A major cross-border energy initiative linking North Africa and Europe is gaining traction, as the European Commission highlights the GREGY interconnection as a key project within its Mediterranean strategy. The planned electricity link between Egypt and Greece is prominently featured in the Pact for the Mediterranean Action Plan, a framework aimed at strengthening cooperation between the EU and partner countries across North Africa and the Middle East.
The GREGY project is seen as a strategic step toward improving energy security while accelerating the transition to low-carbon electricity. It is designed to deliver renewable energy generated in Egypt to European markets via Greece, offering a long-term alternative to fossil fuel imports. Its importance has grown amid ongoing geopolitical instability in the Middle East, which has once again exposed Europe’s vulnerability to supply disruptions.
The initiative is being developed by Elica, part of the Copelouzos Group, which is currently in discussions with multiple potential partners. The project focuses on building long-term collaborations with transmission operators and major industrial consumers, rather than relying solely on financial investors. Support has already been formalized through cooperation with ADMIE, while institutions such as the U.S. International Development Finance Corporation and the European Bank for Reconstruction and Development have also expressed interest.
Preparations are progressing across both technical and commercial fronts. Agreements have been signed with numerous companies in Greece and the Balkans to secure future electricity offtake, and demand is beginning to emerge in neighboring markets, including Bulgaria, with expectations that Serbia could follow.
Financing discussions are also advancing, with lenders indicating readiness to provide up to €10 billion in funding. If completed on schedule, the project could become operational around 2030–2031, delivering electricity at prices estimated to be up to €20/MWh lower than current wholesale levels, potentially reshaping regional energy markets.
