The influence of more traditional energy sources is less significant for Greek System Marginal Prices (SMP). Natural gas prices and electricity imports have the largest effect on shaping the Greek SMP, namely wholesale electricity prices.
The influence of natural gas on SMP levels increased significantly in the first five months of 2020 compared to other fuels and electricity imports and exports. In the January-May period, natural gas-fired power plant consistently ranked first in number of hours used for SMP levels, peaking in May with 491 hours. Electricity imports consistently followed as a the second most influential factor for all five months.
Lignite-fired power plants, previously being a key factor for SMP levels, are now limited to a marginal role, with their lowest contribution, one hour in an entire month, recorded in April.
Electricity imports, namely Greece’s interconnections with neighbouring countries, are also increasing their influence on SMP levels, as well as covering energy demand.