Workers at Greece's 51% state-controlled Public Power Corporation SA (PPC.AT) will stage a 24-hour strike Jan. 29, to protest against management plans to jointly build two new power plants in conjunction with Germany's RWE AG (RWE.XE).
In a statement released late Friday, the General Federation of Electric Power Workers, or Genop, union said "the 24-hour (strike) is just the beginning, the fight has just begun."
At issue is a PPC management plan to sign a memorandum of understanding, or MOU, for cooperation with RWE unveiled late last year and which is expected to be voted on by the PPC board at its next meeting Jan. 29.
The deal calls for the construction of two 800MW power plants and the acquisition of two secondhand gas turbines, as well as cooperation in the natural gas and renewable energy sectors. It also foresees PPC taking a minority 49% stake in a joint venture with RWE.
The last point, namely PPC's minority interest, has generated strong opposition from the company's powerful labor union, Genop. The union sees the MOU with RWE as a step towards the further privatization of PPC and has previously vowed to block its adoption.