Greece is positioning itself as one of Europe’s leaders in energy storage, with preparations underway for its third battery energy storage tender and significant progress in pumped storage hydropower. The rapid growth in wind and solar power production has outpaced both demand and the grid’s capacity, leading Greek investors to rely on a network of international interconnections, spanning from Saudi Arabia to Poland, to enable power sales. As electrification expands and technologies like cloud computing and AI grow, energy storage becomes more essential.
While renewable energy sources like wind and solar are weather-dependent, pumped storage hydropower remains the only reliable large-scale technology for balancing energy supply and demand. Combined with demand response and battery storage, pumped storage can help stabilize the grid during periods with little renewable generation. However, much of the current renewable production is curtailed, or wasted, due to limitations in storage.
Greece’s National Energy and Climate Plan aims to address these issues by planning for 4.32 GW in battery storage systems and 1.74 GW in pumped storage hydropower. State-owned utility Public Power Corp. (PPC), once heavily reliant on coal, is at the forefront of the energy transition, aiming to phase out coal use by 2026. PPC holds permits for six energy storage facilities with a total generation capacity of 1.6 GW and is exploring new pumped storage projects at its existing hydroelectric plants.
The country currently operates 699 MW of pumped storage capacity at the Sfikia and Thisavros hydroelectric plants in northern Greece. Additionally, Terna Energy’s Amfilochia pumped storage project is scheduled to come online by early 2026. The Regulatory Authority for Energy, Waste and Water (RAAEW) has issued permits for 5 GW of energy projects, with 44 GWh in combined storage capacity.
Several pumped storage projects are in development. HELLENiQ Renewables is planning a facility in Western Macedonia with a 500 MW generation capacity and 6 GWh of storage, while Enercoplan is developing a plant in Epirus with 375 MW of power and 3 GWh of installed capacity. The regulatory body’s recent rounds of applications have seen a surge in interest, with five new pumped storage projects amounting to 1.21 GW of generation capacity.
Greece is also focusing on hybrid projects for its islands, combining electricity production, energy storage, and desalination, including pumped storage hydropower. The government is preparing EUR 200 million in subsidies from the Decarbonization Fund for these projects, with ambitions to address water shortages and improve energy security on the islands. These initiatives are expected to mobilize investments of up to EUR 400 million.
