Filenews 24 November 2022 - by Chrysanthos Manolis
At a time when criticism of EAC, the Transmission System Operator, CERA and the Government in general for the inadequate (in some areas) electricity transmission and distribution network, which limits (among other factors) the greater penetration of renewable energy sources in the energy mix, has been intensifying recently, it appears from the EAC budget for 2023 that the organization is planning for next year expenditures of € 68 million for projects related to the upgrading - expansion of networks. In total, however, the agency's capital expenditure for '23 (including improvement works at the stations) was estimated at €230 million.
The €68 million is enough to address the weaknesses and inadequacies of the networks; No, but it would be technically impossible to extend the transmission and distribution networks within a year. Their expansion and upgrading is provided for in a ten-year programme, hence significant sums are budgeted each year for this purpose. EAC's actual expenditure in 2021 for the improvement - expansion of the networks amounted to € 42 million - €70 million was budgeted. for 2022. But it is not known how much of the funds budgeted in 2022 were finally spent and how much will be spent from the 2023 budget. Usually a significant amount of the budget for the networks is not implemented, citing technical and bureaucratic problems (e.g. licensing by other services).
What is certain is that both EAC itself and the Transmission System Operator and CERA and the Government recognize that the electricity transmission and distribution networks are not sufficient for the current needs - and investments - for the expansion of the operation of RES parks, in the context of the intended "green transition". And they will continue to be insufficient for several years. It was only on Monday that the finance minister said mea culpa about the weaknesses of the networks and on the same day DISY, as the ruling party, acknowledged the validity of Mr Petrides' admission.
According to the budget for 2023, an expenditure of €37 million is foreseen for the improvement and expansion of the transmission network. euro, which will then have to be approved by CERA. Most of the money (€23.7 million) will be spent on the purchase and installation of equipment, while €11 million will be spent on the purchase and installation of equipment on expanding overhead lines and underground cables. The structural works for the upgrades will cost around €3.5 million.
Regarding the expansion and strengthening of the distribution network, expenditure of €31 million is foreseen for 2023. An expenditure of €18 million is planned for the extension of the medium-voltage network. and for the low voltage €20 million. In addition, €4 million has been set aside for this purpose. will be spent on improving the equipment and IT system for the operation of the distribution network.
€7 million in 2023 for smart meters
EAC plans to start -finally- in 2023 a three-year program for the installation of 400,000 smart meters, for the implementation, with a long delay, of CERA's regulatory decision in 2018, which invited the Electricity Authority to initiate the tendering procedures for the mass installation of modern smart meters. EAC's attempts to award a tender to a private contractor were met with an appeal by a bidder and a cancellation decision by the Tenders Revision Authority. If the problems are fully overcome by the end of the year, EAC will start installing the new meters from the beginning of 2023. The planning provides for about 130,000 meters per year. For 2023, an amount of € 17 million was budgeted, which, however, is expected to cover the cost of installing meters in new customers' premises.
POINT OF VIEW
Roll up your sleeves even now
Although the problem of the inability of the electricity transmission network and the distribution network to accept, in some areas, more energy from renewable energy sources (and in other areas the exhaustion of capacity is approaching) is not the only one that limits the penetration of photovoltaics (the lack of storage systems and the lack of interconnection with the European grid are two other serious problems), It is perfectly acceptable to those responsible that a gigantic coordinated operation, at a rapid pace, is necessary to expand and upgrade the network. A political decision is also required, and central coordination is required. It is also necessary to complete the state's spatial planning for the areas where the new parks will be directed in the future and to speed up the submission of the study for the redesign of the transport system. Too much work and too much money...
