ECONOMY

Plans for the sale of PPC lignite plants

The government?s planned intervention in the Public Power Corporation includes both the sale of production plants and the introduction of a strategic investor.

In case, however, the plan for a strategic investor does not bear fruit, the government intends to sell PPC subsidiaries from its Renewable Energy Sources division to the transmission and distribution networks.

The sale of lignite plants will come before the measures for the privatization of PPC and will exclusively concern the closure of the lignite issue with the European Commission.

The package that Athens will offer Brussels in order to close the issue of abolishing the PPC monopoly on lignite includes the sale of one or two lignite plants, a number of swaps (exchange of power by specific plants) and the mine at Vevi with the new plant it will feed.

The total output of this package does not represent the 40-percent level required by the Commission, but Environment Ministry sources are confident this will be accepted if coupled with the further privatization of PPC.