Syriza Can Show `Another Energy is Possible' | Global Research

The transition to renewable energy in Greece will require commitments of capital. But when measured against the financial, health-related and ecological costs of continuing with fossil fuels, renewable energy is the best possible social investment. For a more specific quantification, we can consider the cost of the public sector's annual electricity bill, which can then be calculated over 20 years based on recent trends. This cost can be then compared to the cost of major solar PV deployment in those facilities. The price of globally sourced PV, along with installation and maintenance costs are today such that PV systems can pay for themselves within 5 years after which time the electricity supply to these facilities will be virtually free. There is every likelihood that the electricity costs to sustain the public sector - including schools, hospitals, and other government buildings - will actually fall quite dramatically over a 20-year period.

Capital could also be sourced from a variety of sources. In 2012 the PPC made a pre-tax profit of €276-million. A `reclaimed' PPC would provide the option of redirecting capital to renewables. Another option is for PPC to issue bonds against its future revenues. These can be issued domestically rather than internationally and provide a tried and trusted mechanism for financing public services.

Another possibility is a carbon tax. There are numerous options for designing a carbon tax, such as imposing it on major industrial emitters in Greece, or through a charge on petrol. Greece consumed an average of 343,000 barrels of crude oil per day in 2011, of which almost half (46%) was used for transportation. According to the IEA (2009 data) compared with other OECD Europe countries, Greece has a relatively low tax on gasoline and diesel. A small carbon tax of a few cents on a liter of petrol would generate significant revenue that could in turn be dedicated to investment in renewable energy.