Greece will sell its coal-fired plants and coal mines equal to about 40% of its dominant power utility Public Power Corp’s (PPC) coal-fired capacity, as part of a reform deal the government reached with its foreign creditors.
The move aims at opening the energy market in Greece, which is second only to Germany in terms of lignite coal production in the European Union.
Athens will begin testing the waters for such sale in November, with the goal of wrapping up the sale by June 2018, a government official told Reuters.
The government needs the funds urgently, as it needs to repay 7.5 billion euros in debt maturing in July.
Coal is currently Greece’s single most important local energy source, according to World Energy Council and PPC is the nation’s largest producer of the fossil fuel, with the right to exploit 63% of known reserves.
The state-own company is also the country’s main electricity provider, producing 95% of Greece’s total electricity supply.