Greece is poised to significantly boost its economy by developing an electricity connection to central Europe, capitalizing on its abundant renewable energy resources. A recent study by KPMG highlights the lucrative potential of the South East-North Electricity Highway, a project proposed by Greece to its European partners.
This venture could yield between €6.2 billion and €17.5 billion for the Greek economy, simultaneously reducing electricity prices for consumers and enhancing Europe’s energy security.
The proposed electricity highway is envisioned as part of the EU’s Priority Electricity Corridor, focusing on market integration, price reduction, expansion of renewable energy sources (RES), and bolstering the EU’s overall energy supply security. Over recent years, Greece has positioned itself as a regional energy hub, not only facilitating natural gas supplies to Southeast and Western Europe but also exporting electricity to neighboring countries. This role is set to expand with ongoing upgrades to power connections with Bulgaria, Italy, North Macedonia, Albania, and Turkey, and forthcoming grid connections with Cyprus, Israel, and Egypt.
Key projects include the Greece-Egypt interconnection, aiming to transport 100% green energy from Egypt to Attica and the broader European market by 2028, and the Greece-Cyprus-Israel/Euro Asia interconnector, designed to end Cyprus’ energy isolation and link Israel to the EU by 2029. With a budget of €1.9 billion, this project has garnered interest from major investors both within and outside Europe.
Furthermore, the KPMG study acknowledges Greece’s leadership in greening its power sector. The country has significantly reduced its reliance on lignite, a fossil fuel, and increased renewable energy production, particularly solar power. Greece’s energy sector reforms aim at decarbonization and fostering competitive markets. Notably, Greece has achieved a more than 58% reduction in CO2 emissions from its power generation sector since 2010, mainly due to decreased lignite generation and increased renewable energy use. This reduction far exceeds the 21% average decrease achieved by the EU27, underscoring Greece’s commitment to sustainable energy development.
https://greekreporter.com/2023/12/21/greece-electricity-exporter-europe/