The GREGY electricity interconnector between Egypt and Greece has entered a more advanced preparation stage, with engineering, environmental and seabed studies progressing alongside financing and power-purchase discussions. Engineering work and commercial planning are being carried out in parallel as the project advances toward procurement and contracting.
Procurement and onshore civil engineering work
Project developer Elica, part of Greece’s Copelouzos Group, has launched procurement procedures for onshore civil engineering in both countries. The same procurement process includes a detailed survey of the proposed subsea cable route. Work is structured to support subsequent marine investigations and route-specific environmental assessment.
Marine surveys and environmental assessment
The marine programme will assess seabed conditions using geophysical and geotechnical surveys. It will also define how the cable should be buried and protected along the route. A strategic environmental assessment is being prepared for the corridor between the converter stations.
Timeline for bids, technical studies, and contracting
Bids are due in October, with contractors expected to be selected by the end of 2026. Technical studies are scheduled for completion in the first quarter of 2028. The sequencing is intended to align engineering outputs with later commercial steps for financing and power purchase arrangements.
Commercial preparations and long-term funding indications
Commercial preparations are proceeding at the same time as technical work. The project has reportedly signed 48 cooperation memoranda with companies and organisations in Greece and the Balkans seeking long-term renewable electricity supply agreements. Greek banks and the European Investment Bank have indicated interest in around €4.5 billion of long-term funding for the interconnector.
A further €5.2 billion could be directed toward associated renewable generation in Egypt. The total investment, including both the cable and generation assets, is estimated at around €13 billion. An AFRY study estimated that GREGY could reduce average Greek wholesale electricity prices by about €21/MWh, or roughly 25%, while long-term buyers could potentially achieve savings of up to 45%.
Status on EU PCI/PMI list and next commercial milestone
The project has been included on the EU’s PCI/PMI list, supporting its political and financing position. Its next step is converting preliminary lender interest and dozens of cooperation agreements into binding finance arrangements and bankable power-purchase contracts.
