Chinese firms are competing with French and Italian for a 24% share in the Greek electricity grid (EPP) under privatization.
Under the conditions of the Greek bailout, Greece must partially or
fully privatize its 11,000 km grid. The state currently owns 51% of the
grid and is looking to privatize 24%, currently owned by the public
electricity utility; for sale is the 11,000 km network of high-voltage
power cables in Greece.
Italy’s Terna, France’s RTE are competing with the colossal State
Grid Corporation of China (SGCC); another Chinese company, ENTZO_E. is
considering joining a European Consortium.
Kathimerini reports a Chinese interest for an additional 17% share in
the public electricity utility, also part of the Greek privatization
program. Under the Greek bailout agreement, the Greek public utility
must reduce its share of the energy market below 50% by 2020 from about
92% today.
Final and binding bid will have to be submitted by October 31st,
2017. European firms will be up against insurmountable competition, if
Chinese enterprises resolve regulatory issues stemming from European
legislation.
Of particular interest to Greece is the willingness of China to
invest in the interconnection of Greek islands, including Crete, to the
mainland electricity grid. That is a major investment program that
successive Greek governments have failed to implement, adding
significant cost to the overall cost of electricity in the biggest
European archipelago, added cost for tourist services, and
under-exploitation of wind energy farms in some of the most promising
fields in Europe.
China is said to view Greece as a platform for investment in infrastructure in the Balkans.
Chinese companies are willing to pay more for Greek assets. During
the previous tender for 66% of the Greek grid, SGCC made an precisely
double the size of more than 600 million euros, reaching up to 800
million under certain conditions, while Terna offered 300 million euros.
(Reuters, Kathimerini)
https://www.neweurope.eu/article/china-rivals-european-firms-slice-greek-electricity-grid/