The Greek government announced its economic recovery plan after the new crown pandemic. The strategy aims to raise at least 10 billion euros for the green energy industry and is expected to receive further loans from the EU.
Greek Prime Minister kyriakos mitsotakis outlined a national economic recovery plan aimed at transforming “the country’s economic and institutional model” through modernization.Greece’s post epidemic economic recovery strategy follows the EU recovery fund principle reached in July last year and is based on the reform policy proposed by the mitsotakis government since its election in July 2019. The resulting policies include the 2030 energy and climate plan; a plan to phase out coal by 2028 at the latest; and a new digital renewable energy licensing system.
Greek economic recovery plan
The recovery plan put forward by mitsotakis yesterday will be submitted to the European Commission for approval this month. Its four pillars are green energy transformation, economic digitization, livelihood policies related to employment plan and education, and private sector tax, export plan, R & D and other reforms.
Among them, the green energy transformation aims to invest 6 billion euro of EU funding in clean energy, supplemented by 4.4 billion euro of private investment.
As the EU’s recovery and resilience fund will also provide loans, the total amount of liquidity invested in green energy projects is expected to expand to billions.
All four pillars of Greece’s five-year recovery plan will receive 12.73 billion euros of loans from the European Union on the basis of 18.2 billion euros of funding. In addition, it is expected to attract 26.5 billion euros of cash from the private sector. The 54.5 billion euro that the Greek government is most concerned about will increase the national GDP by 7% by 2026.
The government said yesterday that the European loan funds available would only be available to private investors, capped at half the project cost. The funds will be distributed through domestic and international banks and financial institutions.
The Greek economic recovery plan will include up to 1.38 GW of pumped storage and battery energy storage. A spokesman for the Greek Ministry of environment and energy told photovoltaic magazine that the government has set up a team to draft a regulatory framework for energy storage this year.
Photovoltaic arrays will also play a role in the government’s plan to invest about 1 billion euros to upgrade the country’s building ownership through measures such as improving energy efficiency and smart energy systems.
The smart energy and electric vehicle sector will also receive a 450 million euro grant dedicated to upgrading the business infrastructure. The strategy also includes plans to expand the national electric vehicle charging network and build an electric public transport fleet.
Some of the power interconnectors operating between the mainland and the Cyclades Islands will be expanded, and the government plans to invest cash to establish a national renewable energy development fund after overcoming its previous financial difficulties.
Post time: Apr-13-2021