Egypt and Greece Advance Major Electricity Interconnector Project to Export 3,000 MW to Europe

Historic Agreement Signed for GREGY Interconnector

In a significant step towards strengthening energy ties between Africa and Europe, Egyptian and Greek ministers witnessed the signing of an agreement yesterday, Monday, September 29, 2025, to finalize the technical and economic studies for the ambitious GREGY electricity interconnector project. This initiative aims to facilitate the export of up to 3,000 megawatts (MW) of clean power from Egypt to Europe via the Greek grid.

The agreement was signed via video conference, with Egypt's Minister of Electricity and Renewable Energy, Mahmoud Essmat, and his Greek counterpart, Thanos Papastavrou, in attendance. The pact involved key entities: the Egyptian Electricity Transmission Company (EETC), the Greek Independent Power Transmission Operator (IPTO), and Elika, a subsidiary of the Greek Copelouzos Group, which is spearheading the project's implementation.

Project Scope and Technical Details

The GREGY project, also known as the GREGY-Elica Interconnector, envisions the construction of a high-voltage direct current (HVDC) submarine cable spanning approximately 954 kilometers. This infrastructure is designed to transfer 100% clean energy generated from renewable sources in Egypt, primarily solar and wind farms, to Greece and subsequently to other European countries.

With an estimated budget of €4.2 billion, the interconnector is expected to have a bi-directional capability, ensuring a permanent supply of renewable power. The project's core objective is to transmit 3,000 MW of electricity, which is projected to replace 4.5 billion cubic meters (bcm) of natural gas annually and reduce CO2 emissions by 10 million tons per year.

Strategic Importance and European Integration

The GREGY interconnector holds immense strategic importance for all parties involved. For Europe, it represents a crucial step towards enhancing energy security, diversifying energy sources, and reducing dependence on fossil fuels and Russian natural gas. The project aligns with the European Union's broader energy goals, including the European Green Deal, the Clean Industrial Deal, and the RepowerEU strategy.

Egyptian Minister Mahmoud Essmat emphasized the project's role in transforming Egypt into a regional energy hub, serving as a bridge for clean energy transmission between Africa, Europe, and Asia. The initiative is expected to bring significant economic benefits and support the energy mix, particularly through the increased integration of renewables.

International Recognition and Future Outlook

The GREGY project has garnered significant international recognition and support. It has been included in the Ten-Year Network Development Plan (TYNDP 2022) of ENTSO-E and is a candidate for inclusion in the 6th Projects of Common Interest (PCI) / Projects of Mutual Interest (PMI) list. Furthermore, it is part of the EU's Global Gateway priority project list, underscoring its strategic importance for the European Union.

While the project first emerged in 2009 and was revived by a Memorandum of Understanding in 2021, it gained renewed urgency following Europe's energy crisis. The recent agreement to finalize studies marks a critical milestone, paving the way for the full implementation of this transformative energy infrastructure project.