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JRC Smart Electricity Systems

Assistance to Greek electricity and gas market reforms

Background and context

Since the initiation of the deregulation process in 2000, the Greek market design has evolved, not independently of the underlying market structure, intending to alleviate the distortions arising from structural features.

The Greek energy sector is undergoing a series of reforms, especially in the context of aligning the electricity and gas markets with the relevant EU Target Models (for example!pr97FQ).

These reforms aim to remove market distortions, and increase the security of energy supply. In this context, the Structural Reform Support Service (SRSS,!hp49RC), a Directorate of the European Commission, coordinates and provides technical support to Greece, in cooperation with the relevant Commission services.

Our role

In collaboration with SRSS and DG Energy, the Joint Research Centre is providing support to the Hellenic government and other national authorities, on issues related to energy sector reforms. This support mainly regards implement significant reforms in the Greek electricity market with the aim of aligning it to the EU Target Model, and providing support for various issues related to the gas sector. More specifically, the support activities cover the following areas and topics:

  • High-level market design for the wholesale electricity markets, the relevant network codes, and high-level advice on information technology functional design specifications

  • Proposals on market power mitigation measures

  • Auction-based capacity mechanism

  • Framework for Demand Response

  • Guidelines for drafting of gas risk assessments, and gas prevention action plans 

  • Potential uses of compressed natural gas

  • Value of lost load

  • Energy poverty

For more information on the project, please contact us.

2018 - Societal appreciation of energy security. Vol. 4: Value of Lost Load - Greece

2018 - Societal appreciation of energy security. Vol. 4: Value of Lost Load - Greece

This report presents the results of a study on the Value of Lost Load (VoLL) in Greece for various scenarios of interruptions of power supply. The VoLL is the value of unserved energy, and quantifies the value of damages perceived by energy users, in case of a blackout. The VoLL is used as a proxy of the economic value of reliability or alternatively of the social costs of power outages.

The study involved two surveys: one on a random sample of 1500 households, completed via web and telephone interviews, and a second on a random sample of 750 non-residential customers included industrial, commercial and small medium enterprises participating in telephone interviews. VoLL is a latent unobservable variable and is influenced by characteristics of the consumers. In the literature on the monetary valuation of VoLL, a common approach is to consider the variation in well-being of consumers comparing the two conditions (with/without electricity supply). The value of the damage, in this methodological framework, is represented by the consumers' willingness-to-pay (WTP) to avoid the interruptions, and by the willingness-to-accept (WTA) compensations for the inconveniences of the interruptions.

2017 - Assessment of underlying capacity mechanism studies for Greece

2017 - Assessment of underlying capacity mechanism studies for Greece

This report presents recommendations for the Greek power system adequacy assessment. Approaches to generation adequacy assessment vary between countries, not only with regard to the implemented methodology, but also with regard to the generation and demand models used to estimate these elements. Furthermore, the results are very sensitive to the assumptions used to project future resources and demand(s). In this context, there is a need for harmonisation of models, data assumptions, and inputs between national and European adequacy and flexibility studies. Best European and international practices based on the current and future evolution of the power system, should be adopted and implemented to provide a common assessment methodology for the pan-European and national adequacy studies.

Following the assessment of the studies, the main recommendations for potential improvements are summarised below. It should be mentioned that to achieve full alignment with the ENTSO-E standards on generation adequacy studies or the state-ofthe-art on flexibility assessment, the implementation of (at least) these methodological suggestions is needed.