Brussels, 21/10/2002 (Agence Europe) - The Commission has given the go-ahead to Greece to compensate Public Power Corporation of Greece (PPC) for the impact of liberalisation in the electricity sector (stranded costs). The Greek plan consists of three components: a) Compensation costs to the operation by PPC of unprofitable power stations in a liberalised market will be paid until 2015 and will be adjusted annually to the actual amount incurred by PPC in operating the power stations in question. However, it may not exceed a total of €929 million; b) Compensation for the cost to PPC of water-resource management and irrigation work imposed on it by the Greek State in conjunction with the construction of the power stations. This component will give rise to a payment of €324 million; c) Compensation for costs liked to a long-term contract linking PPC to an aluminium plant belonging to Aluminium of Greece. This contract, signed in 1960 and expiring in 2006, requires PPC to sell a large quantity of electricity at prices, which may be below the market price for large consumers, thus giving rise to losses for PPC. The costs linked to these losses are to be compensated for by the State. Compensation will be adjusted annually to the real value of the losses, which will vary according to economic conditions in the year in question. They will not in any case be able to exceed €178 million.