The European Commission has announced almost €650 million in grants from the Interconnecting Europe Facility (EIF) to help finance 14 cross-border energy infrastructure projects, according to a press release from the EU executive.
One of the 14 projects that will receive funding is the CARMEN (Carpathian Modernized Energy Network) project, which aims to improve the integration of the electricity market, support the integration of large-scale renewable energy sources and ensure energy security and flexibility in Romania and Bulgaria, reports Agerpres.
A €103.69 million construction grant will be awarded to the project. According to the EU executive, transmission and distribution networks will be upgraded and digitized to improve efficiency and allow reliable flows of electricity from renewable energy production.
A strong and independent energy union, delivering clean and cheap energy to consumers, must be based on an integrated and secure energy infrastructure. The projects we support financially will increase Europe's competitiveness and energy security, putting us on a steady path towards independence
said Energy and Housing Commissioner Dan Jorgensen.
Overall, funding is allocated to 6 electricity infrastructure projects, including smart electricity grids, and 8 hydrogen infrastructure projects.
Nearly €470 million of the funding is earmarked for six electricity projects, including smart grids. The largest grant, worth €180 million, will support the AGUAYO II project to build a pumped storage reversible hydropower plant in Spain. The plant combines the increased efficiency of renewable energy generation with an underground installation, without the need to expand the existing water reservoirs used by the plant, and therefore has no environmental impact.
Nearly €113 million will help increase the resilience and protection of critical energy infrastructure against physical, cyber and other threats in Poland, Estonia, Latvia and Lithuania in the framework of the Baltic Synchronization. This is the first time that the EIF is funding resilience and critical energy infrastructure protection measures on such a scale, strengthening the capacity of the EU energy system to respond to new challenges.
This is the second call for proposals under the first CIP/CIP list. The funding awarded exceeds the call's original indicative budget of €600 million, reflecting the success and interest observed in the first call in 2024. In addition, for the first time, EIF funding will be used to support the protection of critical energy infrastructure and to fund hydrogen work projects, demonstrating the growing maturity of the sector.