PPC retail market share remains high, 64.37% in August

Power utility PPC’s retail electricity market share remains high, capturing 64.37 percent in August, down slightly from the previous month’s 65.25 percent, a latest report issued by the Greek energy exchange has shown.

The slight contraction does not represent a wider change in the overall market, but, instead, has been attributed to a market share gain by one supplier, Elpedison, a joint venture involving petroleum group ELPE (Hellenic Petroleum) and Italy’s Edison, following ELPE’s decision to stop receiving high-voltage electricity from PPC for supply from Elpedison. As a result, Elpedison’s retail electricity market share increased to 5.69 percent from 4.44 percent, placing the company in third place among the independent electricity suppliers.

PPC has essentially maintained recent market share gains in the retail market’s low and medium-voltage categories following power bill hikes made by independent suppliers as a result of their decisions to trigger wholesale cost-related clauses included in their electricity bills.

The entire field of independent electricity suppliers increased their overall share to 35.63 percent in August from 34.75 percent in July.

Protergia, a member of the Mytilineos group, led the pack of independent suppliers with a 7.67 percent market share in August, marginally below July’s 7.85 percent. Heron followed in second place with 6.4 percent in August from 6.77 percent in July and Elpedison was ranked third with aforementioned figures. NRG ranked fourth with 4.42 percent from 4.26 percent, while Watt and Volt was ranked fifth with an unchanged market share of 2.67 percent. Volterra was sixth with 2.05 percent from 2.07 percent, Fysiko Aerio Attikis seventh with 1.87 percent from 1.94 percent, Zenith eighth with 1.56 percent from 1.55 percent, Volton ninth with 1.46 percent from 1.43 percent and KEN tenth with 0.75 percent, unchanged from July to August.

Lignite area €5bn upgrade plan presented at cabinet meeting

The planned upgrade of Greece’s lignite-dependent areas – an effort of unprecedented domestic ambition budgeted at 5 billion euros that includes emblematic projects such as a hydrogen-producing facility, the country’s first; major-scale telethermal units; a 155-km natural gas pipeline in the north;  major-scale solar farms, including a 200-MW solar farm in Kozani being developed by Mytilineos for PPC Renewables; and the norther section of the E65 highway – will be presented at a cabinet meeting today.

A related draft bill includes provisions for the establishment of a special purpose vehicle for the overall effort, named Metavasi SA, meaning transition. The SPV will take over 16,400 hectares of power utility PPC’s lignite-related land, including fixed assets, except for property to be kept by the utility for its own green investments.

This transfer of 16,400 hectares represents 66 percent of PPC’s total land assets, currently measuring 24,700 hectares.

The Metavasi SPV will assume responsibility for the upgrade of the 16,400 hectares of land, currently hosting PPC lignite mines and lignite-fired power stations.

 

Mytilineos begins work on PPC Renewables 200-MW solar farm

The Mytilineos group’s Renewables & Storage Development Business Unit (RSD) has begun work on the development of a 200-MW solar farm in Kozani, northern Greece for PPC Renewables, a power utility PPC subsidiary.

The project will be added to two smaller solar PPC Renewables farms, each offering a capacity of 15 MW, which have already been completed by their respective developers, Mytilineos and GEK TERNA, for an overall capacity of 230 MW, Greece’s biggest solar energy facility under construction at present.

Mytilineos was declared preferred bidder last December in a tender staged by PPC Renewables. Parliamentary approval of the agreement in April paved the way for the contract’s finalization and commencement of work.

Mytilineos has been tasked with the design, installation and delivery of the solar farm, as well as its connection with two 150kV-cpaacity substations.

The project’s development cost was reduced to 83.7 million euros through the tender, down roughly 30 percent from an initial budget of 110 million euros, taking the facility’s energy production cost to 42,000 euros per MW, one of the most competitive rates in Europe.

The solar farm, to occupy approximately 500 hectares, will be comprised of bifacial panels with single-axis trackers. The RES facility will have an annual production capacity of 352 GWh, capable of covering the needs of approximately 75,000 households.

PPC Renewables, at a RES auction, has secured a tariff of 49.11 euros per MWh for the project’s output.

The project’s delivery has been given a 42-month period. PPC Renewables is striving to increase its installed RES capacity to 500 MW by the end of 2022.

 

Power producer LNG orders unaffected by higher gas prices

Increased natural gas prices in international markets have not restrained LNG imports at gas grid operator DESFA’s Revythoussa islet terminal just off Athens, data provided by the operator has shown.

LNG orders at the Revythoussa terminal for the two-month period covering August and September, placed primarily by power producers, seeking international market opportunities to subdue fuel costs, as well as gas company DEPA, total more than 742,000 cubic meters, the DESFA data showed.

This quantity represents six LNG tanker loads, ordered by as many key domestic natural gas market players for the two-month period.

Two loads, the first for power utility PPC and Motor Oil Hellas, and the second for Elpedison, arrived during the first half of August. A third tanker carrying LNG orders placed by Mytilineos and Heron will follow this month, bringing August’s LNG orders total at the Revythoussa terminal to 376,000 cubic meters.

Three more LNG shipments are scheduled to arrive at the Revythoussa facility in September. The first of these concerns orders placed by PPC and Motor Oil Hellas totaling 146,000 cubic meters. The second shipment will be for a 73,000-cubic meter order placed by DEPA, while the third concerns a 147,000-cubic meter order made by Elpedison.

Natural gas prices have remained high in international markets, currently about triple the price of levels in March.

Listed players plan 16 GW in RES projects worth €16bn

Greece’s listed energy groups, alone, plan to invest a total amount of 16 billion euros over the next decade for the development of green energy projects representing over 16 GW, big figures highlighting the anticipated dominance of the green energy market in the years to come as the country transitions to cleaner energy sources and decarbonizes.

Investments are already anticipated in mature RES technologies, namely wind and solar energy facilities, while, once market and regulatory conditions allow, major investments will be made in energy storage as well as offshore wind farms.

Terna Energy, market leader in Greece’s RES market, plans to reach an installed capacity of 3,000 MW in the next five years. The company, the biggest wind energy player in Greece and southeast Europe, is currently developing wind energy projects representing 400 MW while a further 63 projects are nearing maturity.

Power utility PPC is making impressive RES market progress through its subsidiary PPC Renewables. PPC, according to the company’s updated business plan, will make investments totaling 3.4 billion euros until 2023, 34 percent of this amount concerning RES investments.

Green energy is also a key aspect in the Mytilineos group’s investment plans over the next few years. Its solar energy projects portfolio, representing 1,480 MW, is one of the biggest in Greece. The company possesses 300 MW in RES projects either operating, under construction or set for construction, as well as a further 100 MW headed for final investment decisions by the end of 2021. Mytilineos also plans to develop 20 energy storage projects, each with a 50-MW capacity.

Hellenic Petoleum (ELPE), both acquiring and developing RES projects, is aiming for a 2-GW RES portfolio by 2030.

Motor Oil Hellas recently acquired 11 operating wind farms with a total 220-MW capacity as well as a 20-MW facility still under construction from private equity fund Fortress. MOH is aiming for an operating RES capacity of 364 MW by the end of 2022 as well as a medium-term RES goal of between 500 to 600 MW.

Ellaktor is planning investments worth 1 billion euros for the development of 900 MW through its partnership with Portugal’s EDPR.

Contractor Intrakat also aims to push ahead with a one billion-euro RES investment plan. The company has joined forces with Gaia Anemos, possessing wind and PV production licenses representing approximately 1 GW, plus RES expertise.

RF Energy has reached an investment decision to develop an offshore wind farm with a capacity of 498.15 MW northeast of the island Limnos. The project is budgeted at two billion euros, according to the company.

 

 

 

ELPE leaving PPC for supply agreement with Elpedison

Hellenic Petroleum (ELPE), until now receiving its high-voltage electricity from power utility PPC, appears set to end this association to establish a new supply deal with energy firm Elpedison, the petroleum group’s own 50-50 joint venture with Italy’s Edison.

If this move is confirmed, Elpedison’s retail market share will make a gain to nearly 1.5 percent.

PPC, currently involved in talks with industrial consumers for new high-voltage supply deals until 2023, is likely to lose another big producer, sources informed, without elaborating.

Last month, the power utility officially reached a supply agreement with Aluminium of Greece, a member of the Mytilineos group, the final deal between the two enterprises following a 60-year association.

Barring one case, in which considerable ground still needs to be covered, PPC’s other negotiations will industrial consumers are believed to be nearing agreements, sources informed.

PPC and the industrial consumers still need to agree on the extent of a tariff increase, expected to be set at approximately 20 percent. The new agreements are not expected to offer consumers discounts for punctual payments.

Other details being discussed include how the respective profiles of industrial consumers will influence tariff agreements. Take-or-pay clause details are also still being negotiated.

This round of deals between PPC and industrial consumers will be the last involving fixed tariff agreements. From 2023 onwards, industrial consumer supply agreements with PPC will be subject to floating rates pegged to wholesale market costs.

Conditions for power purchase agreements (PPAs) between industrial consumers and RES producers are expected to have ripened by 2023. A related energy exchange platform facilitating such agreements is expected to be ready within 2022.

PPC loss of low-voltage customers slows down in 2Q

Data for the year’s second quarter has shown a slowdown in power utility PPC’s market share contraction rate in the low voltage category.

PPC’s reduced loss of customers in the second quarter has been primarily attributed to the utility’s modernized commercial policy and a more focused marketing strategy.

Between April and June, a total of 68,000 households and small businesses, a monthly average of just over 22,000, left PPC for other electricity suppliers, down from a monthy exit rate of between 30,000 and 35,000 over the past year and a half.

The higher exit rate of PPC customers was maintained until the end of the first quarter, when 103,000 customers left the utility over the three-month period.

PPC represented 5.1 million of the country’s 6.6 million low-voltage connections around the country in the second quarter, a 75.1 percent share.

Low-voltage customers represented by independent electricity suppliers reached the level of 1.5 million for the first time.

Among the independent suppliers, Protergia, a member of the Mytilineos group, was at the forefront, according to second quarter data, with a 3.94 percent share, followed by Elpedison (3.67%), Heron (3.32%), Watt & Volt (2.6%), Zenith (2.48%), Volton (1.75%), NRG (1.99%), Aerio Attikis (1.5%) and Volterra (0.57%).

Energy transition proving to be expensive, 30% price hike seen

Unprecedented price rises in the wholesale electricity market, up by as much as 80 percent between July 1 and August 8 and tripled since the beginning of the year, will inevitably impact consumers with imminent increases of approximately 30 percent, market officials have told energypress.

The average wholesale electricity price for this year has been estimated at between 80 and 90 euros per MWh, up 30 percent compared to levels in 2019, used as the base year as price levels in pandemic-hit 2020 were distorted by the unprecedented conditions.

Households and businesses should soon expect elevated electricity bills as a result of wholesale-related clauses triggered by suppliers in response to the sharp wholesale electricity price increases recorded since early July.

These developments, largely attributed to European Commission policies implemented to combat climate change, have prompted comments by key energy market officials, including Evangelos Mytilineos, chairman and chief executive of the Mytilineos group, who recently warned “the energy transition will be expensive.” Another official noted this is a “new era of higher-priced electricity.”

CO2 emission right costs have more than doubled since the beginning of the year, reaching levels, at present, of between 54 and 55 euros per ton.

Natural gas prices have doubled since January at the TTF Dutch trading platform, to 42 euros per MWh.

Greek market officials widely acknowledge the country has no other option but to gradually end its reliance on lignite and fossil fuels, while stressing, however, the need for swifter legislative revisions facilitating quicker RES penetration and energy storage development.

 

 

Mid-October bidding deadline for assets leased to Larco

Privatization fund TAIPED will, according to sources, set a mid-October deadline for binding bids concerning the privatization of the Larymna smelting plant, the Larymna and Loutsi mines and relevant mining rights and other assets owned by the Hellenic Republic and currently leased to “LARCO General Metallurgical & Mining Company S.A.” (LARCO).

Six interested parties are participant in the tender. These are:

  1. COMMODITY & MINING INSIGHT IRELAND LIMITED
  2. GEK TERNA S.A. – AD HOLDINGS AG
  3. MYTILINEOS S.A.
  4. SOLWAY INVESTMENT GROUP LIMITED
  5. THARISA PLC
  6. TRAFIGURA GROUP Pte Ltd

PPC industrial supply deals last act ahead of market share dive

Power utility PPC’s latest supply agreements with industrial consumers, finalized just days ago with steel producer Viohalco, Titan cement and building materials group, as well as all other industrial players, following a preceding deal with Aluminium of Greece, a member of the Mytilineos group, represent, barring unexpected developments, the final act ahead of major market changes that will dramatically reduce the utility’s market share beyond December 31, 2023, when these new high-voltage supply agreements expire.

They are PPC’s last industrial supply agreements offering fixed tariffs. As of 2024, PPC will offer indexed tariff prices that will be pegged to the wholesale electricity market’s monthly clearing price in the day-ahead market.

This change will most likely prompt industrial consumers to seek alternative electricity supply solutions.

Aluminium of Greece has already done so, as it plans to receive electricity from the Mytilineos group’s new natural gas-fired power plant being developed in the Agios Nikolaos industrial zone in Viotia’s Agios Nikolaos area, northwest of Athens, to be direct cable-linked to the Aluminium of Greece facility, as well as through RES production, ending a 60-year association with PPC.

At present, PPC sells an annual electricity amount of between 63 to 64 TWh, of which approximately 5 TWh concern high-voltage electricity. If energy-intensive consumers leave PPC from 2024 onwards, to avoid indexed tariffs, the utility’s electricity sales will drop to between 58 and 59 TWh, and, by extension, its retail market share will contract to about 50 percent from 64 percent at present.

This is the state-controlled utility’s aim as an evenly divided electricity market in which PPC will hold a market share of about 50 percent and the independent suppliers the other 50 percent will end the DG Comp’s frequent interventions over the utility’s excessive retail market share.

The energy ministry is aiming for green-energy power purchase agreements (PPAs) to cover 20 percent of industrial electricity demand by next year.

 

PPC near deals with industrial customers after Aluminium of Greece agreement

Power utility PPC, which officially reached a supply agreement last week with Aluminium of Greece, a member of the Mytilineos group, is close to finalizing agreements with all other industrial consumers. Announcements of new deals could be imminent.

PPC and the industrial consumers still need to agree on the extent of a tariff increase, expected to be set at approximately 20 percent. The new agreements are not expected to offer consumers discounts for punctual payments.

Other details being discussed between the two sides include how the respective profiles of industrial consumers will influence tariff agreements. Take-or-pay clause details are also still being negotiated.

This round of deals between PPC and industrial consumers will be the last involving fixed tariff agreements.

From 2023 onwards, industrial consumers establishing supply agreements with PPC will be subject to floating rates pegged to wholesale market costs.

Industrial tariffs will fluctuate in accordance with monthly clearing prices at the energy exchange’s day-ahead market.

PPC’s recent agreement with Aluminium of Greece, covering July 1, 2021 to December 31, 2023, is the last following a 60-year association between the two companies. The Mytilineos group has set eco-friendly objectives for aluminium production.

Beyond 2023, Aluminium of Greece will receive electricity from the Mytilineos group’s new natural gas-fired power plant being developed in the Agios Nikolaos industrial zone in Viotia’s Agios Nikolaos area, northwest of Athens, to be direct cable-linked to the Aluminium of Greece facility, as well as through RES production.

PPC, industrial consumers nearing 2021-23 supply deals

Power utility PPC’s ongoing negotiations with industrial consumers for new two-year supply deals covering 2021 to 2023 are making progress in a number of cases, where deals are close to being finalized, while, in others, work is still needed to bridge gaps.

Tariff increases of approximately 20 percent are expected, while discounts for punctual payments by customers will not be incorporated into the new two-year deals, it has become apparent.

The talks are now focused on other matters, still unresolved, including the method applied by the power utility to shape customer profiles influencing respective tariff levels.

The percentage of a take-or-pay clause to be applied on monthly electricity consumption levels, or discrepancies from agreed consumption levels, is another matter that remains unresolved.

At this stage, PPC appears likely to accept a more flexible solution compared to its initial proposal.

PPC has already reached an agreement, until 2023, with the vertically integrated Mytilineos group’s Aluminium of Greece, the final deal in a 60-year association.

As of 2023, PPC’s pricing policy for energy-intensive consumers will change as tariffs will no longer be fixed but linked to wholesale electricity costs.

Lignite units to exit in August, according to IPTO plan

The introduction of a demand response mechanism in the balancing market within 2021 is projected in a Market Reform Plan, according to a power grid operator IPTO document that has been forwarded for public consultation until Wednesday.

The document notes that a related grid sufficiency study takes into account structural interventions in wholesale markets. These interventions have been included in the Market Reform Plan.

According to the reform plan, the demand response’s participation in markets is expected to be feasible as of the fourth quarter this year.

The new grid sufficiency study will be attached to the Market Reform Plan, whose draft copy has already been forwarded to Brussels, as previously reported by energypress.

The purpose of the study, along with a road map for wholesale market revisions, will be to support the need for a Strategic Reserve, during a first phase, as well as a Capacity Reserve Mechanism (CRM), planned to succeed it.

Besides these two mechanisms, IPTO also intends to take into account a plan entailing a swifter withdrawal of the country’s lignite-fired power stations. This is based on a key assumption that the power utility PPC, as it has announced, will withdraw remaining lignite units within August due to the unfeasibility of operating these units, nowadays high-cost as a result of elevated CO2 emission right costs.

Megalopoli III was withdrawn in March, even though IPTO had not offered its consent due to grid sufficiency concerns, while Agios Dimitrios, Megalopoli IV and Meliti are expected to follow in August.

The introduction of new units is expected to commence in September, 2022, beginning with a new Mytilineos natural gas-fired power station, and followed by Ptolemaida V early in 2023, initially as a lignite-fired unit before it is converted to gas in early 2026, a change that will also offer a capacity boost to 1,000 MW.

Also, new PPC hydropower facilities are expected to begin emerging midway through the decade, these being Metsovitiko (29 MW) in 2025, Mesohora (160 MW) in 2026 and Avlaki (83 MW) in 2028.

Competition intense in solar panel market, JinkoSolar ruling

Major investment interest for prospective solar energy projects, as indicated by the number of applications submitted to RAE, the Regulatory Authority for Energy, as well as projects already in progress, has established Greece into a particularly important market for the photovoltaic sector.

A large number of investors have now entered the Greek solar energy market, many of these major international players. As a result, competition has intensified, as is reflected in lower price levels offered at auctions. Tariffs per KWh have fallen to levels well below those for customary electricity generation.

Competition between solar energy equipment suppliers has also greatly intensified. All the major international players have already entered the Greek market, or are preparing to do so. Driven by the market prospects in the years to come, they are looking to capture solid market shares.

Even so, 2021 has not been a comfortable year so far, while projections for the remaining months are unfavorable. Solar panel deliveries have encountered enormous problems as a result of shipping issues, which has prompted higher prices in the market.

As a result, the intense competition between PV equipment suppliers has not been limited to solar panel prices, which vary depending on quality, but also concerns, to a great extent, availability, flexibility and delivery-schedule reliability. This is an important aspect for investors as it often determines whether projects can be developed or not.

Amidst these market conditions, data has shown that JinkoSolar has managed to prevail and register high-level performances.

In the large-scale project category (utilities, 10 MW and over), setting the market tone and generating major revenue levels, the company appears to have now captured a market share of around 70 percent. JinkoSolar has signed contracts for a total capacity of 370 MW in 2021. Also taking into account smaller projects, orders for 2021 exceed 550 MW, representing more than 1.2 million PV panels.

In west Macedonia, a region in the country’s north attracting the interest of investors as a result of its existing electricity transmission networks, four major-scale projects promising a total capacity of approximately 370 MW, all equipped with JinkoSolar panels, are currently being developed.

One of the four solar farms, a 15-MW investment by PPC Renewables, is being developed by MYTILINEOS. Also, an ELPE 204-MW facility is being developed by juwi, while Kiefer is preparing a 110-MW unit and Total Eren a 40-MW facility.

Responding to a question on the reasons behind JinkoSolar’s strong performance, Dimitris Varlamis, Jinko Solar’s Head of Sales, South Eastern Europe, noted: “The advanced technology and quality of the panels, reliability of the company, but also the high level of our services, are the key factors customers judge us by and place their trust in us.” He made particular note of the company’s collaboration with COSCO, the Chinese shipping and logistics company. “Realizing, on time, the needs of our customers, especially for major-scale projects, we have collaborated, since 2019, with Cosco and Eurocom, making the most of the potential offered by related legislation innovatively drafted and by the public administration so that we could give shape to the system that could provide these services. We invested time and money and finally managed to be in a position to deliver panels to the Greek market in the shortest possible time, without VAT costs, while, at the same time, reducing to a minimum any risk for the customer during the panel delivery process.”

Through the use of this model, “we have, under the extremely adverse conditions of this year, continued to deliver successfully and consistently, previously notifying our customers on time about the situation and what they should expect,” Varlamis explained.

Investor experience

Major contractor representatives of the sector offered comments to energypress on their close cooperation with JinkoSolar, and the fruitful results:

“MYTILINEOS, as one of the world’s biggest energy players in the photovoltaic sector, always relies on the most reliable suppliers in order to incorporate the best technology into its projects, as well as to ensure that equipment will be delivered on time, so that projects can be connected on schedule. As a result, for years now, we have chosen JinkoSolar as one of our strategic suppliers of solar panels for projects all over the world,” explained Nikos Papapetrou, General Manager of the Renewables and Energy Storage division at MYTILINEOS. “In the first quarter of 2021, in a project of symbolic significance for PPC Renewables, as it is the first of a series of projects being developed by the company in [northern Greece’s] the Kozani area as part of the decarbonization effort, MYTILINEOS, following a competitive procedure and significant support from JinkoSolar, managed to emerge as the preferred bidder and develop, in little time, a 15-MW solar energy farm,” he continued.

On the same wavelength, Christina-Natalia Mela, General Manager at Total Erene Hellas, commenting on a 40-MW solar energy farm project in Sidera, Kozani currently being developed by the company as part of its investment plan for Greece, underlined: “The more difficult the supply chain becomes, the more necessary it is to work with reliable suppliers to ensure on-schedule launches of energy parks,” making note of the importance of “JinkoSolar’s successful delivery – amid a difficult period for supply of photovoltaic panels – of all modules within the first half of 2021, which enabled us to make unimpeded progress with all work so that the project can be connected with the network as scheduled.”

JinkoSolar’s reliability factor was also stressed by Christos Petrocheilos, General Manager at Kiefer. “At a time of extremely adverse conditions in the supply of panels, with sharp price increases for raw materials needed for photovoltaic panels, as well as major delivery delays, JinkoSolar has, yet again, proven to be the most reliable supplier, as the company successfully delivered, within the first quarter of 2021, our entire order of 240,000 Tiger bifacial panels,” he noted. “Carrying on from our collaboration for a project in Amfilohia [northwestern Greece], where, in 2020, we installed over 100 MW, JinkoSolar remains our strategic supplier of panels,” Petrocheilos said, referring to Kiefer’s trust, once again, in JinkoSolar for a project in Kozani’s Vathylakkos area, northern Greece, where the company, as EPC Contractor, is developing one of Greece’s biggest solar park clusters, totaling 110 MW, for approximately 100 investors.

“The supplier of PV panels possibly represents the most crucial factor in the development of a solar energy plan, which is the reason why we have chosen JinkoSolar as our strategic supplier,” noted Maria Mitsiolidou, General Manager at Green Line Energy. “Besides the quality of the panels and their technical characteristics, JinkoSolar successfully delivered over 120 MW during a particularly difficult period, a time when punctual delivery of materials and equipment is not at all a given,” she added.

Over the past three years, Green Line Energy has moved ahead with a major investment plan, developing and constructing numerous PV projects at various points around Greece. The company’s portfolio of projects, both completed and prospective, is expected to exceed 600 MW.

Piraeus port, an entry point

JinkoSolar’s collaboration with Cosco and transportation services company Eurocom at Piraeus port has been pivotal, as previously stressed by JinkoSolar’s Mr. Varlamis, for the company to be able to deliver panels to customers in Greece in the shortest possible time, without VAT charges.

Cosco and Eurocom representatives offered related comments to energypress.

Aggelos Karakostas, General Manager at COSCO:

“JinkoSolar is among Cosco’s biggest customers worldwide and we are reinforcing this important relationship through our strategic partnership at Piraeus Port, which JinkoSolar has chosen as the entry point for its solar panels to Europe.

This important relationship offers added value to Greece as the products are cleared through customs in Greece and then transported to other markets.

Piraeus port is the closest European mainland port to China, making the shipping time the shortest possible, while COSCO provides the maximum possible support to JinkoSolar so that solar panel deliveries are made on time.”

Hristoforos Varveris, CEO at Eurocom:

“Eurocom SA, in collaboration with Cosco, has designed innovative procedures facilitating JinkoSolar’s inflow to both the European and Greek markets through certified logistics centers and simplified customs procedures.

The Greek public administration has risen to the occasion, enabling the provision of value-added services at the ports of Piraeus and Thessaloniki, at par, and in many cases, superior in quality to those provided by ports in northern Europe.”

 

 

Damco Energy CCGT boost to 840 MW approved by RAE

A plan by Damco Energy, a Copelouzos group subsidiary, to increase the capacity of its prospective natural gas-fired power station in Alexandroupoli, northeastern Greece, from 662 MW to 840 MW has been approved by RAE, the Regulatory Authority for Energy.

The energy company now needs to make an investment decision, expected within the summer, before work on the project commences, sources informed. Its licensing procedure has been completed.

According to the sources, ESM, North Macedonia’s state electricity company, set to acquire a 25 percent in the Alexandroupoli natural gas-fired power station, is now at the final of its preparations and is currently performing due diligence.

Damco Energy is one of a number of companies that have not only decided to develop natural gas-fired power stations but also to boost capacities of their respective projects to over 800 MW.

Mytilineos was the first to do so with its plan for an 826-MW combined cycle gas turbine (CCGT unit) in Agios Nikolaos, Viotia, northwest of Athens, a project already being developed.

Following suit, Elpedison upgraded a licensed natural gas-fired power station plan in Thessaloniki to 826 MW, while, just weeks ago, GEK Terna and Motor Oil also announced an upgrade for their natural gas-fired power station in Komotini, northeastern Greece, a joint venture, to 877 MW.

Power utility PPC has also announced a plan to convert its new lignite-fired power station, Ptolemaida V, to a natural gas unit, planned to ultimately offer a capacity of over 1,000 MW by 2025.

The prospective natural gas-fired power stations, totaling 4.3 GW, are planned to fill the capacity gap that will be left by PPC’s withdrawal of lignite-fired power stations, exiting as part of the country’s decarbonization effort.

These new gas-fired units are also expected to export electricity to Balkan countries through grid interconnections with neighboring markets.

RRF funds of €195m for new Cyclades link, pivotal substation

Power grid operator IPTO’s grid interconnection plan to link the west and southern Cyclades islands with coastal Lavrio, southeast of Athens, as well as the operator’s upgrade project for its pivotal Koumoundourou high-voltage substation, including a new transmission line to Korinthos, all regarded as vitally important projects by the European Commission, stand to EU Recovery and Resilience Facility (RRF) funds totaling 195 million euros.

The RRF subsidies to be allocated to the west and southern Cyclades islands grid interconnection, seen reaching 165 million euros, will cover just under half of this project’s total cost, budgeted at 408 million euros.

The grid interconnection work will entail the development of five underground and subsea cable circuits measuring 370km in length as well as the installation of four GIS substations on the islands of Santorini, Serifos, Folegandros and Milos.

The Koumoundourou high-voltage substation upgrade stands to receive the other 30 million euros in RRF funds for the two projects.

The Koumoundourou upgrade, budgeted at 46 million euros, has been awarded to the Mytilineos group and is expected to be completed by September, 2023, according to an IPTO announcement.

PPC-Aluminium of Greece agreement paves way for other major consumers

The forthcoming end of a long-lasting business association between Aluminium of Greece, a member of the Mytilineos group, and power utility PPC, announced at the former’s general shareholders’ meeting yesterday, marks the end of an era in the energy ties between the country’s biggest electricity consumer and the Greek market’s dominant supplier.

In 2023, Aluminium of Greece will no longer depend on PPC’s supply, a development concurrently marking the beginning of its goal to become the first eco-friendly aluminium producer.

The latest PPC-Aluminium of Greece agreement promises to pave the way for solutions in negotiations currently in progress between the power utility and other energy-intensive industrial producers.

Other than the fact that the duration of Aluminium of Greece’s new supply agreement with PPC will run until 2023, no other details have been disclosed. Its expiration in two years’ time will mark the end of a 60-year association between the two companies.

One thing already clear is that Aluminium of Greece, beyond 2023, will receive electricity from the Mytilineos group’s new natural gas-fired power plant being developed in the Agios Nikolaos industrial zone in Viotia’s Agios Nikolaos area, northwest of Athens, to be direct cable-linked to the Aluminium of Greece facility, as well as through RES production.

The combination of these two electricity sources will offer Aluminium of Greece greater energy-source flexibility, the group’s chairman and CEO Evangelos Mytilineos noted yesterday.

PPC’s administration, headed by chief executive Giorgos Stassis, displayed realism that will “help industry, as a whole, move ahead with the energy transition that is inevitably approaching,” Mytilineos acknowledged. “We can establish PPAs at good price levels, and we will play a significant role in this domain,” he added.

 

Electricity demand up 7.5% in April, PPC market share steady

Electricity demand registered a sharp 7.5 percent rise in April, compared to the equivalent month a year earlier, driven by the government’s recent decision to ease lockdown measures, power grid operator IPTO’s latest monthly report has shown.

The relaxation of lockdown measures in Greece prompted a milder 1.5 percent increase in electricity demand in March, year-on-year.

On the contrary, electricity demand fell by 2.5 percent over the four-month period covering January to April, compared to the equivalent period a year earlier, according to the IPTO report.

This decline in electricity demand was approximately half the 5.1 percent drop, year-on-year, for the three-month period between January and March.

Electricity generation rose by 24.6 percent in April, compared to the same month a year earlier, according to the IPTO report.

Natural gas-fired power stations led the way, boosting their production by 52.4 percent, followed by lignite-fired power stations, whose output rose by 21.8 percent, RES units, increasing their generation by 5.8 percent and hydropower stations, which registered a 3.1 percent increase.

In terms of energy-mix shares, the pivotal role of natural gas-fired generation was once again made clear. It captured a 43 percent share of the energy mix in April, followed by the RES sector, capturing 36 percent, lignite with 11 percent, hydropower with 6 percent and electricity imports at 5 percent.

Power utility PPC’s share of electricity demand remained virtually unchanged for a third successive month in April, registering 65 percent, following a 64.8 percent share in March and 65.1 percent share in February.

Protergia, a member of the Mytilineos group, the frontrunner among the independent suppliers, was the only company to increase its market share in April. It rose to 8.2 percent share from 7.95 percent a month earlier.

Heron’s share was steady at 6.3 percent from 6.29 percent in March. Elpedison’s share experienced a mild drop to 4.72 percent from 4.88 percent. NRG’s share in April was unchanged at 3.99 percent, while Watt & Volt’s share slipped marginally to 2.44 percent from 2.58 percent.

Mytilineos considering new gas-fired power units in Balkans

The Mytilineos group is examining the prospect of developing natural gas-fired power stations in Bulgaria and North Macedonia, seeing investment opportunities, like Greece’s other major energy players, in the Balkan region.

EU members Bulgaria and Romania, as well as non-EU members in the Balkan region, such as Albania, North Macedonia and Serbia, are announcing closures of old coal-fired power stations.

This development is creating investment opportunities as older units being withdrawn will, over the next few years, need to be replaced by new facilities, including natural gas-fired power stations.

A month ago, after receiving equipment for a new gas-fired power station unit in Agios Nikolaos, Viotia, northwest of Athens, Mytilineos informed that the company is examining the prospect of developing a similar combined cycle unit in Bulgaria.

Bulgaria, like Greece, is withdrawing its coal-fired power stations and aims to have completed the country’s decarbonization effort by 2025. The neighboring country will need to replace lost capacity through the introduction of natural gas-fired power stations and RES unit investments.

Extremely higher carbon emission right costs have made the withdrawal of coal-fired power stations a priority for Bulgaria and the wider region, one of Europe’s most lignite-dependent areas.

Greece, Bulgaria and Romania, combined, represent nearly ten percent of the EU’s total lignite electricity generation capacity.

Carbon emission right prices relaxed to 49.26 euros per ton yesterday after peaking at 56.65 euros per ton last Friday, following a months-long rally.

Last week, during a meeting with Greek Prime Minister Kyriakos Mitsotakis, North Macedonian leader Zoran Zaev disclosed that his government is discussing the prospect of a new gas-fired power station, in the neighboring country, with Mytilineos.

In Romania, projections for 2030 estimate the installation of 5.2 GW in wind energy units and approximately 5 MW in solar energy units.

Serbia, possibly offering even bigger green energy investment opportunities, aims to replace 4.4 GW of coal-fired generation by 2050. The country is now making plans for 8-10 GW in RES investments.

North Macedonia energy business opportunities for local players

Greek companies stand a great chance of gaining further presence in North Macedonia’s energy market through participation in projects and investments promising to contribute to the country’s diversification of energy sources and capture a bigger energy-mix share for green energy, the neighboring country’s Prime Minister Zoran Zaev made clear during comments in Athens yesterday.

North Macedonia appears determined to reduce its dependence on Russian fossil fuels and also cut back on carbon emissions, objectives offering investment opportunities for Greek energy groups, currently eyeing the neighboring market as part of plans to increase their business interests abroad.

The North Macedonian leader said yesterday that an agreement concerning the relaunch of Hellenic Petroleum ELPE’s Thessaloniki-Skopje oil pipeline is nearing finalization.

“The idea is to have reached an agreement with them by the end of May so that this important pipeline can begin operating,” Zaev remarked.

The oil pipeline’s reopening would be combined with the conversion of ELPE’s North Macedonian OKTA refinery into a petroleum products distribution hub covering the western Balkan region.

ELPE currently operates 27 petrol stations in North Macedonia through its OKTA subsidiary. Also active in Bulgaria, Serbia, Montenegro, the Greek petroleum group operates over 200 petrol stations in the wider region.

Zaev added that North Macedonia is involved in negotiations with a Greek company, presumed to be Mytilineos, for the development of a natural gas-fueled power station in the capital, Skopje. These talks, however, still appear to be at an early stage.

Also this week, Greek energy minister Kostas Skrekas told participants of the Delphi Economic Forum that a bilateral agreement for a Greek-North Macedonian gas pipeline interconnection is virtually ready and awaiting the approval of European authorities.

For North Macedonia, this gas pipeline project would end Russia’s monopoly in the country’s gas market, enabling more competitive gas prices and reinforced supply security, while for Greece, the gas pipeline’s development would represent a further step in the country’s objective to transform into a regional gas hub.

PPC power plant in northeast to rely on new Bulgaria, Turkey grid links

New transboundary grid interconnections with Bulgaria and Turkey will seemingly play a pivotal role in the sustainability of a new 665-MW gas-fueled power station planned by power utility PPC in Komotini, northeastern Greece, judging by estimates at RAE, the Regulatory Authority for Energy.

The authority has already issued a production license for this unit, which PPC aims to launch by the end of 2024, despite the fact that five other investments plans for new gas-fueled power stations, promising additional total capacity of 3.2 GW, already exist, including a Mytilineos group unit already under construction.

According to a related report submitted by RAE to Greek Parliament, the National Energy and Climate Plan foresees an increase in installed natural gas-fueled power stations from 5.2 GW in 2020 to 6.9 GW by 2025, a 1.7 GW increase.

Given these figures, RAE presumably considers that the development of all planned units will not be possible. Instead, market forces will determine which of the investors will be able to proceed with their plans, based on individual company feasibility studies.

Power grid operator IPTO’s ten-year development plan covering 2021 to 2030, expected to soon be approved by RAE, includes projects designed to bolster the grid in the east Macedonia and Thrace regions of northeastern Greece, and also reinforce the grid interconnections of these regions with the North Aegean islands, Bulgaria and Turkey.

Energy investment activity rising, focus on RES projects, energy transition

Investment activity in the domestic energy sector is rising with major deals being negotiated, the main focus being on renewables and the energy transition, participants at yesterday’s Delphi Economic Forum made clear.

This activity promises significant growth for all RES technologies, even the more innovative, such as offshore wind farms and energy storage units.

Major energy players are moving to capitalize on opportunities that are emerging as the country pushes ahead with its decarbonization effort. Also, investor talks concerning domestic and international partnerships, the latter promising to secure expertise in sectors such as offshore wind farms, are in progress.

Power utility PPC, moving ahead with RES investments, aims to have launched projects with a total capacity of 1.5 GW by 2023. The utility’s redevelopment plan for the country’s two lignite-dependent regions, Ptolemaida, in the north, and Megalopoli, in the Peloponnese, is in progress.

PPC plans to invest 3.4 billion euros on RES project development in these regions, and an upgrade of their distribution networks, Konstantinos Mavros, chief executive of PPC Renewables, a PPC subsidiary, told the forum.

PPC is also expected to establish partnerships facilitating its entry into the offshore wind market. In addition, the company also aims to have formed a joint venture with German power company RWE by the end of summer for development of RES projects totaling 2 GW.

Elsewhere, energy company Mytilineos is also preparing a strategic alliance with a major international group for its entry into the offshore wind farm sector.

Mytilineos is also close to completing, this year, a major post-lignite investment in natural gas-fueled electricity generation. In addition, the company plans to develop 300 MW in wind farms and 1.5 GW in solar farms over the next two years.

Furthermore, Mytilineos plans to develop 20 energy storage projects, each with 50 MW capacity, by utilizing its immense knowhow gained in this field through involvement in such projects abroad.

Hellenic Petroleum (ELPE) is preparing RES and digital transition projects and will concurrently focus efforts to reduce carbon emissions and develop more eco-friendly products, including biofuels and hydrogen.

The Copelouzos group is nearing an investment decision on the development of a natural gas-fueled power station in Alexandroupoli, northeastern Greece. A decision is expected this summer. The group is currently engaged in talks with neighboring North Macedonia’s power utility for its possible entry into this project as a minority partner.

As for networks, power grid operator IPTO has planned numerous projects as part of a ten-year investment plan worth five billion euros. The operator anticipates new RES project penetration of 17 GW, a forecast exceeding the National Energy and Climate Plan’s goals.

DEDDIE/HEDNO, the distribution network operator, has put together a 3 billion-euro investment plan for the two next regulatory periods, each four years long. Projects include network undergrounding, service upgrades and improvement, new technologies, as well as grid digitalization projects.

Low temperatures in Europe pushing gas prices higher, LNG tankers returning

Lower-than-usual temperatures for this time of year have greatly increased the pressure on natural gas prices, driving prices higher.

Gas prices have also increased in other European markets, including Belgium, the Netherlands and Germany.

In some markets, such as that of the UK, the strong demand for gas has also been attributed to factors other than the low temperatures, such as reduced wind energy production.

The current price for gas at Dutch gas trading platform TTF is 17.66 €/MWh, 17.233 €/MWh at the PEG exchange, 18.17 €/MWh at the NCG, 18.304 €/MWh at Gaspool, 18.529 €/MWh at the VTP,  and 18.575 €/MWh at the PSV, according to ICIS Heren, an established information provider for the gas, power and carbon markets.

The higher gas demand has prompted an increase in LNG tanker deliveries to European destinations. A total of 10.2 billion cubic meters were added to European terminals in March, the highest level recorded since April, 2020, and almost double the 5 bcm figure registered in January, according to latest data.

Low gas prices at European hubs earlier this year resulted in LNG tanker routes to Asian markets, where prices and profit margins were greater. Higher prices in Europe are now bringing back tankers to the continent.

As for the Greek market, two LNG tankers are scheduled to arrive at the Revythoussa terminal, on the islet just off Athens, in April, beginning, early in the month, with a joint order placed by the Heron and Mytilineos companies for 73,855 cubic meters each. It will be followed by a second order, scheduled for late in April, by Elpedison (118,168 cubic meters) and Motor Oil Hellas (33,235 cubic meters).

Two further shipments are expected at the Revythoussa terminal in May, according to the current schedule, one for Mytilineos, the other for Elpedison.

energy & meteo systems supplies Virtual Power Plant and power forecasts to Protergia

Oldenburg/Athens, 13 April 2021 – In preparation for the nascent Greek intraday and balancing market, MYTILINEOS S.A. has contracted energy & meteo systems. The German energy service provider supplies its Virtual Power Plant combined with accurate power forecasts to MYTILINEOS´ Power & Gas Business Unit Protergia. Equipped with this state-of-the-art digital technology, Protergia offers market access to renewable energy asset owners.

The Greek power market has shifted since November 2019 towards direct marketing of renewable energies, requiring solar, wind and hydro power asset owners to actively trade their energy production. Protergia, the Power & Gas Business Unit of the listed company MYTILINEOS, has taken the decision to participate in this new market and trade energy from its own and third parties’ assets. Being an energy provider, a power trader and the largest independent electricity producer in Greece with more than 1400 Megawatt capacity, Protergia bundles crucial competences for its aggregator unit.

Protergia relies on proven technology from energy & meteo systems for trading of wind and solar energy. With its Virtual Power Plant software and precise power forecasts for renewable energy, the German-based service provider supplies Protergia with two indispensable services. The Virtual Power Plant works as a control room which allows to monitor real-time production and power forecasts, remote-control the connected plants and trade their energy production on the Greek power market. As part of the service, energy & meteo systems delivers a customized application, including the connection of all solar, wind and hydro plants to a single smart power pool. The technology is provided as a Software as a Service (SaaS) solution to Protergia which does not have to invest in any IT infrastructure.

“Our goal is to become a leading aggregator in the Greek power market and to create value for solar, wind, hydro and biogas/biomass power plant owners. We are glad that energy & meteo systems provides us its Virtual Power Plant and power forecasts. It is not only an accredited but also a very promising turnkey solution that will help to efficiently manage our distributed power portfolio” stated Panagiotis Kanellopoulos, Deputy General Manager Power & Gas Business Unit of MYTILINEOS/ Protergia.

“Protergia can count on our extensive experience in supporting leading aggregators in numerous European power markets.”, says Dr. Ulrich Focken, the Managing Director of energy & meteo systems. “With our Virtual Power Plant and power forecasts we offer a market-leading solution for trading renewable energy.”

This project is supported by the German Federal Ministry for Economic Affairs and Energy as part of the Renewable Energy Solutions Programme of the German Energy Solutions Initiative.

MYTILINEOS S.A. is a leading Greek industrial company active in Metallurgy, Power & Natural Gas, Renewables & Storage Development and Sustainable Engineering Solutions. Established in Greece in 1990, the Company is listed on the Athens Exchange, has a consolidated turnover in excess of €1.9 billion and employs directly and indirectly more than 3,600 people in Greece and abroad.

Protergia is the Power & Gas Business Unit of MYTILINEOS, the largest private energy company in Greece. It manages the power plants and Renewable Energy Units of MYTILINEOS, while active in the trade and supply of electricity and gas, offering modern and reliable services and combined electricity and gas packages to almost 300,000 businesses, and households.

energy & meteo systems was founded in 2004 in Oldenburg, Germany, and offers cutting-edge services and software products which allow a smooth market and grid integration of variable renewable energies. The company is an international provider of accurate wind and solar power forecasts for grid operators, power traders and plant operators. The market-leading Virtual Power Plant software is used by numerous utilities and power traders to pool and manage distributed energy resources for different business purposes. energy & meteo systems employs about 120 experts and provides its services to more than 480 GW of installed wind and solar power in around 60 countries.

dena is the centre of expertise for energy efficiency, renewable energy sources and intelligent energy systems. As Agency for Applied Energy Transition we help achieve energy and climate policy objectives by developing solutions and putting them into practice, both nationally and internationally. In order to do this, we bring partners from politics and business together, across sectors. dena’s shareholders are the Federal Republic of Germany and the KfW Group.

The transfer of energy expertise, the promotion of foreign trade and the facilitation of international development cooperation are part of the German Energy Solutions Initiative, which is coordinated and financed by the German Federal Ministry for Economic Affairs and Energy. The initiative offers networking and business opportunities in Germany and abroad, it showcases reference projects and facilitates capacity building.

With the RES Programme, the Deutsche Energie-Agentur (dena) – the German Energy Agency – helps German renewable energy companies enter new markets. The installation of climate-friendly energy technology projects in attractive target markets is accompanied by comprehensive information dissemination, marketing and training programmes. These flagship projects, supported by the Federal Ministry for Economic Affairs and Energy within the German Energy Solutions Initiative, aim to show-case high-quality German renewable energy technology and help participating companies gain a foot-hold in new markets.

Greek enterprises face April 27 date for hydrogen project proposals

Leading Greek energy players are gearing up to participate in a European Commission effort concerning the development of the continent’s first major investments in eco-friendly hydrogen production, a key aspect in Brussels’ decarbonization drive.

Interested parties face an April 27 deadline to submit proposals concerning a number of categories, including PCI-supported sustainable low-emission hydrogen production, the emphasis placed on RES-generated hydrogen.

The White Dragon project, as it has been dubbed, has brought Greece’s biggest industrial corporations closer, as they prepare to jointly bid for project categories Brussels will subsidize in the context of the Hydrogen Europe program.

The White Dragon project provides for investments of 2.5 billion euros in electrolytic hydrogen production by means of solar energy from photovoltaic parks with a capacity of 1.5 GW. They are planned for northern Greece’s west Macedonia region, a lignite-dependent economy.

Gas utility DEPA, gas grid operator DESFA, petroleum group Motor Oil, the Mytilineos group, Terna, Hellenic Petroleum ELPE, Polish company Solaris, as well as the Demokritos National Center for Scientific Research and the Center for Research and Technology Hellas (CERTH) are taking part.

The hydrogen to be produced will be used for district heating, fuel to be exported via the Trans Adriatic Pipeline, and as fuel for large vehicles such as lorries and buses.

 

Electricity market shares unchanged in March, imports up

The overall market share of independent electricity suppliers remained unchanged at 34.2 percent in March, without any surprise reshuffling between these suppliers, as power utility PPC held on firmly to its previous month’s 65.8 percent share, a latest monthly report issued by the Greek energy exchange has shown.

Like PPC, the market shares of some independent suppliers remained unchanged in March, compared to the previous month, the report showed.

Mytilineos registered a 7.97 percent market share in March, unchanged from February.

Heron’s market share fell marginally to 6.34 percent in March from 6.38 percent in February; Elpedison’s market share rose to 4.85 percent from 4.79 percent; NRG captured 4 percent, up from 3.89 percent; Watt and Volt fell to 2.58 percent from 2.73 percent; Volterra registered 1.93 percent, from 1.96 percent; Fysiko Aerio Attikis rose to 1.81 percent from 1.75 percent; Volton captured 1.41 percent, from 1.39 percent; Zenith reached 1.41 percent, from 1.36 percent; ELTA’s market share remained unchanged at 0.63 percent; and KEN fell slightly to 0.56 percent from 0.58 percent.

Electricity imports exceeded electricity exports, in terms of volume, the energy exchange report showed.

Also, the number of hours of net imports grew against the number of hours of net exports, the data for March showed.

IPTO warns PPC against Megalopoli III closure this year

Power utility PPC’s Megalopoli III lignite-fired power station must not be withdrawn within 2021 – let alone about now, as the utility had initially planned – for reasons of grid sufficiency, the power grid operator IPTO has advised in a letter forwarded to PPC and RAE, the Regulatory Authority for Energy.

IPTO, in its letter, warns against the consequences of two PPC plans, the first, an intention to shut down Megalopoli III by the end of March, and, the second, premature withdrawal of its entire portfolio of lignite-fired power stations by the end of this coming August, or to the extent that is feasible, given grid sufficiency requirements.

Premature withdrawal, this summer, of all the lignite units would result in a capacity shortage measuring approximately 1,000 MW, which would need to be covered by electricity imports, IPTO has warned.

PPC’s chief executive Giorgos Stassis refenced the IPTO letter during yesterday’s Power and Gas Supply Forum, an online event staged by energypress, while commenting on the need to maintain lignite-fired power stations for grid stability, even if these units are now loss-incurring because of elevated CO2 emission right costs.

IPTO does not consent to any lignite unit withdrawals that would be ahead of schedule – based on a PPC plan for 2021 to 2023 – the power utility’s boss stressed during yesterday’s forum.

As a result, Stassis added, PPC will need to be compensated by the European Commission, through a support mechanism proposed by Greek officials, for needing to maintain loss-incurring units.

IPTO, in its letter, reiterated the findings of recent grid sufficiency study, noting that the two-year period from 2021 to 2022, especially the current year, will be crucial. The grid would be particularly exposed to deficiencies if generating capacity is reduced without replacement, the operator warned.

The Mytilineos group plans to launch a new 826-MW combined cycle gas turbine (CCGT) plant next year. Testing is expected to begin in the fourth quarter this year. Also next year, PPC plans to launch its Ptolemaida V unit, initially as a lignite-fired power station.

Elpedison launches tender for Thessaloniki power station

Energy company Elpedison has launched an international tender for procurement of mechanical equipment concerning its 826-MW gas-fueled power station project in northern city Thessaloniki’s Diavata area, sources have informed.

The company, also moving ahead with the project’s environmental permit procedure, is expected to soon finalize its investment decision.

Besides Elpedison, a number of other energy firms are also moving ahead with gas-fueled power station plans.

GEK-TERNA is planning a 665-MW facility in Komotini, northeastern Greece; power utility PPC recently secured a license for a 665-MW unit, also in Komotini; Elvalhalkor is pursuing plans for a 566-MW unit in Thisvi; the Copelouzos group is moving ahead with a 662-MW project in the industrial area of Alexandroupoli, in the northeast; and the Karatzis group is planning a 660-MW power station in Larissa, in the mid-north.

The Mytilineos group has already begun constructing an 826-MW gas-fueled power station in Viotia’s Agios Nikolaos area, northwest of Athens, a project expected to be launched late this year or early next year.

The establishment of a permanent CAT mechanism, anticipated by the investors behind these projects, promising grid flexibility, is crucial for the investment plans.

Electricity demand levels in the Greek market as well as the course of Greece’s decarbonization effort, expected to create openings for new power stations, are also vital factors.

 

Work on PPC Renewables 200-MW solar park starting April

Development of a major-scale 200-MW solar farm planned by PPC Renewables in Ptolemaida, northern Greece, a project budgeted at 110 million euros, is expected to begin in approximately one month.

A series of pre-construction procedures are expected to be completed within the next four weeks, enabling the Mytilineos Group’s METKA EGN, the project’s contractor, to begin work on this project. It represents the biggest part of a 230-MW solar energy project cluster planned by PPC Renewables.

A first 15-MW cluster has already been completed, while a second section representing an equivalent capacity is now being developed and should be ready by autumn.

Work on another big solar farm project planned by PPC for Megalopoli in the Peloponnese, to offer a capacity of 50 MW, is expected to begin in June.

On another front, PPC Renewables is currently working on establishing a major joint venture with Germany’s RWE by July or August.

PPC Renewables and RWE are currently working through a series of matters, including a number of legal issues. RWE will hold a 51 percent stake in this venture.

The two partners plan to equally contribute solar energy projects for a total capacity of 2 GW and a total value of approximately one billion euros, once developed, to this joint venture.

Talks on which projects each partner will choose to contribute to this joint venture remain at an early stage.

PPC Renewables is expected to contribute PV licenses concerning the west Macedonia and Megalopoli areas, while RWE is seen contributing project licenses or anticipated Greek project acquisitions being eyed by the German company for quite some time.

 

Appraisal of initial bids for Larymna assets lease contract by April

Privatization fund TAIPED and a supporting body are expected to complete, by early April, their appraisal of non-binding expressions of interest submitted to a tender by six investors for the lease of the Larymna smelting plant, Larymna and Loutsi mines, and relevant mining rights and other assets, all belonging to the Greek State and currently leased to troubled nickel producer Larco.

Expressions of Interest were submitted by the following Interested Parties (in alphabetical order):

  1. COMMODITY & MINING INSIGHT IRELAND LIMITED
  2. GEK TERNA S.A. – AD HOLDINGS AG
  3. MYTILINEOS S.A.
  4. SOLWAY INVESTMENT GROUP LIMITED
  5. THARISA PLC
  6. TRAFIGURA GROUP Pte Ltd

The six bids are currently being examined by the country’s foreign and defense ministries for any possible national security issues, sources closely monitoring the overall procedure have informed.

Once past this stage, the supporting documents accompanying the six non-binding offers will be examined by TAIPED and its supporting body.

Qualifiers making the tender’s second round will be given access to a video data room containing technical and financial data on Larco.