Sharp criticism of the government’s energy policy, from the famous Roadmap that aspires to lead to a 30% reduction in energy costs over three years, to batteries where he also placed his emphasis, was delivered yesterday by the head of the AKTOR group, launching targeted arrows against the political leadership of the Ministry of Environment and Energy.
Both regarding the mix of policies that make up the target for lower costs in the 2026-2029 three-year period and the paradox that it is linked to the self-evident obligation to crack down on… electricity theft, and above all regarding the wrong choices of those responsible at the Ministry of Environment and Energy around the burning issue of energy storage.
On the one hand because Greece may have filled up with RES but “forgot” batteries (they do not exceed 700 MW) and is trailing Bulgaria (over 6 GW), and on the other because the neighbors benefit in various ways from Greek RES, without us collecting a large part of their added value.
By storing the cheap Greek solar energy they import at midday, our neighbors sell it back to us in the evenings, often at higher prices, having developed one of the largest battery fleets in Europe, without subsidies at that.
“Open up the battery market,” was Exarchou’s message during the press conference that followed the group’s half-year results, arguing that an investor should be able to install as much storage capacity as they consider economically viable, without artificial restrictions.
“Let someone explain to me why the free installation of batteries should not be allowed, without subsidies for those willing to risk their own capital. I am unable to understand it, my mind seems to be very small and I lack the ability of comprehension. If you go to someone smarter at the Ministry of Energy, they will answer you satisfactorily. And if you do that, I too will be satisfied, because in the end I will understand,” he said characteristically, bringing back as the key question what public interest is served when barriers are placed on investments so necessary for the country, such as these
The energy problem will become a banking one
X-raying the solution, according to him it must include high-capacity batteries (at the level of 100 MW and above), without obstacles, both for the granting of connection terms and with regard to the reservation of electrical space.
If there is no drastic acceleration of investments in batteries, the head of AKTOR predicted that within the next 2-3 years, curtailments of green energy, that is the quantities we currently throw in the “trash,” will move at 20%, therefore a host of loans with which photovoltaic plants were built will turn red, and then the energy problem will become a banking one.
The risk of a “black market” in permits
Referring in fact to the Ministry of Environment and Energy’s call (without subsidies) for the granting of connection terms with fast-track procedures, he spoke of the risk of creating a new “black market” in permits.
“This means that many of those who will have obtained permits will be going around here and there with such a little paper. A black market in permits will be created, like the one in photovoltaics. Thus, under the regime created by the Ministry of Environment and Energy, five years from now permits may have been granted for, say, around 5 GW, covering the target figure, without however the projects having been carried out in the meantime”, he said characteristically.
Reducing prices is unfeasible with the Ministry of Environment and Energy’s policies
The criticism of AKTOR’s strong man also did not spare the mix of policies announced at the beginning of the month by the Ministry of Environment and Energy, specifying the Prime Minister’s announcement at the Thessaloniki International Fair for a 30% reduction in energy costs over three years.
“The intention is admirable. The Prime Minister’s commitment is moving and obviously in the very right direction. Would it be feasible? I think yes. But from what I heard, is it feasible? I doubt it,” he said.
First, because as he said, he expected to hear a very strong fast-track battery development program, since pumped-storage projects, although necessary, need much more time to be implemented.
And second, because the plan included as price-reduction tools policies such as cracking down on electricity theft, that is, interventions self-evident in any case for the competent authorities.
“Let the otherwise likable ministers and deputy ministers of the Ministry of Energy allow me to say that tackling electricity theft should not be linked to reducing electricity prices for the citizen. That is, we are saying that we will reduce the price of electricity because we will catch those who steal electricity and therefore we will not force people to pay for the one who steals. Therefore the reduction in the energy bill is linked to whether we will succeed in doing what we are in any case obliged to do,” he said.
“I did not understand the measures that are aimed at reducing the price of electricity by 30%. I could not understand them. Therefore I continue to proceed on the assumption that whatever the Prime Minister says, he does. And I expect a new set of measures at some point that will prove that the 30% reduction will indeed be achieved,” he added characteristically.
Alarm bells for electricity ahead of winter
Ahead of winter, Mr. Exarchou repeated his forecasts that we may even see prices of 100 euros/MWh in natural gas, with whatever that will mean for electricity prices in Greece, while at the same time criticizing the European Union’s energy policy.
“The crisis in the Gulf has reached such dimensions that a top gas producer like Qatar is being forced to buy LNG from the Americans. China is doing the same, despite the natural gas reserves it has. What is Europe doing? From where exactly does it hope to buy gas to fill its storage facilities?”, Mr. Exarchou wondered.
He nevertheless repeated that the Old Continent must depend neither exclusively on American LNG nor return to a one-sided dependence on Russian gas. The solution must be the diversification of supply sources and the securing of long-term contracts, which however, as he said, for the time being at least, are absent.