KAPE

Gov’t lowering NECP goals to avoid economic slowdown

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The government has decided to slow down its energy-transition drive through revisions that will set more realistic objectives and more conservative policies, in accordance with the country’s fiscal margins and the public’s ability to cope.

An investment plan worth 192 billion euros, the equivalent of Greece’s GDP, that had made up the National Energy and Climate Plan forwarded to the European Commission in December will now be greatly toned down.

It will essentially be replaced by a new and far more reserved NECP of more accurate projections, as well as changes to all energy-transition technologies, except for renewables, which have already achieved 2030 targets as of last year.

Energy minister Thodoris Skylakakis offered an indication of changes in the making at an event yesterday staged by CRES, the Center for Renewable Energy Sources and Savings, locally acronymed KAPE.

CRES/KAPE will be involved in the preparation of the revised NECP, planned to be delivered to the European Commission by June.

If the current NECP’s targets were left unchanged for electromobility, energy savings at buildings, subsidies promoting the replacement of old household appliances with new systems, hydrogen projects, and other technologies, then the Greek economy would grow at an average rate of just 0.6 percent until 2050, officials pointed out at yesterday’s CRES/KAPE event.

New RES spatial framework identifying wind energy areas

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An energy ministry committee working on Greece’s updated spatial framework for RES facilities, an effort now into its second stage, has been tasked with accurately identifying the country’s Wind Priority Areas (PAP) and Wind Suitability Areas (PAK).

The committee plans to identify these areas in collaboration with the Center for Renewable Energy Sources (KAPE/CRES) and RAE, the Regulatory Authority for Energy, the aim being to redefine exploitable wind energy potential in PAP and PAK areas, a decisive factor for the design of wind energy installations.

The energy ministry intends to consider the inclusion of areas for which strong investment interest concerning RES installations has been expressed.

The current RES spatial framework’s ground coverage limits for PAP and PAK areas, standing at 8 and 5 percent per municipality, respectively, will be adjusted to ensure RES installation capacities in PAP areas are greater than those in corresponding PAK areas.

As for the solar energy sub-sector, revisions to be considered by the committee include reducing the maximum soil coverage of PVs on farmland to 3 percent per region.

Furthermore, the revised framework’s new regulations for offshore wind farms will need to be adjusted to accurately reflect those of the National Offshore Wind Farm Development Program. This initiative will be conducted in cooperation with EDEYEP, the Hellenic Hydrocarbons and Energy Resources Management Company.

Delivery of the updated RES spatial framework has been given a deadline extension until the end of March, 2024, based on a recent energy ministry decision.

Small wind turbine connection applications in early 2022

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Local authorities are expected to have approved specific small-scale wind turbine models with capacities of up to 60 KW by the end of the year, paving the way for the market entry of endorsed models shortly afterwards, sector players anticipate.

Individuals interested in installing small-scale wind turbines are expected to be able to start lodging their connection-term applications to distribution network operator DEDDIE/HEDNO by early 2022.

Specific small-scale wind turbine models will need to be certified by KAPE/CRES, Greece’s Centre for Renewable Energy Sources and Saving as a condition for market entry. Many firms appear set to apply for KAPE/CRES certificates concerning various small-scale models.

The certification requirement for small-scale wind turbine models was included in a ministerial decision delivered last July, leading to the legislation of a licensing procedure covering installation and connection of such units.

The energy ministry has permitted a modest capacity for this RES technology. Individuals will be able to install small-scale wind turbine models for net metering, virtual net metering, as well as the sale of output to the network through fixed-tariff agreements whose price levels were determined by a ministerial decision in March, 2020.

This ministerial decision added small-scale wind turbines to RES unit categories for fixed tariff remuneration, at a price level of 157 euros per MWh for the technology.

This price level will be reduced by 3 euros for every 4 MW of small-scale wind turbines installed in Greece. Also, sale agreements will be suspended once this technology’s installed capacity has reached 20 MW.

Fast-track procedures pursued for green island pilot project

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Fast-track licensing procedures deviating current regulations will be pursued by authorities to transform Agios Efstatios, colloquially referred to as Ai Stratis, a small island in the northeast Aegean, into a green island with RES production systems covering 85 percent of local energy needs for a population of less than 300.

This renewable energy pilot project, organized and developed by KAPE, Center for Renewable Energy Sources and Saving (CRES), with the energy ministry’s secretary-general Alexandra Sdoukou is expected to be completed in two years.

A RES hybrid station, telethermal unit converting excess RES output into thermal energy stored in hot water tanks, and a telethermal network fully covering local needs will all be developed.

 

Floating wind turbines tender likely in second half of 2020

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Greece is making plans to begin installing floating wind turbines and could introduce this renewable energy technology by the second half of next year, the energy ministry’s secretary general Mihalis Veriopoulos (photo) has announced.

The official, who took part in a recent related workshop co-organized by the Norwegian Embassy in Athens and ELETAEN, the Greek Wind Energy Association, said the energy ministry intends to soon select one of the sea regions defined by an older study and stage a pilot tender in the second half of 2020.

KAPE/CRES, the Center for Renewable Energy Sources and Saving, established 12 offshore zones in a study dating back to 2010. One of these will be selected for the pilot tender.

Investors backed by wind turbine technology suitable for Greece’s deep waters are expected to participate in the tender.

Floating wind turbines remain an expensive technology that is still at a relatively nascent stage. The objective is to reduce this technology’s energy production cost to a level of between 40 and 60 euros per MWh by the end of the next decade, Arne Eik, a representative of Norwegian firm Equinor, told the Athens workshop.

Floating wind turbines will significantly contribute to Greece’s effort to reach RES objectives, Dr. Dionysis Papachristou, a sector specialist heading the Public Relations and Press Office at RAE, the Regulatory Authority for Energy, told the event.

Panagiotis Ladakakos, director at ELETAEN, noted floating wind turbines promise to greatly contribute to the country’s GDP growth. Turbine technology constitutes just 40 percent of the overall cost, meaning that the other 60 percent, including floating platforms and anchoring systems, can be developed locally, Ladakakos stressed.

 

Energy cooperatives draft bill expected next month

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Legal framework to permit the establishment of energy cooperatives, a move essentially offering energy consumers the right to become shareholders in ventures, is being swiftly prepared by the energy ministry, working closely with RAE, the Regulatory Authority for Energy, LAGIE, the Electricity Market Operator, HEDNO, the Hellenic Electricity Distribution Network Operator, and KAPE, the Center for Renewable Energy Sources and Saving.

A range of officials dealing with economic, technical, scientific and other aspects are contributing to the preparations. The draft bill is expected to be ready for Parliament next month.

Besides launch and operating regulations concerning energy cooperatives, the draft bill in the making is also expected to encourage the participation of local communities. According to energypress sources, it will enable two types of energy cooperatives, local energy communities and renewable energy communities.

Local energy communities will be able to develop and lease distribution networks, while renewable energy communities will be able to produce, consume, store and sell renewable energy without being subject to disproportionate charges that do not reflect actual costs.

The government intends to incorporate its energy cooperatives initiative into its social policy by promoting the option as a form of protection for small investors against bigger players.

Market officials believe the energy cooperatives could reignite investment activity in the RES sector and also offer support to market tools such as net metering, virtual net metering and smart power meters.

Energy cooperatives already exist in a number of European countries, including Germany, Belgium and Denmark.