COMPENSATION

PPC close to securing nod for damages

ppc-close-to-securing-nod-for-damages

The European Commission views the Public Power Corporation request for compensation for its lignite plants favorably, Energy Minister Kostas Skrekas announced on Monday after a conference call with European Competition Commissioner Margrethe Vestager.

Following the example of other European power companies, PPC submitted an application to the Commission’s Directorate General for Competition (DGComp) for compensation of €530 million for the withdrawal of its coal-fired units in 2021-23 and their maintenance on standby status.

Vestager, the ministry said, declared that the Commission views the initiative for the closure of four lignite mines and units of PPC positively and is examining the legal basis for the application of the measure. Brussels has already approved such compensation packages for 30 coal plants across the European Union, and DGComp is currently probing the compensation of €4 billion the German state has approved for German electricity companies that are withdrawing coal-fired units.

Monday’s talks also focused on the formula for the compensation of hybrid power stations on islands not connected to the national grid, which the Commission also views in a positive light.