Scoop has an Ethical Paywall
License needed for work use Register

Search

 

Cablegate: Renewables Market in Greece - Opic-Supported

VZCZCXRO1752
OO RUEHAG RUEHDF RUEHIK RUEHLZ RUEHROV
DE RUEHTH #1504 3051551
ZNR UUUUU ZZH
O 311551Z OCT 08 ZDS
FM AMEMBASSY ATHENS
TO RUEHC/SECSTATE WASHDC IMMEDIATE 2704
INFO RUCNMEM/EU MEMBER STATES COLLECTIVE PRIORITY
RHMFIUU/DEPT OF ENERGY WASHINGTON DC PRIORITY
RHMFIUU/HQ EPA WASHINGTON DC PRIORITY

UNCLAS ATHENS 001504

C O R R E C T E D C O P Y - CAPTION ADDED

SENSITIVE
SIPDIS

DEPT FOR EUR/ERA FOR BEH/NELSON, EUR/PGI FOR TESSLER,
OES/PCI FOR FITE/HUDAK, OES/EGC FOR FENDLEY, OPIC FOR
PEARCE/HANSLEY

E.O. 12958: N/A
TAGS: EINV ENRG KGHG SENV TRGY GR IS
SUBJECT: RENEWABLES MARKET IN GREECE - OPIC-SUPPORTED
INVESTMENT FUNDS

REF: A. SECSTATE 103210
B. ATHENS 001411
C. ATHENS 001457
D. ATHENS 001481

1. (SBU) Post believes that at this time Greece is not yet
ready for investment in the renewables sector given
bureaucratic hurdles and a substantial backlog of projects.
(See reftel d for details on the renewables sector in
Greece.) Despite strong growth potential and a high priority
given to stimulating market conditions, Post believes that
the Government of Greece (GoG) still faces considerable
challenges to building capacity and facilitating investment
in the sector. At present, although Greece is a member of
the European Union, it continues to be ranked low in the
areas of investment climate and ease of doing business in
renewables.

Advertisement - scroll to continue reading

Are you getting our free newsletter?

Subscribe to Scoop’s 'The Catch Up' our free weekly newsletter sent to your inbox every Monday with stories from across our network.

2. (SBU) Greece's energy markets continue to be dominated by
a few players, particularly in the wind renewables sector.
Although Greece is attempting to deregulate its energy
markets, these efforts have not yet yielded results. In the
area of solar energy, the GoG is trying to revamp its
legislative structure to attract investment. The GoG offers
either a capital or a feed-in subsidy to prospective
investors; however, the financial incentives must be
restructured so that the GoG can afford this ongoing
financial obligation in the long-term. (reftel d)

3. (SBU) At the present time, the GoG has over-extended its
financial obligations and is attempting to scale down the
price to which it has committed a fixed forward rate for the
purchase of electricity. In addition, the GoG does not have
the capacity to review and administer increasing levels of
investment in renewables. There exists a substantial backlog
of applications and the request for proposals was
oversubscribed by five times in the last year. As a result,
Post does not believe that such an investment fund would be
able to realize gains over the short-term; however, if Greece
is able to straighten out its legislative framework in order
to ease bureaucratic hurdles, it could face success in the
long-term.
SPECKHARD

© Scoop Media

Advertisement - scroll to continue reading
 
 
 
World Headlines

 
UN News: Aid Access Is Key Priority

Among the key issues facing diplomats is securing the release of a reported 199 Israeli hostages, seized during the Hamas raid. “History is watching,” says Emergency Relief Coordinator Martin Griffiths. “This war was started by taking those hostages. Of course, there's a history between Palestinian people and the Israeli people, and I'm not denying any of that. But that act alone lit a fire, which can only be put out with the release of those hostages.” More


Save The Children: Four Earthquakes In a Week Leave Thousands Homeless

Families in western Afghanistan are reeling after a fourth earthquake hit Herat Province, crumbling buildings and forcing people to flee once again, with thousands now living in tents exposed to fierce winds and dust storms. The latest 6.3 magnitude earthquake hit 30 km outside of Herat on Sunday, shattering communities still reeling from strong and shallow aftershocks. More

UN News: Nowhere To Go In Gaza

UN Spokesperson Stéphane Dujarric said some 1.1M people would be expected to leave northern Gaza and that such a movement would be “impossible” without devastating humanitarian consequences and appeals for the order to be rescinded. The WHO joined the call for Israel to rescind the relocation order, which amounted to a “death sentence” for many. More


Access Now: Telecom Blackout In Gaza An Attack On Human Rights

By October 10, reports indicated that fixed-line internet, mobile data, SMS, telephone, and TV networks are all seriously compromised. With significant and increasing damage to the electrical grid, orders by the Israeli Ministry of Energy to stop supplying electricity and the last remaining power station now out of fuel, many are no longer able to charge devices that are essential to communicate and access information. More

 
 
 
 
 
 
 
 
 
 
 

Join Our Free Newsletter

Subscribe to Scoop’s 'The Catch Up' our free weekly newsletter sent to your inbox every Monday with stories from across our network.