Power utility PPC is holding talks with two, possibly three, industrial players for new electricity supply agreements in the form of long-term power purchase agreements (PPAs) of up to ten years following the expiry, on January 1, of high-voltage supply deals.
PPC and the industrial enterprises involved in these negotiations are currently discussing the details of terms and fixed price levels, sources informed.
The energy ministry’s intention to exempt electricity producers from a wholesale electricity market cap, as long as they have established PPAs with energy-intensive consumers for physical delivery of power quantities, has served as a catalyst for the ongoing negotiations.
Energy minister Kostas Skrekas is awaiting the European Commission’s approval for this exemption.
The industrial players discussing prospective PPAs with PPC cannot fully cover their energy needs through their own electricity production facilities, sources noted.
The current energy crisis highlights the energy-price volatility risk faced by industrial players and the importance of fixed electricity prices for stability and security to their operations, officials pointed out.
PPAs promise to offer industries energy-cost stability during times of great uncertainty, they added.