EnergyEnergy

Greece: hub for energy independence of Europe?

Georgette Lalis

Task Force for Greece – Head of the Athens office

EnergyEnergy

The main framework

Energy Roadmap 2050 (15/12/2011)

Connecting Europe (02/10/2012)

Internal Energy Market (15/11/2012)

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The internal energy market can deliver

Economic growth

Jobs

Securesupply

Sustainable use of limited

resourcesAffordable

energy

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The internal market helps keeping prices in check Wholesale electricity prices in the EU have risen three times less than the import price of gas and

four times less than the price of crude oil in the last 10 years.

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Independent national energy regulators are central to ensure truly competitive markets

ENERGY REGULATORS ARE INDEPENDENT

CONCERNS ABOUT INDEPENDENCE

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Bridging the gap between Member States

• No Flows

• Flows only in one direction•

• Flows in two directions

GAS FLOWS

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High concentration in retail electricity markets

•

• VERY HIGH (ABOVE 5000 HHI)

• HIGH (1800 – 5500 HHI)

• MODERATE (750 – 1800 HHI)

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Economic crisis = Chance for Greece

Restructuring of the energy market

Rectification of problems in the energy market

Put in place an appropriate regulatory framework

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Infrastructure hub in SEE

Greece can develop towards an infrastructure hub in South-East Europe

Southern Corridor

LNG in Revythoussa

Future developments in Eastern Mediterranean

BUT: need to make the regulatory framework right

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The Southern corridor: a priority for Europe

FYROM

TAP

Nabucco West

TANAP

SCP-X

Trans-Caspian

In June 2012, Turkey and Azerbaijan signed were a binding intergovernmental agreement, a host country agreement for the development of

TANAP and a commercial memorandum between Socar and Botas

Decision expected by June 2013

Negotiations started

Expansion plan to be decided

soon

Shah-Deniz II FID by end 2013

Nabucco "Classic" – back-

up option to TANAP

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Value in the Southern Gas Corridor

• Open a reliable and significant route for gas from the Caspian Region [new source]

Bringing Azeri, Turkmen and/or Iraqi gas direct to the EU

• Improve Security of Supply in Southern Europe

Diversifying the countries put most at risk in the 2006 and 2009 supply cut-offs

• Reduce transit risk [new route]Creating a new physical bridge to import gas in

Europe

• Increase wholesale competition [new counterparts]

Bringing new gas volumes to (new) gas hubs, fostering liquidity and competition in the wholesale markets

> 75 %

50 - 75 %

25 – 50 %

< 25%

0%

% of missing gas supply from 6 to 20 January 2009

Different value of projects – objective criteria

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Key issuesCommunication on the Internal Energy Market

Electricity

Develop a competitive + open market

Phase-out price regulationuniversal service obligationeffective protection of vulnerable consumers

Develop power exchanges

Improve efficiency of PPC

Reform RES

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Key issuesCommunication on the Internal Energy Market

Gas

Facilitate functioning wholesale market

Integration with neighbouring Member States

Set-up a spot market and exclusive rights of regional gas supplier

Non-discriminatory allocation of capacity of the interconnection

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Empowering Consumers• Full opening of retail

markets to ensure full consumer choice

• More widespread use of micro-generation

• "Smartening" of energy system to enable demand response

• reduced dependence on grid electricity/ suppliers

• Support energy efficiency measures

Enhanced public acceptance for renewable energy projects

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•Share of renewable energy

(% of total energy use)2020 national target2009 performance

%

Source: European Commission

What needs to happen post-2020?

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Renewables developments in Greece

Greece is on a good way to fulfil its 2020-targets

Wind on islands

Solar (in particular PVs)

Other forms of renewables less relevant

Beneficial support scheme

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THANK YOU FOR YOUR ATTENTION!

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