Government and Industry in an “Energy Bargain” – Support Measures under Brussels’ Rules..!!!

Shielding industry and businesses from energy costs

SEV has put forward a proposal dubbed “Energy Industrial Reset,” modeled after the Italian scheme. It foresees €285 million annually for three years, covering 100% of electricity consumption for High Voltage industries and 80% for Medium Voltage. The support would come via an “energy loan,” repayable over 20 years through investments in new renewable energy projects with a total capacity of around 1.75 GW.

Support without derailing the budget

The Finance Ministry, however, considers the proposed cost prohibitively high. As government officials underline, “support measures must not blow up the state budget.” The compromise under discussion is a scaled-down version covering around 50% of consumption — a middle ground between SEV’s proposal and the Italian model, which subsidizes only 30%.

Energy at half the cost

The government’s aim is not to limit the scheme to heavy industry alone. Large commercial and tourism consumers such as supermarket chains, hotels, and logistics centers are also expected to be included, turning the scheme into a broader market support measure.

A key condition is that support will be allocated through competitive tenders. This ensures transparency, avoids overpricing, and secures the most efficient allocation of available resources.

The Greek version of the Italian model

Another central requirement is compliance with EU rules. The plan must receive approval from the European Commission’s Directorate-General for Competition to avoid the risk of rejection, since Brussels closely monitors all forms of state aid that may distort competition within the single market.

The role of renewables and the “grey areas”

Concerns remain over the mechanism for businesses to “repay” the energy through investments in renewables. With the Greek photovoltaic market already oversaturated, the option of combining projects with storage systems (batteries) is being considered. This would enhance grid stability but would also raise the overall cost.

Despite technical complexities and regulatory hurdles, both the government and the business sector appear determined to move forward with a mechanism that can effectively reduce energy costs, believing that practical details can be resolved along the way.

Source: pagenews.gr