Greece is advancing electricity interconnections and LNG infrastructure to strengthen its role as a two-way energy gateway linking the eastern Mediterranean with Southeast Europe and wider European markets. A preliminary feasibility study estimates construction costs of up to €15 billion for a proposed Greece-Germany electricity interconnection.
The proposed link would enable Greek solar electricity to move north and allow northern European wind power to be imported when Greek output is low. Greece’s intended role is to export renewable electricity when it is abundant and import or trade LNG and power when regional scarcity rises.
Greece is promoting new electricity interconnections with Albania and Turkey for 2031, while a second Greece-Italy interconnection is planned for 2033. A study estimates that the Greece-Cyprus link could generate annual consumer benefits of €123–138 million, mainly in Cyprus.
The Greece-Cyprus connection is also expected to reduce renewable-energy curtailment and end Cyprus’s electrical isolation. Together, the electricity and gas projects are strengthening the eastern Mediterranean’s role as an interface for energy flows into Southeast Europe.
In gas, Metlen and Shell have signed an LNG supply agreement due to begin in 2027 and run for five years. Shell will supply six cargoes a year, equivalent to about 600 million cubic metres of gas, which Metlen can market in Greece or other European markets.
The contracted gas could also be marketed through the Vertical Gas Corridor, a route toward Southeast and Central Europe. Cyprus’s Cronos gas development is advancing into execution and is valued at about $2.2 billion; Petrojet won work on the project, including a 57 km pipeline connection into Egyptian infrastructure for processing and liquefaction.
The gateway model depends on cross-border use: cables, LNG terminals and trading portfolios create the most value when regional markets are connected and price differences justify energy flows. Infrastructure expansion faces uncertainty over whether it can outpace demand volatility and financing costs.
