At a critical juncture for the management of Attica's water resources, EYDAP CEO Harry Sachinis has presented a holistic plan that transforms the company from a traditional public utility into a modern, profitable, and technologically advanced market player. With 2026 identified as the milestone year for steady profitability, EYDAP's management is preparing the ground through a "transitional" 2025, focusing on tariff revisions and the implementation of a massive investment program.
The New Regulatory Framework and Predictability
The key variable changing the landscape for EYDAP is its inclusion under the Regulatory Authority for Waste, Energy, and Water (RAAEY). For the first time, the company gains a clear and transparent regulatory framework, similar to those governing power grid operators like ADMIE or DEDDIE. This means the Weighted Average Cost of Capital (WACC) will be defined, allowing the company to recover its investments and ensure a fair return for its shareholders. Mr. Sachinis emphasized that this transition ends a long period of uncertainty, where tariff decisions were often made based on political criteria rather than the actual maintenance needs of the network.
2025 is considered a year of adjustment, as the parameters of the new tariff system will be finalized. Despite concerns about potential increases, management clarifies that the primary goal is the sustainability of the network. Recovering the cost of raw water and covering operational expenses are essential prerequisites to avoid infrastructure degradation, which in the long run would cost citizens significantly more.
Confronting the Ghost of Water Scarcity
The climate crisis is no longer a theoretical threat but a daily reality. Reservoirs at Mornos and Evinos have receded to alarming levels due to prolonged drought periods. Mr. Sachinis described an ambitious plan to "fortify" Athens, which includes activating alternative water abstraction sources, such as the Parnitha boreholes, and the major project of interconnecting with Lake Yliki.
However, the strategy does not stop there. EYDAP is launching investments totaling €2 billion over the next decade. At the heart of this is the replacement of the aging water supply network to limit leaks, which currently account for a significant percentage of total water volume. Furthermore, the use of "reclaimed water" from Wastewater Treatment Plants (such as Psyttalia) is being promoted for irrigation and industrial use, freeing up potable quantities for household needs.
Investments and Digital Transformation
The EYDAP of 2026 will be a "smart" company. The initial installation of 300,000 smart meters will allow for real-time consumption monitoring and immediate detection of leaks within properties. This digital leap is expected to drastically reduce operational costs and improve the customer experience.
Simultaneously, the company is expanding its activities in Eastern Attica with major sewerage and wastewater treatment projects, which not only protect the environment but also create new revenue streams. The Sachinis administration is focusing on the "green" transition, installing photovoltaic parks to meet the energy needs of pumping stations, thereby reducing the company's exposure to energy price fluctuations.
Financial Outlook and Dividends
For investors, the message is clear: EYDAP is entering a phase of cash flow stabilization. The settlement of past debts with the Greek State and the establishment of regulated revenue create a secure environment. From 2026 onwards, profitability is expected to follow a steadily upward trajectory, allowing for a consistent dividend policy.
In conclusion, EYDAP, under the leadership of Harry Sachinis, is attempting to balance its social role with the requirements of a listed company. The success of this venture will be judged by the speed of infrastructure implementation, as time is pressing and water resources are depleting. 2025 is the year of preparation, but 2026 will be the year of results.
