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Report on the electricity sector from A. P. E. In the framework of the reform of the support mechanism

In the context of the obligations of the new Economic policy programme Ekponithike “report on the res power sector in the framework of the reform of the support mechanism”. In the drafting of the report, he participated, at the invitation of the Y.P.E.K.A. and at the suggestion of the institutions of the Res market, a group of specialised experts in the sector, whose contribution was technical and advisory in Nature.

In this report there was an initial investigation into the compatibility of the supportive scheme applied in Greece with market developments, the existence of a burden on public finances and consumers, and Different supporting schemes have been evaluated taking into account the characteristics and organization of the Greek electricity market, always in the light of the Country’s commitment to achieve the objectives set in the framework of EU POLICY. For a gradual transition to a low-carbon economy and an increase in the security of its energy supply.
In more detail, The report describes the current organization of the electricity market in Greece and lists the trends and basic parameters that define the development (trends and Drivers) as well as cost elements for all Technologies. It then analyses how the support mechanism of the power generation from RES in Greece today, with reference to the method of calculating the compensation price, how to avoid overcompensation – this is listed Concrete proposals to activate measures in addition to those currently in force – and its correlation with public finances, followed by an investigation into the possibility of implementing alternative support models (Feed-in Premium and Quota). finally, proposals are being presented to speed up the development of RES

The strategic choices of the Greek state, especially in recent years to support the Res industry, are the following:

Selection of the guaranteed fixed price mechanism (feed-in-tarif) as the main tool for strengthening RES
Financing the mechanism of guaranteed fixed prices directly from electricity consumers.
Adjustment of the aid mechanism (guaranteed prices) and the level of guaranteed prices in a series of ad hoc legislation to deal with possible cases of excessive compensation.
The way in which the value of guaranteed prices is adjusted and the application of ad hoc procedures for adapting them, when deemed appropriate, resulted in the technologies – for which a stability in their costs has occurred (wind and small Hydro) – The basic FIT value to remain virtually unchanged at constant prices over the past Decade. respectively, in the case of fb, at the beginning of 2009 a reduction of the guaranteed prices took place and at the same time was introduced for the first time an automatic impairment mechanism, accompanied by an amendment to the annual adjustment mechanism, in order to provide Faster adjustment of the relatively high prices to the decreasing cost of technology. The Greek government, taking into account, among other things, the further reduction of the cost of PV systems in the three years 2009-2011, was launched at the end of the third quarter of the year 2011 consultation, with the objective of streamlining the support mechanism for Res following the public debate process within the first quarter of the year 2012 a new reduction of the guaranteed prices for PV was held by 12.5%, accompanied by an acceleration of the regular (bi-annual) impairment Rate.

The growth of the RES market in Greece has followed a steadily upward trend, but it still falls short of the effective and full utilization of the available potential. undoubtedly, 2011 was a positive year and developed a significant dynamic, especially for wind and photovoltaic technology, with an equally encouraging image of investment interest and other technologies such as biomass and small Hydroelectric. however, a further increase in the annual growth rate is needed to achieve the national binding targets set in the EU framework for the gradual transition to a low-carbon economy.

The crucial factor for development is the removal of administrative barriers, which consist mainly of the polynomia that governs the licensing process and how it is Implemented. This report identified and recorded the areas where measures are needed to speed up the licensing process res

As regards the selection of the support framework for RES in Greece and given the characteristics of the res market and the electricity market, as recorded and analysed in this report, the implementation of a quota mechanism in Greece is not It seems feasible. On the other hand, the development of the RES market in the coming years, the increase and dispersion of wind installations and the growth and maturation of PV technology, combined with the maturation of the electricity market, will allow possible the More effective introduction of a FIP mechanism for certain technologies by minimising its handicaps. Possible implementation of such a system in Greece should be carefully studied with the primary concern not to overturn the upward trend of 2011. The utilization of the advantages of such a system can be considered through a careful planning that takes into account the above parameters and the development of both the res market and the electricity market in Greece. Greece will monitor and examine in the context of the consultation that will follow the way and time of the possible implementation of a FIP Mechanism.

In order to monitor market developments to avoid excessive compensation, it has been proposed to set up a standing control and surveillance group of the support mechanism, which will monitor trends and the changing cost of systems, It has direct access to all the statistical data of the new installations and will recommend timely corrective movements, as long as Required.

For the formulation of the final draft reform of the RES support mechanism, it has been proposed, on the basis of a specific timetable, to conduct an effective public consultation in the coming months, with all the Bodies.

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