Mytilineos overtakes PPC as leading high-voltage supplier

The Mytilineos group’s Protergia energy supply company has overtaken power utility PPC in the high-voltage category to become the new market leader, in this category, latest data issued by power grid operator IPTO covering January has shown.

Overall, for all categories combined, PPC shed nearly 3 percentage points in January, ending the month with a market share of 52.84 percent, down from 55.62 percent in December.

Protergia gained ground in all categories combined to capture second place in January with a market share of 14.65 percent, up from 9.19 percent in December. This rise has been mainly attributed to Mytilineos group member Aluminium of Greece’s switch from PPC to Protergia.

Heron was ranked third in all categories combined with a market share of 10.64 percent in January, down slightly from 10.76 percent in December.

In the medium-voltage category, PPC’s market share contracted to 34.7 percent in January from 36 percent in December, while Protergia and Heron both achieved gains. Heron’s market share in this category rose from 16.8 percent to 17.4 percent, while Protergia’s market share increased from 16 percent to 17.1 percent.

As for the low-voltage category, PPC shed just a mild fraction of its still-dominant market share, while Protergia was the big gainer, leaping nearly 1.5 percent, from 7.7 percent to 9.1 percent.

Overall electricity demand in Greece rose by 6.62 percent in January, 2024 compared to a year earlier, the IPTO data showed.

Also, renewable energy captured a 50.6 percent share of the country’s energy mix in January, followed by gas-fueled production, providing 41 percent of the month’s total, and hydropower, at 8.4 percent, the data showed.

 

Variable yellow tariffs lower than green tariffs in January

As predicted by the country’s electricity suppliers, variable yellow tariffs ended up being lower-cost options than their variable green-tariff counterparts for electricity consumers in January, the first month of the country’s new color-coded tariff system, introduced to simplify price comparisons.

Though yellow and green tariffs are both variable tariffs, the former represent a lesser risk for suppliers, as their levels are set at the end of each month.

Overall, yellow tariffs averaged a price of 13.74 cents per KWh in January, 7 percent less than the average for green tariffs, which was 14.72 cents per KWh.

Just one energy supplier offered a green tariff level that undercut the company’s yellow tariff in January. All other suppliers offered yellow tariffs as their best-priced options in the variable tariffs category.

Power utility PPC offered a yellow tariff at a rate of 12.34 cents per KWh in January, below its rate of 13.64 cents per KWh for green tariffs.

On the same wavelength, Protergia, a member of the Mytilineos group, offered a yellow tariff of 13.28 cents per KWh, undercutting the company’s rate of 14.3 cents per KWh for green tariffs in January.

Elpedison’s yellow tariff in January, set at 13.51 cents per KWh, was 21 percent cheaper than the company’s green tariff for the same month.

Fysiko Aerio’s yellow tariff of 13.6 cents per KWh undercut the supplier’s green-tariff offering for January by 5 percent, while Elinoil’s yellow tariff, set at 13.27 cents per KWh, also cost less than the supplier’s green tariff, set at 14.04 cents per KWh.

Under the new tariff system, consumers may also opt for fixed tariffs, dubbed blue tariffs, now also available over shorter 6 and 8-month terms, instead of just 12 months, as was the case at the time of the new system’s launch on January 1.

 

Gas market’s established suppliers still dominant in ’23

The country’s top five natural gas retailers, supplying industrial, business and residential consumers, remained dominant in the Greek market in 2023.

Zenith, Aerio Attikis, Mytilineos, Heron and DEPA Commercial, the top five players for all three categories combined, all maintained their positions last year. NRG ended last year in sixth place, overtaking Elpedison.

Zenith and Aerio Attikis, the top two gas retailers for all categories, were also the most dominant players in the residential sector for 2023, capturing a combined market share of 74.1 percent, or 433,896 households of 585,432 in total.

Zenith and Aerio Attikis led the pack, overall, in the industrial, business and residential, with respective market shares of 30.8 and 28.6 percent in 2023. Zenith’s market share fell from 34.4 percent in 2022, while Aerio Attikis’ market share was unchanged.

In the overall rankings, for all three categories, Mytilineos was ranked third with a 14.9 percent market share, up from 12.6 percent. Heron followed with 10.2 percent, up from 9.4 percent, and DEPA Commercial was placed fifth in 2023 with a market share of 5.7 percent from 4.8 percent in 2022.

As for the residential market, Zenith was ranked first with 276,157 customers, slightly down from 289,632 in 2022, and Aerio Attikis followed with 157,739 customers, up 12,696 from 145,043 in 2022.

Third-placed Mytilineos gained 9,011 residential customers in 2023 to reach 34,385, while other standout gainers in this category included sixth-placed PPC, up 8,523 customers to 30,344, and fifth-placed Heron, up 6,162 customers for a 28,313 total.

As for the business category, the total number of gas meter connections fell slightly in 2023 to 16,135 from 16,233, partially as a result of the energy crisis and higher gas prices over several months last year.

 

 

Protergia gets ball rolling with shorter-term, fixed tariff offer

Protergia, a member of the Mytilineos group, has become the country’s first electricity supplier to announce a shorter-term, six-month tariff following a revision of regulations enabling fixed tariffs to be shorter than the original one-year period required by new tariff rules introduced January 1.

Protergia’s fixed tariff, or blue tariff, as dubbed in Greece’s new color-coded tariff system, comes at an appealing price of less than 13 cents per KWh, according to local price-comparison website allazorevma.gr, well below an average of 15.5 cents per KWh recorded by variable tariffs in 2023.

The supplier’s initiative suggests competition in the fixed-tariffs category will be intense. Also, variable tariffs, based on wholesale price forecasts, appear headed for a slight reduction.

Consumers wanting to avoid regular price comparisons of variable tariffs in the coming months will have plenty of appealing fixed-tariff offers to choose from.

Under the country’s new tariff system, color-coding tariff categories for easier price-comparing ability, fixed tariffs, or blue tariffs, as well as variable tariffs, either yellow or green tariffs, were introduced January 1. Though yellow and green tariffs are both variable tariffs, the former are set at the end of each month, and, as a result, represent less of a risk for suppliers.

Also, later this year, officials plan to launch dynamic tariffs, to be dubbed orange tariffs, offering low-voltage consumers equipped with smart meters the ability to take advantage of fluctuations in wholesale electricity prices. The plan to install smart meters around the country now appears set for launch following years of delay.

 

Mytilineos given green light for CHP plant in North Macedonia

The Mytilineos group will develop a cogeneration plant (CHP) in North Macedonia with 50 million euros in state support, in accordance with a legislative proposal submitted by the government in late January.

This investment qualifies as a strategic investment and, as a result, stands to benefit from the relevant legislation. It will also secure a guaranteed price for energy produced.

The heat and power plant will have an electrical capacity of 90-105 MW plus 135-150 MW of thermal energy. Its annual electricity production is expected to amount to roughly 1,150 GWh with corresponding thermal energy production reaching 275 GWh.

An agreement for the purchase of the energy produced is expected to be established within three months of the signature of the state aid agreement.

PPC market share shrinks 3%, Mytilineos high-voltage leader

Power utility PPC’s overall market share contracted by three percentage points in January, from 56.1 to 53.1 percent, in mainland Greece, while the country’s three biggest independent suppliers all gained ground, latest figures published by the country’s energy exchange have shown.

As for the electricity market’s voltage-based sub-categories in January, Mytilineos is the market leader in the high-voltage category with a 39.1 percent market share, and PPC is at the forefront of both the medium and low-voltage categories with respective market shares of 42.6 and 63 percent, the energy exchange data showed.

In December, PPC’s market share had remained steady in the low-voltage category, while the company gained two percentage points in the medium-voltage category and shed 24 percentage points in the high-voltage category.

PPC’s considerable market-share loss in the high-voltage category has been mainly brought about by Aluminium of Greece’s shift away from PPC to Protergia, a fellow Mytilineos group member, now the high-voltage category’s market leader.

Ministry pushes for energy-storage project progress

Deputy energy minister Alexandra Sdoukou has made clear her determination to remove obstacles that could delay investments concerning the installation of standalone batteries by companies that submitted successful bids to a first energy-storage auction.

Swift development of energy-storage projects is seen as crucial by the energy ministry so that the need for RES output cuts, performed to prevent grid overloading, may be restrained.

Earlier in the week, the deputy minister chaired a meeting involving various sector officials for an update on the progress of standalone battery projects, equipment orders, plans and timetables.

Aristotelis Aivaliotis, the energy ministry’s General Secretary of Energy and Natural Resources, officials from power grid operator IPTO and RES market operator DAPEEP, as well as the heads of renewable energy and storage projects all took part in the meeting.

Sdoukou appeared determined to speed up procedures concerning the issuance of connection terms for energy storage projects and to also establish a system for monitoring their progress. Investors were asked to send monthly reports on the progress of projects.

At the meeting, IPTO ensured that all RES projects with standalone batteries will have received connection terms by the end of February. Also, the deputy energy minister asked DAPEEP, the RES market operator, to prepare operational contract details.

A total of twelve energy-storage projects developed by seven companies secured the first auction’s entire capacity of 411 MW at an average price, for a year, of 49,748 euros per MW.

Helleniq Energy and Intra Energy (Intrakat) submitted successful bids for three projects each, PPC Renewables secured operational support for two projects, while Aenaos (Mytilineos), Energiaki Techniki, Energy Bank and the Agapi Ilios energy community submitted successful bids for one project apiece.

Mytilineos now an established player in UK energy market

Greek-based industrial conglomerate Mytilineos has developed into an established player in the UK energy market’s renewable energy sector and, more recently, the domains of conventional electricity production and grid projects, since entering this market in 2014.

The company, active in mettalurgy, energy and EPC, has just held a special event in London to mark its tenth anniversary of business activity in the UK as well as its recent signing of a one billion-euro contact for a subsea grid interconnection linking England and Scotland. Numerous guests from the business and financial sector, plus partners, attended the event.

Mytilineos has just inaugurated its new premises in central London, to serve as a springboard for the coming years and new projects.

In the UK, Mytilineos has taken on 82 projects worth a total of 2.5 billion euros in renewable energy, energy storage, electricity production and grid interconnections.

In the RES sector, Mytilineos maintains a UK solar energy portfolio with a 1.25-GW capacity, its 373-MW Cleve Hill project being the standout facility as the country’s biggest licensed solar park. In addition, Mytilineos owns 650 MW in RES facilities at various stages of development.

As for energy storage, Mytilineos ranks as one of the UK’s biggest players with projects totaling 1.1 GWh, a 30 percent share of the country’s market.

In addition, Mytilineos has undertaken complex and demanding thermal energy projects and is currently developing four open-cycle gas-fired power plants, each possessing a capacity of 299 MW.

Mytilineos has also taken on procurement and installation of a modern capacitor for RWE Generation UK, one of the UK’s leading electricity companies. This project represents part of the National Grid Stability Pathfinder Program covering England and Wales.

 

Mytilineos secures €400m EIB loan for swifter RES growth

Mytilineos Energy & Metals has secured 400 million euros in European Investment Bank (EIB) funding for the purpose of accelerating renewable energy production across Greece and other EU member states.

The Mytilineos group has shaped a strategy to develop, by 2027, a portfolio of solar energy projects and battery energy storage systems (BESS) enabling additional production capacity of approximately 2.6 GW.

The investment’s overall cost is estimated at 2.5 billion euros. All projects will be developed within the EU.

The EIB financing, linked to the EIB’s support for new investments in convergence regions where per capita income is lower than the EU average, confirms the bank’s commitment to equitable growth and convergence of living standards in the EU.

EIB Managing Director and Head of Operations Jean-Christophe Laloux and Hristos Gavalas, Chief Treasury & IR Officer and Executive Board Member at Mytilineos, signed a ten-year loan agreement in Athens on December 21.

This new financing agreement stems from an EIB support package for RepowerEU, the EU’s ambitious and lucrative plan aiming to reduce dependence on fossil fuel imports, accelerate the green transition, and help Europe achieve zero-carbon emissions by 2050.

Competition remains strong for second storage auction

A total of 55 applications representing standalone batteries with 1,668 MW in capacity have been submitted by RES investors to a second auction offering investment and operational support for standalone batteries, a solid turnout ensuring the strong competition registered at the first auction will be maintained.

Investment and operational support will be offered to projects totaling 288.21 MW, meaning applications for participation have oversubscribed this capacity by 5.7 times.

The field of contestants will be finalized at noon today, when a deadline for letters of guarantee expected from participants is set to expire.

According to sources, most participants have already submitted their letters of guarantee with applications. As a result, the number of participants is not expected to diminish.

All participants face 100-MW capacity limit totals for projects submitted to the first two auctions. Helleniq Energy, power utility PPC and Intrakat already exhausted this limit through the first auction and, as a result, cannot participate in the follow-up procedure.

Virtually all other major energy groups with a market presence in Greece have applied to  participate in the second auction, sources informed. These include, TERNA Energy, Mytilineos, the Copelouzos group, Elpedison, MORE, Enel, EDF, EDPR, BayWa, KiEFER and Faria.

A total of 12 projects were successful in the first auction, securing guaranteed revenues of between 34,000 and 64,100 euros per MWh for a year. A starting price of 115,000 euros per MWh, for a year, has been set for the second auction. Bidding is not expected to drop below 45,000 euros per MWh, for a year, market officials have projected.

 

Retail electricity market shares unchanged in November

Latest retail electricity market share figures, covering November, showed little change compared to the previous month, data released by the energy exchange has shown.

Power utility PPC’s retail market share edged up to 52.15 percent in November from 51.89 percent in October, the figures showed.

Heron continued to lead the pack of independent suppliers with a 12.94 percent market share, up slightly from October’s 12.79 percent. The Mytilineos group’s Protergia followed with a 7.91 percent market share, marginally down from October’s 8.24 percent, with Elpedison ranked third amongst the independent suppliers, registering a 6.49 percent market share, slightly up from 6.44 percent in October.

Elsewhere, NRG’s market share fell modestly to 5.60 percent from 5.79 percent in October; Watt and Volt captured a 5.12 percent, up from 5.09 percent in October; Fysiko Aerio EEE’s market share was 3.53 percent, up from 3.47 percent; Zenith’s performance rose to 2.31 percent from 2.19 percent; Volterra registered 2.09 percent from 2.20 percent, and Volton edged up to 1.17 percent from 1.15 percent.

 

2-GW grid capacity reservation for offshore wind farms to be ratified

A legislative revision reserving 2 GW in power grid capacity for the country’s prospective offshore wind farms is expected to be ratified in Greek Parliament within the next few days.

This 2-GW grid capacity reservation for electricity to be produced by offshore wind farms has been included in the revised National Energy and Climate Plan, recently forwarded to the European Commission for approval.

Deputy energy minister Alexandra Sdoukou referred to the aforementioned developments during a speech yesterday at an opening ceremony staged by Copenhagen Offshore Partners for a new office in Athens to host its Greek subsidiary.

COP, regarded as one of the world’s leading companies in the category of floating offshore wind turbines, is partnering with fund management company Copenhagen Infrastructure Partners (CIP), with which Mytilineos has formed an alliance, mainly for the development of offshore wind energy projects in Greek waters.

At the event, Sdoukou highlighted the importance of the National Offshore Wind Farm Development Program, which was recently completed and presented by EDEYEP, the Hellenic Hydrocarbons and Energy Resources Management Company.

“We are now in a position to know the country’s potential and the first areas where wind farms will be installed,” Sdoukou noted.

Greece’s revised NECP foresees the development of offshore wind farms – both floating and fixed-foundation installations – with a total capacity of 2 GW by 2030 and 17 GW by 2050.

Energy firms dominate Fortune 500 Europe list’s top spots

European energy firms have bounced back, as highlighted by their dominant rankings on the first-ever Fortune 500 Europe list, published yesterday.

The Fortune 500 Europe list dispels myths about the continent and also reads like a throwback to the 20th century, when energy and automotive industries were the prime players in the global economy – and companies were led by men.

The list’s top spot is held by British energy giant Shell, with six energy companies and three automotive companies featuring in the top 10. This is starkly different to the US list, where three Big Tech companies—Amazon, Apple, and Alphabet—feature in the top 10. In Europe, the largest pure tech company is SAP, at No. 114, followed by 1990s powerhouses Ericsson (No. 141) and Nokia (No. 147).

One would have to go back to the late 1990s to find a Fortune 500 akin to what the Fortune 500 Europe looks like today. Twenty-five years ago, GM topped the US list with Ford and Chrysler not far behind, and Exxon, Mobil (and GE, to a lesser extent) representing the energy sector in the top 10.

The list of Europe’s largest companies, based on revenue, includes four Greek energy companies, Motor Oil, at No, 213, Helleniq Energy, formerly Hellenic Petroleum (ELPE), at No. 243, power utility PPC, at No. 298, and Mytilineos, at No. 444.

On the diversity front, too, Europe lags the US. Just 7 percent of Fortune 500 Europe companies are led by a woman, compared to 10 percent on the US list, a statistic that questions the continent’s progressive image.

The Fortune 500 Europe list includes companies from 24 different countries, ranging, in size, from Germany’s MTU Aero Engines, with revenues of $5.6 billion, at No. 500, to London-based oil and gas giant Shell ($386.2 billion) at No. 1.

Combined, the 500 European companies generated $13.94 trillion in revenue in the most recent fiscal year.

 

Inaugural offshore wind farm auctions in ’27, 6 areas likeliest

Greece’s first auctions for offshore wind farm areas are expected to take place in 2027 with six areas off Crete, Gyaros, Rhodes and Evia considered the likeliest to be offered to investors as part of the country’s efforts for an offshore energy portfolio of 1.9 GW by the end of the decade, energy ministry officials have informed.

EDEYEP, the Hellenic Hydrocarbons and Energy Resources Management Company, overseeing the effort, also set, late last year, 2027 as the inaugural year of these auctions.

The Greek government recently reduced the National Energy and Climate Plan’s 2030 capacity target for offshore wind farms to 1.9 GW from 2.7 GW.

EDEYEP has scoured Greek waters for locations suitable for development of offshore wind farms. Areas making the grade have been included in a National Offshore Wind Farm Development Program, presented just days ago by the company, along with a Strategic Environmental Impact Assessment.

Flora Karathanasi, an EDEYEP consultant, named six of ten prospective offshore areas for initial development that would contribute to the 2030 target. The six areas are located northeast of Rhodes; around Gyaros, in the northern Cyclades; off Agii Apostoli in eastern Evia; off northeastern Crete, between Agios Nikolaos and Sitia; and off eastern Crete.

According to the National Offshore Wind Farm Development Program, five of these areas are planned to host floating wind turbines, while only one, off northeastern Crete, will host fixed-foundation wind turbines.

The program’s presentation coincides with a heightened level of international RES investment interest in Greek offshore areas.

Swedish-headquartered Hexicon’s Head of Business Development, Henrik Baltscheffsky, recently told energypress that Greece can become a European focal point for floating wind energy, a view he reiterated days later at the 5th Renewable & Storage Forum in Athens.

Also, the Greek subsidiary of Denmark’s Copenhagen Offshore Partners is scheduled to launch its Athens office this Thursday. COP is partnering with the fund management company Copenhagen Infrastructure Partners (CIP), with which Greece-based industrial and energy group Mytilineos shares an alliance.

In addition, Corio Generation, a subsidiary of Australian global financial services group Macquarie, has also expressed an interest to enter Greece’s nascent offshore wind sector. It has announced the formation of a joint venture with Greek company Globalsat.

These moves come following a series of like-minded announcements by domestic companies with major international players (Terna Energy – Ocean Winds; Helleniq Energy – RWE; Intrakat – Parkwind; Motor Oil – Masdar).

PPC retail market share drops 5 percent in September

Power utility PPC’s retail market share shrunk by over 5 percent in September, compared to a month earlier, contracting to 53.49 percent from 58.69 percent, a drop mostly attributed to a three-way agreement between independent supplier Heron, PPC and cement producer Titan.

For this agreement, PPC signed a 10-year power purchase agreement with Titan for energy generated at PPC power plants that involves Heron as a third-party supplier.

It resulted in PPC shedding some of its market share in the high-voltage market and Heron gaining major ground.

Heron’s high-voltage market share rose to 21.3 percent in September from 11.2 percent in August, while PPC’s share fell to 48.1 percent from 58.5 percent, according to data provided by power grid operator IPTO.

Watt+Volt was another gainer in the high-voltage market, its market share in this category rising to 15.3 percent in September from 12.5 percent in August. Elpedison’s high-voltage market share fell to 11.6 percent from 13.4 percent.

As for the low-voltage category, PPC’s market share slipped to 63.1 percent in September from 65.1 percent August, but suffered a steeper drop, to 33.9 percent from 39.1 percent, in the medium-voltage category.

Most of the independent suppliers recorded overall retail market share gains in September. Heron’s overall market share rose to 11.59 percent, from 8.81 percent in August. Mytilineos’ market share increased to 8.42 percent in September from 7.75 percent in August. Elpedison’s market share rose to 6.16 percent from 5.81 percent. NRG’s rose marginally to 5.69 percent from 5.46 percent. Watt+Volt gained to reach 4.2 percent from 3.41 percent. Fysiko Aerio’s share rose to 3.4 percent from 2.96 percent. Zenith’s share contracted to 2.29 percent from 2.5 percent, and Volterra’s rose to 2.09 percent from 1.83 percent.

PPC, Mytilineos agree to rise in energy exchange fees

Power utility PPC and the Mytilineos group have accepted a proposed increase of fees paid to the Greek energy exchange, recognizing, in doing so, the importance of adequate funding for the exchange to ensure its effective functioning.

RAAEY, the Regulatory Authority for Waste, Energy and Water, is currently staging consultation on the matter.

PPC and the Mytilineos group both submitted letters to the authority noting a plan to revise a formula determining fees for the energy exchange is heading in the right direction.

Mytilineos stressed the need to keep additional fees and charges proportional to the size of domestic energy markets in order to strike a balance assuring they operate efficiently at a reasonable participation cost.

PPC offered comments along similar lines, noting the energy exchange’s sustainability needs to be protected so that electricity markets may continue to operate efficiently.

The Greek energy exchange plans to soon introduce new products to both the electricity and gas markets, which will contribute to its ongoing development. It is also preparing a new platform for green-energy bilateral contracts.

The energy exchange’s operating ability will need to be reinforced with additional personnel so that it may respond adequately and effectively to its increase in tasks, an official told energypress.

Brussels rejects Greek proposal for Green Pool model

The European Commission has rejected a Greek proposal for a Green Pool model intended to keep green-energy PPA prices at competitive levels for the country’s energy-intensive industries.

Though Brussels’ Directorate-General for Competition has yet to announce its rejection of the plan, it informed the Greek energy ministry of its decision late last week, energypress sources informed.

Evaggelos Mytilineos, President and chief executive of the Mytilineos group, expressed his disappointment over the decision during a TV interview on CNBC.

“Unfortunately, on Friday, we heard the bad news that the Green Pool plan, which is a combination of a carbon exemption and support for energy-intensive industries, has been rejected by the European Commission after a year of negotiations. Every country, every economy, is trying to achieve economies of scale. It’s really difficult,” Mytilineos commented.

Negotiations on the Green Pool plan began soon after the Greek government had forwarded its proposal to the Brussels authority in September, 2021.

The European Commission is believed to have rejected the plan on the grounds that it could be regarded as a tool subsidizing electricity generated by fossil fuels.

Court hears case against power producers’ windfall tax formula

The Council of State, Greece’s Supreme Administrative Court, heard, last week, an appeal filed by energy company Heron and the Mytilineos metals and energy group’s Protergia and Corinth Power companies to challenge a tax formula applied for windfall profits of electricity producers.

The energy ministry has adopted a windfall tax formula proposed last year by RAAEY, the Regulatory Authority for Waste, Energy. It establishes windfall earnings to be taxed by comparing profits in 2022 with those of 2021.

The plaintiffs, in their case, contend that the use of 2021 as a base year for the comparisons is incorrect as it represents the inaugural year of the target model, which brought about anticipated inaccuracies as market players sought to adjust to this new mechanism.

Authorities ought to have gone back further in time for a fairer comparison with 2022 results before determining windfall profits to be taxed, the plaintiffs have argued in their case.

The Council of State will, most likely, uphold the windfall tax formula being applied as it has raised significant amounts for the Energy Transition Fund, helping millions of households and enterprises cope with the energy crisis through subsidized energy.

A decision by the Council of State is expected imminently.

 

Demand-response for energy exchange markets early in ‘24

A new date will be set for the demand-response mechanism’s entry into the Greek energy exchange, now expected early in 2024.

The demand-response mechanism’s slightly delayed entry can be attributed to additional technical controls being incorporated into the relevant regulation after RAAEY, the Regulatory Authority for Waste, Energy, ordered the Greek energy exchange to conduct another round of consultation.

To ensure the proper functioning of the demand-response mechanism, it’s essential to have robust technical controls and regulations in place.

The mechanism has the potential to benefit both consumers and the overall grid system by optimizing energy use during periods of high demand or supply fluctuations.

As a result of the timetable change, the additional round of consultation is expected around the end of September. A finalized plan for the demand-response mechanism’s entry into the Greek energy exchange will then be adopted around November, while a further month or two will be needed for necessary preparations.

RAAEY asked the Greek energy exchange to rework the relevant regulation so that it could facilitate technical controls for orders submitted by green aggregators that are equivalent to those applicable for orders concerning other balancing service providers, the aim being to ensure market uniformity.

Early on, the demand-response mechanism is not expected to impact energy exchange markets as, for the time being, quantities linked to the mechanism are limited.

At present, two companies, Mytilineos and Sympower, are pursuing demand-response activities in power grid operator IPTO’s balancing market.

 

PPC chief to take part in Romanian Three Seas meeting

Greece aims to bolster its geopolitical influence in the Balkans through energy, power utility PPC’s takeover of Italian group ENEL’s Romanian subsidiary ENEL Romania being a key part of this strategy.

In addition to PPC’s takeover of ENEL Romania, Helleniq Energy recently invested in Romania and had been preceded by Mytilineos – both in renewable energy projects.

PPC’s ENEL Romania takeover has prompted an announcement from Romanian president Klaus Iohannis, who named Greece as a new member of The Three Seas, a diplomatic initiative taken by Romania’s political leadership to bring together EU member states and candidates located between the Baltic, Adriatic and Black Seas for collaboration in the fields of energy, infrastructure and the digital economy.

Austria, Bulgaria, Croatia, the Czech Republic, Estonia, Hungary, Latvia, Lithuania, Moldova, Poland, Romania, Slovakia, Slovenia, and Ukraine are the other members of The Three Seas initiative.

Iohannis, Romania’s president, will host a two-day meeting in Bucharest on September 6 and 7 for talks on collaboration in these domains. Ministers and entrepreneurs representing the aforementioned countries, including PPC’s chief executive officer Giorgos Stassis, energypress sources have informed, will take part at the upcoming Bucharest meeting.

Romania has become a geopolitical focal point as a result of the country’s close proximity to war-entangled Ukraine. In addition, Bucharest has established a pivotal role as a result of its support of Ukraine in the war with Russia and Moldova’s EU membership quest. Romania has also facilitated the movement of grain across its borders.

Just two shipments scheduled for LNG terminal next month

Just two LNG cargoes are scheduled to make their way to gas grid operator DESFA’s Revythoussa terminal, just off Athens, in September, just a fraction of shipments ordered for the islet terminal a year earlier, when the energy crisis had peaked, the operator’s finalized unloading schedule for next month has shown.

The first of the two shipments, a 147,710-m3 order placed by Mytilineos, is scheduled to arrive at the LNG terminal on September 17, while a second LNG order, placed by Elpedison for a 90,000-m3 quantity, is planned to reach the Revythoussa terminal on September 30.

In September, 2022, a total of 10 LNG shipments totaling 514,435 m3 had reached DESFA’s LNG terminal.

Energy storage auction winners list disclosed: 12 projects, 7 bidders

A list of twelve energy-storage projects that won the bidding in an auction staged by RAAEY, the Regulatory Authority for Waste, Energy and Water are being promoted by a total of seven successful participants.

Helleniq Energy and Intra Energy (Intrakat) are each behind three of these 12 projects, PPC Renewables bid successfully for two projects, while Aenaos (Mytilineos), Energiaki Techniki Anaptyxiaki, Energy Bank, and one energy community bid successfully for one energy storage project each.

RAAEY is expected to officially announce the details, including bidding levels, of the twelve winning projects, to share roughly 400 MW, immediately following a board meeting today.

The lowest bid, 34,000 euros per MWh, for a year, was submitted by Helleniq Energy and the highest, 64,000 euros per MW, for a year, was lodged by Intra Energy, it has already been disclosed.

According to energypress sources, the finalized list stands as follows: Helleniq Energy – approximately 100 MW, divided into three projects (50 MW, 25 MW, 25 MW); Intra Energy – approximately 100 MW, divided into three projects (50 MW, 25 MW, 25 MW), PPC Renewables – approximately 98 MW, divided into two projects (50 MW and 48 MW); Aenaos (Mytilineos), one project (48 MW); Energiaki Techniki Anaptyxiaki, one project (7.8 MW); Energy Bank, one project (50 MW); Energy community (8 MW).

 

Energy storage auction draws highest bid of €64,000/MW/yr

A first auction offering operating and investment support for energy storage projects has produced a highest offer of 64,000 euros per MW, for a year, and a lowest offer of 34,000 euros per MW.

Also, 90 of 93 bids submitted were considered valid by RAAEY, the Regulatory Authority for Waste, Energy and Water. The three investors who had bids rejected have until August 7 to submit appeals. The 93 bids submitted represented a total capacity of 3.3 GW.

A final list of projects securing operational and investment support, based on the lowest subsidy levels requested, will be established at RAAEY’s next plenary session on August 10.

Investment support has been set at 200,000 euros per MWh. Operating support to be offered will be shaped by the bids submitted by all participating investors.

Many of the bids were significantly lower than the maximum price permitted, 115,000 euros per MW for a year, which was essentially the starting price of the tender, sources informed.

A total energy storage capacity of 400 MW on offer was covered by 12 projects with respective capacities of up to 50 MW planned by seven companies, Helleniq Energy, PPC Renewables, Mytilineos, Intrakat, Energy Bank, Energiaki Techniki Anaptyxiaki, and one energy community.

 

Non-interconnected island gains for independent players

A sizeable chunk of electricity users on the non-interconnected islands signed up with independent suppliers, primarily Elpedison, in the first half of 2023, a latest monthly report released by distribution network operator DEDDIE/HEDNO has shown.

Power utility PPC’s market share on the non-interconnected islands contracted from 68.4 percent in January to 60.3 percent in June, mostly to the benefit of Elpedison, whose market share on these islands rose from 7.33 percent in January to 13.8 percent in June, the DEDDIE/HEDNO figures showed.

Fellow independent power suppliers Heron, Mytilineos, NRG, Volterra, Aerio Attikis and Zenith also achieved market share gains over the six-month period.

Heron’s market share rose to 7.73 percent from 6.96 percent; Mytilineos increased its share to 6.22 percent from 4.16 percent; Watt + Volt’s market share contracted to 3.78 percent from 4.9 percent; NRG increased its share to 3.54 percent from 2.71 percent; Aerio Attikis made a marginal gain to 1.7 percent from 1.68 percent, as did Zenith with a rise to 0.83 percent from 0.76 percent and Volterra, whose market share rose to 0.26 percent in June from 0.2 percent in January.

Retail market shares steady in June, marginal loss at PPC

Power utility PPC, the Greek retail electricity market’s dominant player, has ended June with a slightly contracted market share, down to 54.99 percent, from 55.68 percent in May, which takes the total market share held by the market’s independent suppliers to 45.01 percent from 44.32 percent, according to a latest Greek energy exchange report.

Market share figures in June remained largely settled compared to a period of greater activity in May, Heron being the prime mover. The independent supplier’s market share leapt to 10.82 percent in May from 7.76 percent in April following its supply agreement reached with Viohalco, one of Greece’s biggest electricity consumers, which became the third industrial producer to move away from PPC.

Viohalco’s retail electricity market share continued its ascent in June, to 11.30 percent, making the company the leading supplier amongst the independent players for a second consecutive month.

Mytilineos is ranked second amongst the independent suppliers with an 8.24 percent market share in June, up from 7.63 percent in May, followed by Elpedison, whose market share slipped to 5.80 percent in June from 6.28 percent in May.

NRG is next with 5.36 percent, up from 4.99 percent; followed by Watt and Volt, whose market share slipped to 4.59 percent from 5.15 percent in May. Next in the rankings, Fysiko Aerio’s market share rose marginally to 3.32 percent from 3.13 percent. Zenith’s market share remained unchanged at 2.32 percent share. Volterra gained slightly, to 2.14 percent from 2.12 percent, and Volton remained steady at 0.81 percent in May and June.

The day-ahead market’s average price for June dropped to 91.49 euros per MWh, a 13 percent reduction compared to May’s price level of 105.59 euros per MWh, the Greek energy exchange report noted.

 

Record retail turnout for Mytilineos €500m bond issue

Industrial and energy multinational group Mytilineos has just completed a public offering for the issuance of a common, interest bearing, bond loan, attracting a record-breaking level of participation from private investors, despite the issue’s substantial size, worth 500 million euros.

The bond loan was offered with a duration of seven years, without provision of security, and divided into as many as 500,000 dematerialized, common, bearer bonds at a nominal value of 1,000 euros each.

A total of 456,000 bonds, or 91.2 percent of the issue, were secured by private investors, and 44,000, the other 8.8 percent, were distributed to qualified investors.

Total valid demand expressed by investors who participated in the public offering amounted to 1,006.97 million euros, exceeding the issue by 2.01 times.

Commenting on the issue, market officials noted that its oversubscription and record demand level are a testament to the Mytilineos group’s established position that has risen to a level now recognized as a safe investment haven both in Greece and abroad.

Elevated reservoir levels offer positive outlook for summer

The country’s grid is entering the summer in sound shape regarding energy sufficiency, aided by the absence of issues at main power plants, an accumulation of lignite stockpiles at power plant yards and mines, the imminent addition of 1,500 MW in July, when two new power plants developed by the Mytilineos group and power utility PPC begin operating at full scale, and, above all, abundant water levels at hydropower facilities.

Reservoir water levels, usually the biggest concern for the power grid operator at this time of the year, are above last year’s level and currently offer 3,000 GWh compared to 2,940 GWh a year ago.

This rise is the result of increased rainfall in May and early June, as well as the operation of power utility PPC’s pumped-storage facilities at two dams, Sykia (Haliacmon river) and Thisavros (Nestos river).

Pumped-storage facilities operate as hydroelectric energy storage, based on a configuration of two water reservoirs at different elevations that can generate power as water moves down from one to the other, passing through a turbine. The system also requires power as it pumps water back into the upper reservoir.

The news is also favorable in terms of wholesale electricity prices, currently down to a two-year low. Wholesale electricity was priced at 83 euros per MWh in June, 2021, skyrocketed as high as 436 euros per MWh in August, 2022, and has now fallen, between June 1 and 6, to an average price of around 80 euros per MWh.

It still remains unclear if such a low level can be maintained throughout June. Cool early-summer weather conditions at present are helping subdue electricity demand and, in turn, keeping wholesale electricity prices down.

Europe falling behind North America in energy transition race

Despite taking the initiative, back in 2010, for action against the climate crisis, Europe has since lost plenty of ground and now lags behind North America in the energy transition race as a result of a lack of measures and incentives to attract related investments.

Evangelos Mytilineos, president and CEO at the Mytilineos group, as well as president of Eurometaux, Europe’s association for non-ferrous metals producers and recyclers, has pointed out this widening gap that separates Europe and North America.

The USA is subsidizing the cost of energy transition projects at a level of 20 percent, while Canada’s subsidy support reaches 30 percent.

Such investment support for energy transition projects is sorely lacking in Europe, more focused on setting goals and proposing actions such as the Critical Raw Material Act, intended to ensure the EU’s access to a secure, diversified, affordable and sustainable supply of critical raw materials.

Europe’s approach is failing to attract investors, and, even more crucially, energy-intensive industries, Mytilineos pointed out. Many are relocating their headquarters to Asia and the USA.

Energy cost is a key factor behind such decisions. Even now, natural gas prices in the EU, which have de-escalated, remain five times higher than in the USA.

Europe was particularly fortunate last winter as a result of lower temperatures, energy savings, the absence of China from markets, and restricted energy demand in the Far East. However, this fortune has begun changing as energy prices in the Far East are now beginning to exceed European prices. LNG tankers are heading back to Asia in increasing numbers.

The Mytilineos group’s chief forecast the USA would recover from the energy crisis sooner than Europe. Canada, also recovering faster, recently lured the Mytilineos group for a 1.16 billion-euro solar energy portfolio acquisition.

Delayed European decisions, held back by greater bureaucracy and the time-consuming need for approvals by all member states, will leave the continent well behind North America in the energy transition race, Mytilineos noted.

DAM price collapse a major concern for RES producers

The increased occurrence, in Greece, of day-ahead market prices reaching zero levels, or, as has been the case in other European markets, declines into negative territory, has emerged as a new threat for the financial sustainability of RES projects.

Last Sunday, Greece’s day-ahead market reached a zero-level price for eight continual hours, a result of elevated RES production, combined with subdued electricity demand and restricted exports.

Evangelos Mytilineos, president and CEO at the Mytilineos group, made reference to the impact on RES producer earnings of the crash in day-ahead market prices during the corporation’s annual shareholders’ meeting, held yesterday.

The zeroing out of wholesale prices is leading to hefty losses for RES producers with portfolios not possessing operating support contracts, or without green-energy PPAs, but, instead, participating in the market directly, Mytilieos pointed out.

Energy sufficiency safe for summer, operators inform

The energy sector’s market operators are confident the country faces no energy insufficiency issues going into summer, their optimistic outlook shaped by satisfactory hydropower station reservoir levels, maintained at last year’s levels, ample lignite stockpiles, as well as a bigger-than-ever addition of new RES units to the grid this year.

Moreover, the Mytilineos group and power utility PPC plan to fully launch new power stations over the next couple of months, to result in an extra capacity of 1,500 MW.

At a meeting yesterday, market operators informed RAAEY, the Regulatory Authority for Waste, Energy and Water, of their positive outlook for summer, after having already updated the caretaker government’s energy minister Pantelis Kapros.

Hydropower station capacity currently stands at 2,800 MW, RES unit additions offer 1 GW, lignite stockpiles exceed 3 million tons, while the 1,500 MW to be offered by the imminent arrival of the Mytilineos group and PPC power stations will further reinforce the country’s energy sufficiency.

Market operators and RAAEY held yesterday’s meeting to discuss moves already made, outstanding action still needed to fully protect the grid going into summer, and to resolve any pending energy-related issues concerning the Greek islands, where demand multiplies due to tourism activity.