The Greek electricity and natural gas market is characterized by a high concentration in a few dominant companies: this is the conclusion of the policy brief published by the Center for Liberal Studies (KEFIM) in collaboration with the European network EPICENTER.

Specifically, in the study signed by Iliana Papacharalambous (LLM, University College London, Visiting Researcher of the ACG Center of Excellence in Sustainability) and Christos Bentsos (Ph.D. candidate, University of Piraeus, Department of Maritime Studies, LYMEC IMS) the following are highlighted, among others :

  • The retail electricity market is highly concentrated, with a few dominant companies controlling a significant market share. One participant corresponds to a share of 55.6%, while 5 of the 18 participants have shares above 5%. The share of the other participants is cumulatively 8.8%.
  • The retail gas market is also highly concentrated. The market includes 8 participants – the dominant one holds 34.4%, while the second largest participant holds 30.4%. There are also 4 participants with less than 5%.
  • Natural gas and renewables dominate power generation, although lignite’s share increased in 2022 reflecting efforts to replace Russian natural gas in the short term following the invasion of Ukraine.
  • In 2022, the share of natural gas in energy production dropped to 33.5% from 40%, while renewables reached 35%. Imports in 2023 approach 20% reflecting the flows from cheaper markets to the Greek market.
  • According to the Organization for the Cooperation of Energy Regulators of the European Union, cross-border trade and market integration measures have benefited consumers by around €34 per year.

In conclusion, to address the problem, the study “makes specific policy reform proposals that include, among other things, interventions to improve the access of smaller market participants, to address the root causes of the current crisis, such as by accelerating the decline in demand natural gas, leveraging mechanisms that make gas prices less vulnerable and ensure supply to compensate for Russian gas declines and further promote gas storage infrastructure.”