Preparatory activities for the GREGY electricity interconnection project between Egypt and Greece are entering a new development phase, with project developer Elica starting technical and environmental studies ahead of a planned Final Investment Decision (FID) expected in late 2027 or early 2028. The work is focused on inputs that will feed into subsequent engineering and permitting steps for the interconnector and its associated generation supply.
Environmental Impact Study tender and survey programme
Elica has issued an international tender for the project’s Environmental Impact Study (EIS), with bids due by 15 July. Additional procurement processes are scheduled to begin in the following weeks, including geotechnical surveys for onshore infrastructure in both Greece and Egypt. A marine survey to determine the final route of the subsea cable is expected to start in late July or early August.
The outcomes from these studies are intended to be incorporated into the Front End Engineering Design (FEED) phase. FEED is scheduled to begin toward the end of 2026, where the final technical design, construction methodology, and cost structure will be defined. These elements are set to form the basis for the investment decision and subsequent construction.
Interconnection purpose, EU designations and target operation
Backed by Greece’s Copelouzos Group, the GREGY project is designed to transmit renewable electricity generated in Egypt to Greece and onward into European electricity markets. Commercial operation is targeted for 2031. The project has been designated as both a Project of Common Interest (PCI) and a Project of Mutual Interest (PMI) by the European Union.
Preparatory studies are being co-financed with EU support. In parallel with interconnection development, Elica is progressing work on the renewable generation portfolio intended to supply the link. The company is awaiting a presidential decree from Egyptian authorities to secure land access, which would enable permitting processes for the generation assets.
Generation portfolio scale and investment estimate
The planned generation portfolio includes approximately 9 GW of wind, solar, and battery storage capacity, with expected annual output of around 22 TWh. Construction of both the generation assets and the subsea transmission cable is expected to proceed in parallel. This approach is intended to allow synchronized completion for commercial operation.
The total investment covering both renewable generation and transmission infrastructure is estimated at approximately €13 billion.
