Small and medium-sized enterprises (SMEs) will receive retroactive subsidies, with tax exemptions also under consideration.

The Ministry of Environment and Energy plans to extend electricity subsidies for households for at least the next three months. Businesses, particularly those excluded from the summer subsidies, will also receive support.

Subsidies for households will commence next month, lasting until February 2025, assuming electricity prices continue to rise—a scenario anticipated by both the Ministry and the government.

For SMEs consuming up to 35 kVA (e.g., bakeries, hair salons), a new electronic platform is being developed by Minister Theodoros Skylakakis. Businesses will use this platform to declare that their total aid does not exceed the EU’s de minimis threshold of €200,000 over three years.

Due to the time required to establish this platform, SMEs will receive lump-sum subsidies after February 2025, covering December, January, and February. In contrast, larger businesses may benefit from tax exemptions on profits.

November closed with a significant increase in the average wholesale electricity price, reaching €138.30/MWh, a 53% rise from October. However, major electricity providers are mitigating retail price increases through substantial discounts. For example, PPC announced a 68% discount on its basic green tariff for December, setting the price at €0.155/kWh, while other providers maintain competitive rates.

Despite these discounts, small-scale state subsidies will still be required to stabilize retail prices at around €0.15/kWh.

The level of subsidies will depend on December’s price trends. The government’s intervention will combine direct subsidies, tax breaks, and possibly taxes on electricity producers. There is also consideration of taxing bank profits, which could further fund these measures.

The measures will be finalized and announced soon amid global concerns over rising natural gas prices. A harsher winter could deplete fuel reserves faster, driving up prices. The International Energy Agency (IEA) highlights factors such as LNG supply, reduced pipeline gas flows from Russia to Europe, and potential geopolitical or technical disruptions as key to future price volatility.