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The government is preparing a package of measures to strengthen industry

By Harry Floudopoulos

The energy crisis is directly affecting the operating costs of the industry, with the result that many industries are faced with huge increases, which will inevitably be passed on to the costs of their products, if energy costs are not reduced in the immediate future. The problem is more acute for energy-intensive medium-voltage industries as well as some individual high-voltage customers, as large energy-intensive industrial groups have entered into contracts with PPC, having secured fixed costs. It is noted that for its part, PPC has compensated, in order not to be exposed to strong market fluctuations.

However, for the vast majority of the manufacturing sector, the situation that has arisen due to the energy crisis is characterized as extremely problematic as the increases in the cost of electricity have exceeded all forecasts. The head of a large industrial group, says that while he had budgeted increases in energy of 250%, eventually the price increases have reached 400%, without being at all sure that they will stop there. In fact, if the energy crisis persists, then this industry is de facto forced to pass on the increased costs to the prices of its products. And it is not the only one, as it seems that from the new year, if there is no de-escalation of prices, companies will be forced to proceed with price increases, which in turn will trigger a new wave of inflationary pressures in the economy.


To address the problem of the energy cost explosion, the government is reportedly working on a package of measures to boost industry. The first step in this direction will be the strengthening of the industry and the enterprises of the Medium Voltage through the surplus of the Public Utilities Services for 2022. According to information, the responsible Minister of Environment and Energy K. Skrekas accepts suggestions and is seriously considering the possibility. , the surplus of SGIs that will arise in 2022, to be directed as a priority for the strengthening of the industry. This practically means that from the beginning of the new year it is planned to have a clearing and to proceed with the reduction in the electricity bills for the medium voltage and energy-intensive industries.

It is reminded that the completion of the interconnections of Crete and the Cyclades, is expected to have a benefit of 500 million euros per year, an amount that is expected to appear in the SGI charges from 2022. This is the amount that PPC spent on electricity in the Cyclades and part of the electricity supply of Crete, which are now covered through the interfaces.

According to RIS cycles, the surplus that will arise for SGIs, will be directed as a priority in the first phase to the industry and medium-voltage companies, while later it will reach the other consumers.

It is recalled that as part of the measures to address the energy crisis, the government has already announced the suspension of SGI charges for the period until March 2022 for both medium-sized industries and businesses and farmers. .

In any case, the model of reducing regulated charges or taxes is one of the options available to the government to reduce the energy costs of industry. This is because the direct subsidy of electricity or gas bills can not be applied to industry as it risks being considered by the competition authorities as state aid and a measure that violates competition rules.


Source From: Capital

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