The American-Hellenic Chamber of Commerce, in cooperation with the Hellenic Association for Energy Economics, the Atlantic Council and the U.S Chamber of Commerce, is holding the Southeast Europe Energy Forum on Friday, September 11, 2020 at the MET Hotel in Thessaloniki, Greece. The Forum will be held in hybrid format on the day prior to the state address of Prime Minister, Kyriakos Mitsotakis and the official opening of Thessaloniki Helexpo Forum that has replaced the 2020 Thessaloniki International Fair.
In today’s ever more competitive world, and with the growing need for more alternative resources, European energy policies can only be successful if the European Union works closely with all its partners around the world. In the same context, global geopolitical and market developments over the last years highlighted SE Europe countries as important players of EU energy strategy. EU energy policy is centered on three key objectives: security of supply, sustainability, and competitiveness. To reach these goals, the EU follows a strategy to create a resilient Energy Union with a forward-looking climate policy that requires more of regional cross-border approach. The integration and development of regional markets in the SE European countries is key to cost-efficient investments given that market integration will boost security of supply in the SE European countries and provide the right signals to investors.
On top of these, the East Med Act agreement created a solid frame of cooperation between Greece, Cyprus, and Israel with the support of the USA that will contribute further to energy diversification and independence of Europe.
The Southeast Europe Energy Forum will bring together key policy makers, thought leaders, regulators, top market players, financiers, academics and experts to present and discuss unique insights and observations on all up-to-date topics in the dynamic energy field in Greece and the wider SE European region.
National Bank of Greece was established in 1841 and today leads one of the largest financial groups in the country with a business presence in 8 countries. Apart from NBG, the Group runs 2 commercial banks and has a workforce of 9,566 employees.
It has a wide domestic distribution network of 418 units and 1,488 ATMs and also runs a network of 82 banking units abroad (data as of 30.06.2020).
The Bank’s broad customer base, respected brand name, adequate liquidity, and strong market share in deposits, reflect the long-standing relationship of trust it enjoys with its clientele.
NBG is a pioneering Greek bank in the energy sector, and is involved in all key areas of energy production, putting special emphasis on renewable energy sources.
National Bank of Greece is a frontline player in Greece’s drive for economic growth and development, and is committed to backing the country’s potential as an energy hub for the European continent with financing channeled toward major infrastructure projects.
Independent Natural Gas System of Alexandroupolis
A new energy gateway for Greece and Southeastern Europe
The Greek company GASTRADE A.E. develops in Northern Greece the Independent Natural Gas System (INGS) of Alexandroupolis. The project is located in the sea area of Alexandroupolis and comprises of an offshore floating reception, temporary storage and liquefaction unit of Liquefied Natural Gas (LNG FSRU) and a system of high-pressure natural gas pipelines.
The FSRU will be stationed offshore of the town of Alexandroupolis in NE Greece. The FSRU will have an LNG storage capacity of 150,000 to 170,000 cubic meters, a nominal regasification and send-out capacity of 22.7 million cubic meters per day (mcm), equivalent to 5.5 billion cubic meters (bcm)/year. The FSRU will be moored 17.6 km SW of the Port of Alexandroupolis and will be connected to the National Natural Gas Transmission System through a pipeline system with a total length of 28 km. Of these 24 km of pipeline will be submerged in the seabed while the remaining 4 km will be constructed onshore, in a land trench.
The project is being developed with the most modern technology in natural gas infrastructure, marking a new energy era for Greece.
INGS Alexandroupolis has been designed with respect to the local habitants and the environment, is fully licensed and enjoys strong support from the Greek and Bulgarian Governments, as it is a major infrastructure for the security of supply of the two countries.
In March 2020, the Market Test for the commitment of regasification capacity in the floating unit of the project was completed with great success, where ten companies from the domestic and European energy market committed up to 50% of the technical capacity in the long term and for up to 15 years . This means that up to 2.6 billion cubic meters of natural gas per year will be delivered to the floating terminal for regasification and transport to the National Natural Gas System and from there to consumers in Greece and South-Eastern Europe.
At the moment, two major tenders for the construction of the project are in progress, which are expected to be completed by the end of November 2020. The tenders are divided into two main sections, the first concerns the supply and installation of fixed facilities (subsea and land gas pipelines, coastal substations, etc.) while the second concerns the supply of the floating storage and regasification unit of Liquefied Natural Gas (LNG FSRU). Binding proposals have been submitted for both tenders by the candidate contractors which are in the final stage of evaluation.
The INGS Alexandroupolis is a new energy gateway for the country and Southeastern Europe and has been designated as a "Project of Common Interest (PCI)" by the European Commission as it contributes significantly to security of supply and the diversification of sources of gas supply while at the same time it is a key project for the development of a gas trading hub in the area (gas trading hub).
The INGS Alexandroupolis will be supplied by multiple sources of natural gas, including the USA in order to contribute to the coverage of the energy needs of markets of Greece, SE Europe, Ukraine, the Western Balkans and Central Europe through the Vertical Corridor created in synergy with the interconnected natural gas pipeline Greece - Bulgaria (IGB).
At the same time, by contributing to the creation of an energy hub in south-eastern Europe, it aims to complete the European Energy Market with the ultimate benefit of the final consumer in mind.
The project will be financed by shareholders' equity, lending but also from community resources since it has been included in the list of eligible projects to be financed by the National Strategic Reference Funds (NSRF) 2014-2020.
The final investment decision for the start of construction of the project is expected at the end of this year while the start of operation is placed at the end of 2022 / beginning of 2023.
The agreement for the entry of the Bulgarian Bulgartransgaz in the shareholding of Gastrade was recently signed, demonstrating the strategic importance of the project for Bulgaria. The other shareholders of the company are Mr. Asimina-Eleni Copelouzou (Founding Shareholder of GASTRADE), GasLog Cyprus Investment (a 100% subsidiary of Gaslog, which is a NYSE listed company) and DEPA Commercial.