output.

As for energy injection restrictions that will be imposed on RES stations and energy storage stations, the IPTO deputy revealed that a relevant study and proposal by the operator will be submitted to the energy ministry within the next few days.

Margaris reiterated the problem of potential saturation faced by the grid, noting Greece’s current installed RES capacity totals 10 GW (5.5 GW – distribution network operator DEDDIE/HEDNO, 4.5 GW – IPTO), plus 11.5 GW in connection term offers.

The resulting total sum is nearly 22 GW, while IPTO’s ten-year development plan envisages 28 GW by 2030, including capacity being created on islands through interconnection projects, Margaris explained, adding that the National Energy and Climate Plan puts the grid capacity objective at 25 GW by 2030, meaning just 3 GW of available capacity remains, despite the strong level of investor interest.

 

Western corridor grid project’s final expropriations announced

Power grid operator IPTO’s “western corridor” grid project, to link the Peloponnese with the ultra high voltage network, has reached its final stretch following the energy ministry’s announcement of an additional expropriation procedure concerning private land needed for the development of the network from Patras to Megaloupoli.

The expropriations will enable the completion of an alternative route for an overhead transmission line that detours Agioi Theodoroi, a monastery in the Kalavrtyta area, northern Peloponnese, following its objections, three years ago, to the project running by the monastery.

The project’s completion will enable power utility PPC’s Megalopoli V power station, a 400-kV capacity unit, to help cover the country’s electricity demand.

The additional expropriation plan concerns two expanses, one measuring a total of 5,577 square meters, the other 915 square meters.

The first expanse, comprising a total of 30 plots in a wider area of Patras, northwestern Peloponnese, is planned to host a transmission line running a total length of 6.77 km.

The second expanse, made up of eight plots in the Kalavryta area is planned to host a transmission line running a length of 1.98 km.

The energy ministry decision also paves the way for the development of a transmission line from Patras to Megalopoli, in central Peloponnese, on land covering 13,077.37 square metres in the wider Kalavryta area.

 

RAE delivers grid emergency action plan, listing 16 dangers

RAE, the Regulatory Authority for Energy, has forwarded, for consultation, an emergency action plan for Greece’s electricity sector, listing a total of 16 possible danger scenarios, two of which, a disruption of Russian natural gas supply and cyberattacks at crucial energy infrastructure, are regarded as highly probable and intolerable.

The aforementioned dangers, along with natural disasters, such as extreme weather conditions, would prompt extended outages, putting lives at risk and resulting in a leakage of information crucial for national security, according to the action plan, which RAE prepared with support from power grid operator IPTO.

Other dangers included in this list include equipment failure, floods, heat waves, snow storms, forest fires and human error.

The action plan’s proposed responses, to avoid grid collapse or even destruction, include load reductions, pumped storage station and electricity export disruptions, activation of reserve solutions and consumption-reduction mechanisms, and, as a last resort, electricity supply disruptions for businesses and households.

Fast-track transmission project licensing to slash time needed

The energy ministry is preparing a new set of rules for fast-track licensing of grid transmission projects, the aim being to slash, by 75 percent, the overall time required for issuance of licenses concerning transmission projects deemed essential for the updated National Energy and Climate Plan, sources have informed.

The revisions, adopting proposals forwarded by power grid operator IPTO, promise to accelerate and simplify licensing procedures for grid transmission projects that have remained complex and too long for many decades. Under the current rules, licenses take as long as five years to be issued.

Environmental permits, just part of the overall licensing procedure, take at least 24 months to be completed. This time period is expected to be restricted to a maximum of seven months once the licensing procedure for grid transmission projects is simplified.

Also, the time needed for related building permits will be reduced from six months, at present, to just 15 days, sources informed.

The new licensing framework for grid transmission projects will serve as an integral part of the national plan for RES management, IPTO sources noted.

 

Green power injection cuts as a result of network saturation

Green power injections into the grid will be cut by as much as five percent, when required for the system’s safe operation, as a result of the grid’s saturation, according to information obtained by energypress on an imminent legislative revision concerning non-guaranteed absorption of RES-based electricity production.

This revision will be included in a draft bill being prepared by the energy ministry for a second round of RES licensing simplification as well as framework for the development of energy storage facilities.

The ministry’s draft bill is expected to be forwarded for consultation within the next few days, most probably next week, before being submitted to parliament for ratification.

The RES injection cuts will concern the country’s entire grid, the objective being to create grid space for as many RES units as possible in the upgraded transmission network to be developed by power grid operator IPTO projects planned until 2030.

 

 

Operator starts grid substation upgrades, to offer RES units 1,750 MW

Power grid operator IPTO has begun upgrading low and medium-voltage substations around the country to facilitate new RES unit connections to the grid.

The overall effort, expected to create additional grid capacity for RES units totaling 1,750 MW, is still at its early stages. So far, two of 33 substation upgrades have been completed, according to energypress sources.

The upgrade is budgeted at 30 million euros, of which 12 million euros is planned to be provided through the recovery fund.

The 1,750 MW in RES unit connections to be enabled by the operator’s substation upgrades represents nearly 40 percent of a 4,640-MW RES capacity estimated to be needed for the National Energy and Climate Plan to reach its energy-mix goals.

The upgrade work promises to increase substation capacity by 250 MVA in the Peloponnese and Epirus regions, by 100 MVA in the wider Athens area, by 200 MVA in central Greece, and by 250 MVA in north and northeastern Greece’s Macedonia and Thrace regions.

All contracts for the substation upgrades are expected to have been awarded by the fourth quarter in 2023, while all work is scheduled to be completed by the fourth quarter in 2025.

 

IPTO grid projects set to receive €195m in recovery fund support

Two major grid projects planned for development by power grid operator IPTO in order to boost the country’s grid capacity and energy security are set to receive a total of 195 million euros in funding through the recovery and resilience fund, following a joint ministerial decision by the energy and finance ministries.

The joint ministerial decision secures financial support, through the recovery and resilience fund, for the fourth and final phase of the Cyclades interconnection and reconstruction of the Koumoundourou high-voltage center along with a 400kV line linking the facility with the Corinth high-voltage center, west of Athens.

The two projects are budgeted at a combined total of 482 million euros. The fourth phase of the Cyclades interconnection, budgeted at 393 million euros, is expected to receive 165 million euros through the recovery and resilience fund.

The Koumoundourou high-voltage center, whose budget is estimated at 89 million euros, is expected to receive 30 million euros in financing through the recovery and resilience fund.

IPTO investments, including island grid links, up sharply over past 4 years

Investments made by power grid operator IPTO in the first nine-month period of 2021, for the development of crucial grid projects, including island grid interconnections, as well as upgrades of existing facilities, reached 241.8 million euros, exceeding, by more than 100 million euros, amounts spent during equivalent periods in any of the years prior to the operator’s split from power grid operator PPC in June, 2017, through an ownership unbundling procedure.

Since 2018, IPTO’s investments in grid projects have reached 1.12 billion euros, more than double the amount tallied in the preceding four-year period between 2013 and 2016, when a total of 489 million euros was invested.

The operator’s investment strategy has focused on accelerating grid interconnection projects serving Aegean Sea islands, thereby ending their energy isolation while also reducing the environmental and financial impact of local high-polluting and costly generators used on non-interconnected islands.

RAE launches inquiry into ‘western corridor’ grid delay

RAE, the Regulatory Authority for Energy, has launched an enquiry into the delay of Greece’s “western corridor” power grid project, now behind schedule and posing a serious threat to the national grid’s overall operating ability.

The corridor’s delayed delivery has been linked to objections raised by a small group of nuns at a monastery in the northern Peloponnese’s Kalavryta area, opposing the installation of several  remaining pylons needed for the project’s completion.

Power grid operator IPTO has provided RAE with an extensive report, hundreds of pages long, detailing the project’s entire course, following a request made by the regulatory authority.

The “western corridor” is now behind schedule as envisaged in the operator’s 10-year development plan.

RAE has also requested an explanation from IPTO as to why it did not promptly inform the regulatory authority on the project’s delay, given that it was full aware of the nearby monastery’s stance, so that possible alternative solutions could be explored.

IPTO contends all its actions, from the moment the monastery-related problem arose, have been carried out in accordance with energy ministry instructions, as is the case with all matters of strategic importance.

 

IPTO preparing new formula for grid capacity availability

Power grid operator IPTO is preparing revisions to a framework for incoming RES project applications, including, as the first major change, a new formula calculating available grid capacity, the operator’s deputy director Giannis Margaris (photo) has noted during an online update.

This new formula will factor in all offers made by the operator in the market as well as new RES projects, both in development and at the planning stage, Margaris pointed out.

IPTO expects to have finalized the formula within April, before presenting it to the energy ministry and then the market.

The operator is also preparing a tracking system that will enable investors to be updated, at any given moment, on the progress of their connection term applications, the IPTO deputy informed.

These upcoming changes come in the wake of a flood of group applications for small-scale RES projects, seeking direct links to the grid, as well as complaints by ABO Wind over IPTO’s delay in examining the company’s connection term applications.

Such objections serve as an opportunity for a reexamination of the grid entry framework, Margaris noted.

The problems that need to addressed concern the licensing and grid entry frameworks, not grid capacity, neither now nor until 2030, the IPTO deputy stressed.

Blackout threat remains, operator staff shortage exposed

The country’s power transmission and generation systems have met heightened electricity demand prompted by extreme weather conditions, including heavy snowfall around the country over the past couple of days, but the threat of power outages still remains.

The weather system, bringing some of the heaviest snow seen in Greece in years, exposed a personnel shortage at distribution network operator DEDDIE/HEDNO, whose medium and low-voltage networks suffered extensive damages caused by collapsing trees.

The operator’s personnel have struggled to cope with the challenge of repairing numerous damaged transmission lines. Approximately 1,000 trees reportedly collapsed onto power lines in Athens, causing power cuts at thousands of homes in the city’s north and east.

Between 500 and 600 experienced technical staff members have left IPTO over the past three years without being replaced, which has left the operator vulnerable to extreme conditions, union members have pointed out.

IPTO crews are currently working around the clock to meet repair demands, while 60 of the company’s technicians stationed in other parts of Greece have been brought into Athens to reinforce crews covering the capital.

Energy minister Kostas Skrekas yesterday visited power grid operator IPTO’s national control center where he was updated on the transmission system’s current situation, electricity generation levels, as well as the operator’s projections for the next few days.

“So far, the transmission system has responded well to the challenges of the Medea storm front,” IPTO’s chief executive Manos Manousakis informed the minister. “But the duration of the extreme weather conditions carries dangers,” he added.

Athens, Peloponnese power supply reinstated after fire damage

Power supply to Athens and Peloponnese areas affected late last night by a fire that broke out at a key grid facility west of Athens, in the Aspropyrgos area, was swiftly reinstated after power grid operator IPTO technicians along with distribution network operator DEDDIE/HEDNO crews took action to repair damages at the grid facility.

Earlier today, the ministry assured that the environment had not been impacted after a team of environmental authorities visited the fire-damaged facility in Aspropyrgos to measure the amount of pollution in the air.

Electricity supply to Athens areas was mostly reinstated within 40 minutes while power transmission to the Peloponnese was back within 55 minutes.

The cause of the fire at the Aspropyrgos power facility is still being investigated.

Central Athens, suburbs in the west and south, as well as areas on the capital’s western outskirts, all experienced blackouts late Sunday night. In the Peloponnese, Corinth, Nafplio, Tripoli, Sparta and Kalamata were all affected. Three islands close to Athens, Aegina, Poros and Agistri, also had their electricity supply cut.

DEDDIE/HEDNO crews are still working intensively to reinstate medium-voltage supply at isolated locations in the areas that were affected.

 

 

Grid upgrade restarts, enabling Peloponnese RES development

A strategically important 400-kV western-corridor grid upgrade project reaching Megalopoli, central Peloponnese, to greatly increase electricity transmission to and from the Peloponnese, enable further development of RES facilities and gas-fueled power stations in the region and ensure voltage stabilization for the country’s southern grid, is now nearing completion following a delay of more than a year prompted by objections from a nearby monastery in Kalavryta, northern Peloponnese.

Contractor crews have now returned to work without resistance from nuns at the Kalavryta’s Agion Theodoron monastery, who previously objected, contending the construction activity, half a kilometer away, impacted the monastery’s tranquility.

Work on the project, budgeted at 110 million euros, had been brought to a standstill for nearly 14 months. The project contractor estimates construction of the project’s two remaining transmission towers will require between 60 to 80 days.

Overall, the project was blocked for a total of 12 years before work finally began in 2018 for completion in 2020.

 

Distributor DEDA wants swifter delivery of operator projects

Gas distributor DEDA, covering all areas around Greece except for wider Athens, Thessaloniki and Thessaly, wants gas grid operator DESFA to complete key grid projects six months sooner so that the distributor may proceed with tenders for distribution network expansion projects.

DESFA needs to construct metering/regulating stations in Livadia, central Greece, as well as the Kastoria and Kozani regions in northern Greece.

DEDA called for a swifter delivery of these stations in public consultation staged for DESFA’s ten-year development plan covering 2021 to 2030.

DESFA plans to complete work on the Livadia metering/regulating station in March, 2022. However, DEDA has requested the station’s completion six months earlier, explaining it will not be able to distribute to consumers in the area until the station’s construction has been completed.

DEDA also called for the Kastoria and Kozani stations to be complete six months earlier, citing the same reasons.

In addition, DEDA requested the development of a natural gas compressor station close to the areas of Karpenisi, central Greece, and Amfissa, slightly southeast, to facilitate CNG supply to these regions.