Greek power utility faces liquidity shortage as unpaid bills soar
Greece’s power utility (PPC) has seen its cash flow enter the red as unpaid debts from bills have exceeded 2 billion euros, according to the official figures seen by Kathimerini, the paper reports.
These figures concern the end of the first half of 2014 but company officials confirm that they will not have changed much as they reveal the overall problem of liquidity faced by most households and corporations.
The problems began to grow in the third quarter of 2013, as by end-September unpaid bills had increased 18 percent from four months earlier. This was attributed to the property tax paid through the electricity bills and the general pressure on taxpayers.
The biggest share of the debts, amounting to 1.33 billion euros, belongs to households and very small enterprises. PPC’s major clients in energy-intensive industries have debts of 405.7 million euros, while medium-sized industries and corporations owe the the company 259.2 million euros.
The broader public sector also appears on the list, with debts of 54 million euros. However, this 22 percent less than it was six months earlier.