Greece

Party to the UNFCCC and the Kyoto Protocol, Greece qualifies as an Annex I country having to comply with legally binding targets for GHG emission reductions. Moreover, a significant part of Greek legal framework is the result of transposition of EU regulations and directives to the national level. Against this background of international commitments, Greece has developed an approach to climate change largely driven by GHG emission reductions through reforms to the energy sector.

Before ratifying the Kyoto Protocol in 2002, Greece adopted its first National Climate Change Programme, in 1995. A second version of this policy instrument was drafted in 2002, and later revised in 2007, specifying mitigation actions.

Mitigation was also the focus of the 2002 Strategy for Sustainable Development (revised in 2007), adopted by the Ministry of Environment, Energy and Climate Change (MEECC – Inter-ministerial Committee on Climate Change, established 1996). The document says climate change is one of the most important environmental problems within the country and highlights the national targets on GHG emission reductions defined by the Kyoto Protocol and the EU as the basis for the adoption of the National Programme for the Reduction of Greenhouse Gas Emissions by the Council of the Ministers. The Strategy defines the key climate change mitigation measures as the reform and diversification of energy supply, rational use and conservation of energy, measures for the reduction of other GHGs, and institutional mechanisms.

Energy Supply

Greece is bound by EU targets to increase the share of renewable energy in gross final energy consumption from 6.9% in 2005 to 18% in 2020. The 2010 National Renewable Energy Action Plan adopts a combination of measures on energy efficiency and renewable energy to meet this target. According to the Plan, power generation from renewable sources should more than triple in comparison to 2010 to meet the 2020 targets of 40% renewable energy share in total electricity generation, 10% in transport and 20% in heating and cooling.

In 2012 the government adopted the Renewable Energy Roadmap 2050. The document proposes concrete measures to achieve renewable energy targets and GHG emissions reduction, including energy certification for buildings, a certification scheme for energy service companies, tax relief and electrification of transport. The 2050 Roadmap also establishes that renewables should account for 20% of final energy consumption by 2020 and 60-70% in 2050.

Energy Demand

The 2008-2016 National Energy Efficiency Action Plan (NEEAP) is adopted within the scope of the EU Directive on Energy End‐use Efficiency and Energy Services. The Plan, updated in 2010, adopts measures to improve energy efficiency, divided into the following categories: a) horizontal measures; b) cross-sectoral measures (addressing residential sector, tertiary sector, private sector, and public sector); and c) transport specific measures.

Greece has also adopted several programmes encouraging a reduction of energy consumption and the increased use of renewable energies.

Adopted in 2012, “Building the Future” is a public-private partnership that aims to spur at least 3 million energy efficiency interventions by 2020 to improve residential and commercial buildings’ energy performance by installing modern technologies for better insulation, efficient heating and use of local renewable energy sources. Within this framework, policy instruments, such as white certificates, voluntary agreements between the industrial and the commercial sector, and contracts of guaranteed performance are planned.

Addressing small communities’ energy use, the 2012 the “Green agricultural and island communities – New development model Programme” aims to promote the installation of renewable energy sources and energy efficiency measures in remote areas with less than 1,000 inhabitants (total budget of EUR 50 million, USD 62.7 million).

Finally, the 2012 “Energy Efficiency of Household Buildings Programme” aims to improve the energy performance and efficiency of residential buildings by providing interest-free loans and subsidies for the installation of renewable energy and energy-saving measures.

Given the importance of the tourism sector, the government also created a special programme to provide subsidies for energy efficiency and environmental protection measures, as well as awareness-raising about investment potential in the buildings sector. The subsidies of the “Green Programme” range from EUR 15,000 to €400,000 (USD 18,825 – USD 502,000) an amount expected to cover an average of 40%‐45% of the total investment.

Carbon pricing

The EU ETS is the main carbon pricing scheme in Greece, operational since January 2005. It initially covered stationary installations only, but was later amended to include aviation activities. For the period 2013-2020, the Directive prohibited the allocation of free units for electricity production, so most emission allowances in Greece are to be acquired through auctioning (around 84% of the ETS emissions derive from electricity generation plants).

Transport

According to the National Energy Efficiency Action Plan, the transport sector holds the greatest energy saving potential amongst all main economic sectors, reaching up to 36% of the total required savings. Yet, policies and legislation addressing the sector are relatively underdeveloped. Greece has no support scheme for the purchase of electric vehicles, although hybrid and low‐ emission vehicles are exempt from registration tax and hybrid vehicles are not subject to traffic restrictions in Athens. As of 2011, the circulation tax for private cars is based on CO2 emissions and engine capacity. Since 2013, a luxury tax applies to cars exceeding 1,929 cc engine capacity.

Adaptation

Despite recognising the need to address climate change adaptation and respond to threats such as higher summer temperatures, increased frequency of extreme events (fires, floods), intensified coastal erosion and reduced water resources availability, Greece has not yet adopted a National Adaptation Plan. However, a National Adaptation Strategy is being prepared and its development is one of the main priorities of the Ministry of Environment, Energy and Climate Change. Risk and vulnerability assessments have been conducted within the UNFCCC National Communication process (most recently the 6^th Communication, which was submitted in 2014) and the Bank of Greece published a detailed analysis of climate change sectoral impacts in the ‘Environmental, Economic and Social Impacts of Climate Change in Greece’ study, in 2011.