Concern over grid, not supply
The heatwave of the last few days generated upward trends in electricity rates, as demand skyrocketed mainly from households that resorted to the use of air conditioners to cool down.
In the week of July 10-16, electricity demand increased by 15% compared to the immediately preceding seven-day period and reached 1.2 terawatt-hours, with the hourly load increasing by 944 megawatts.
On Tuesday, demand in the system, according to the estimates of the Independent Power Transmission Operator (ADMIE), reached 9,600 MW, a level Wednesday is expected to match, while on Friday the biggest peak is expected at 9,690 MW.
The country’s grid has coped without any particular problems with heatwave Kleon, while in recent days it has been tested by both the high temperatures and the wildfires. The concerns of the competent authorities are mainly focused on the grid operator (DEDDIE) and ADMIE network due to possible damage from the high temperatures that affect the transmission lines and substations mainly in the areas where fires are raging. In contrast, there are no concerns about the capacity to meet the increased demand. Since the start of the heatwave, PPC’s new Ptolemaida 5 unit and Mytilineos’ Agios Nikolaos 2 have joined the system, being in trial operation, while all available natural gas and lignite thermal units have been deployed too.
Electricity prices on the wholesale market are also heading higher, with the average price recording a nine-week seven-day high of 115.41 euros/MWh, marking an increase of 6.74% compared to the previous week. On Tuesday the average wholesale rate rose again to €117.48/MWh and for Wednesday it has climbed to €127/MWh.
Natural gas currently has a share of 39% in the electricity production mix, with renewable energy sources at 32%, imports at 10.9%, lignite at 9% and hydroelectrics at 6%.
The average wholesale electricity price in Greece remains one of the highest in Europe. On a monthly basis, with a MWh rate of €110.35, the Greek electricity market is the third most expensive in Europe.
