The plan was submitted in June last year, following an agreement signed in Naxos in November 2024 between the Greek government, the European Commission and the European Investment Bank (EIB). Since then, Greek authorities and the EIB have worked to finalise operational details, with the Ministry of Environment and Energy addressing technical questions to complete the fund’s framework. Once approved, financing for initial projects is expected to begin within a few months.
Greece – battery storage market shifts as small investors exit
Greece has been allocated 25 million CO₂ emission allowances to establish the Island Decarbonisation Fund. Auctioning these permits is expected to generate at least €1.7 billion to support projects focused on decarbonising the country’s islands. Deployment of these funds is projected to continue until around 2032, potentially mobilising total investment of up to €4.4 billion.
Priority will be given to mature projects, particularly electricity interconnections in the Dodecanese and North Aegean. (Kostas Deligiannis/hcn)
First published on the energy portal energypress.gr.
