Lignite industry in Greece within a world context: Mining, energy supply and environment

Konstantinos Kavouridis

Energy Policy, 2008, vol. 36, issue 4, 1257-1272

Abstract: Today coal covers 38% of global production and roughly 30% of the EU-25 power output. In 2005 domestic lignite with a share of 60.5% in power generation and accounting about 30% of primary energy consumption is currently the most important indigenous fuel of Greece. Greece, mining 70Â Mt annually, is the second lignite producer in the EU and fourth in the world. Approximately 97% of the lignite used to supply the existing lignite-fired power plants of Greece is mined by Public Power Corporation S.A. (PPC). Lignite as the base load fuel gives a competitive strength in PPC's and Greece's fuel mix. Due to lignite consumer prices in Greece are significantly below those in other comparable markets in EU-15. Extraction of lignite has a very long tradition. Significant achievements and large experience which has been gained during many years of mining operations place Greek lignite-mining industry in the leading position in Europe. The paper presents current state of Greek lignite industry, including operating mines, volume of production and other important production indicators as well as improvements in labor productivity and good results in industrial safety. The future of coal and specifically of Greek lignite will be crucially determined by environmentally compatible, i.e. low-CO2 generation of electricity. Investment in modernization and renewal of the power plant fleet are the key to securing electricity supply and progress in preventing climate change.

Date: 2008
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