Post-Kyoto energy consumption strategies for the Greek interconnected electric system

Abstract

Abstract The liberalization of the Greek electric market (Law 2773/99, updated with Laws 3175/2003 and 3426/2005 for incorporating Directive 2003/54 into the Greek legislation) is in its final structural transformation, which includes the fact that from 1.7.2007 each customer can select its electricity provider. This new status together with the procedure towards the formation of a post-Kyoto plan, raise the need of examining different energy saving strategies in the consumption side for evaluating their economic and environmental consequences. Such strategies may be useful for the decision makers or the electricity retail companies. This paper examines the influence of several post-Kyoto electricity consumption strategies in the Greek interconnected electric system for the period 2005–2025. The aim of the paper is to be used as a decision makers’ tool for investigating the potential of electricity consumption policies. The results show that policies related either to seasonal peak demand control, or targeting at the total electric consumption lead to significant gains and emission reduction. Moreover the influence of factors, such as the weather conditions, the discount rate of the energy investments, the fuel prices evolution and the consumers’ behavior linkage with oil prices are examined.