November will come “shop” for 49% of HEDNO, that is, the PPC subsidiary that manages the power distribution networks.
The partial privatization of HEDNO is expected to begin in November, at a rate 49%, but with strong minority rights to attract not only institutional, but also strategic investors.
According to the Ministry of Environment and Energy, HEDNO privatization process will move at "high speeds", with its completion being calculated for its spring 2021.
This privatization requires significant bureaucratic preparation, which includes the approval of the new regulatory framework for HEDNO, but also the government's specialization of the details of privatization.
From the point of view of the Energy Regulatory Authority (RAE) are expected to proceed with a series of changes regarding the regulated revenues of HEDNO and the increase of their validity period.
The aim is to have "visibility" for HEDNO revenues to potential investors, in view of privatization, in order to formulate their financial offers and their investment plans for the company. The new regulatory framework will also include incentives to increase the manager's investments but also disincentives in case investments are delayed..
The privatization of HEDNO will be, among other things, a strong cash injection for PPC, while it is part of the wider consolidation effort that is underway and concerns the largest company in Greece, the Public Electricity Company.
The schedule of the other major privatizations that make up the RIS portfolio is as follows::
- The process of privatization of DEPA Infrastructure and DEPA Commerce is in progress, for which there is a very strong interest both from Greece and from abroad. The aim is for the selection of the contractor for DEPA Infrastructure to be completed by the end of January. 2021, while DEPA Commerce will follow.
- The international tender for the submarine natural gas tank of Kavala has been announced. Until 30 The first non-binding offers are expected in September.
- In LARCO in the next few days, the result of the arbitration between the State and the company is expected. In October - regardless of the outcome of the arbitration – the bidding competition begins.
- The further privatization of IPTO is also in the planning of the Ministry, for which it introduced a relevant provision in the recent environmental law.
- End, in the plans of RIS is the further privatization of ELPE, in due course and based on developments in international markets.