ECONOMY

PPC results lead to power rate hike

ppc-results-lead-to-power-rate-hike

Shrinking turnover, a drop in operating profits and growing losses are the takeaways in the nine-month financial results published by Public Power Corporation on Thursday, a result of the contraction of the utility’s market share and pressure from external factors such as electricity auctions, the system marginal price and the cost of carbon dioxide emissions, which has quadrupled since 2017.

Developments in relation to the last two factors are compelling PPC to explore the option of increasing electricity rates to make up for the additional cost. The company’s chief, Manolis Panagiotakis, suggested as much in comments during the presentation of the results. “The impact of external factors such as rising CO2 rights and a significant increase in the system marginal price are forcing additional measures in order to increase earnings, which is essential to the company’s financial sustainability,” he said. “We are working this end so as to minimize the impact on consumption, while also adopting measures to improve customer services.”

PPC’s turnover slumped by 154.1 million euros, or 4.3 percent in January-November year-on-year due to the drop in its market share and domestic demand, reaching 3.47 billion euros. Operating profits dropped 21.9 percent to 188.9 million euros.