
Article 1 
This decision applies to small and micro isolated systems as identified in the Table.
For the purpose of this Decision, Crete is a small isolated system whereas all other isolated systems are micro isolated systems.
Article 2 

1. A derogation is granted from the provisions of Article 33 of Directive 2009/72/EC for small and micro isolated systems.
2. This derogation shall be valid until 17 February 2016 or the full installation of the infrastructure as provided for in Article 237(7) of the NII Code, whatever comes later. In any event, this derogation shall cease to apply on 17 February 2019.
3. The Greek authorities shall by 17 February 2015 draw up a plan for the infrastructure investments as provided for in Article 237(7) of the NII Code, specifying, separately for each NII isolated system, by which date the infrastructure shall be fully installed. This plan shall prioritise Crete and Rhodes.
4. From 17 February 2016, and thereafter on an annual basis until 17 February 2019, the Greek authorities shall draw-up a report specifying, for each NII isolated system: (a) whether market opening has occurred; (b) the status of the infrastructure investments with relation to the relevant plan (c) the substantial and material problems that persist for market opening; and (d) whether those problems can be directly attributed to the non-completion of the infrastructure investment as provided for in Article 237(7) of the NII Code.
Article 3 

1. A derogation is granted from the provisions of Article 7(1) of Directive 2009/72/EC according to which authorisations for refurbishing, upgrading and expanding existing conventional capacity within micro isolated systems can be granted directly to PPC.
2. For the purpose of this derogation:
(a) existing conventional generation capacity shall include projects for refurbishing, upgrading and expanding conventional generation capacity for which a valid license issued by RAE exists on the date of notification of this Decision;
(b) the full demolishment of the main generation capacity on an existing site and its replacement by a new electricity generation installation shall not constitute existing capacity but construction of new capacity;
(c) the placement of temporary conventional generation capacity within the perimeter of existing capacity shall constitute expanding existing capacity.
3. Upon expiry of the authorisation granted in accordance with the first paragraph, such authorisation can be prolonged, on RAE's sole discretion, provided the delays are due to reasons entirely beyond the control of PPC.
4. This derogation shall no longer apply to authorisations granted pursuant to the first paragraph that have expired or cancelled.
5. All other provisions of Article 7 Directive 2009/72/EC continue to apply in full.
6. This derogation is valid until 1 January 2021.
Article 4 

1. The derogations provided for in this Decision shall no longer apply to small and micro isolated systems once they are interconnected with the interconnected system.
2. The Greek authorities:
(a) when authorising or tendering for new capacity within a given NII isolated system, shall systematically consider the alternative of interconnecting the isolated system of which the given NII is part. An authorisation for new capacity shall be refused if constructing an interconnector is more cost effective. Costs shall comprise all costs to supply electricity to end-customers within the isolated system, including NII PSO compensation;
(b) shall ensure that the cost-benefit study for important transmission works by ADMIE as provided for in Article 108 of Law 4001/2011 shall only consider efficient costs of investing and operating the projected interconnection. It shall not consider revenues lost by or depreciation in value of the conventional generation assets already installed on the NIIs;
(c) shall publish, in conjunction with ADMIE's ten-year investment plan as provided for in Article 108 of Law 4001/2011, the overall costs, including the NII PSO compensation, of supplying electricity customers in each of the NII isolated systems. Unless the construction of an interconnector is integrated in ADMIE's ten-year investment plan as provided for in Article 108 of Law 4001/2011 as approved by RAE, the Greek Authorities shall, upon their own initiative or upon simple request by a third party, organise a tender as provided for in Article 22(7)(b) of Directive 2009/72/EC for the construction of an interconnector connecting one or several NII isolated systems. An interconnector shall be constructed if its construction lowers the overall costs, including the NII PSO compensation, of supplying electricity to customers located on the NIIs;
(d) shall set a clear deadline for the completion of the construction of an interconnector. If the interconnector is not constructed or is not constructed within the set time frame, the Greek Authorities shall seek damages for the non-realised costs savings.
Article 5 
The Decision shall apply as from 5 December 2003.
Article 6 
This Decision is addressed to the Hellenic Republic.
Done at Brussels, 14 August 2014.
For the Commission
Michel BARNIER
Vice-President