Factlen ExplainerMega-GridsInfrastructure ExplainerJun 8, 2026, 5:41 PM· 5 min read

The Euro-African Energy Bridge: How Subsea Cables Are Rewiring the Mediterranean

A new generation of high-voltage subsea cables is being laid across the Mediterranean, designed to funnel vast amounts of North African solar and wind power directly into the European grid.

By Factlen Editorial Team

European Policymakers 35%North African Developers 30%Energy Analysts 20%Financial Skeptics 15%
European Policymakers
View the cables as essential infrastructure to decarbonize the grid, lower wholesale electricity prices, and permanently replace reliance on Russian natural gas.
North African Developers
See the interconnectors as a massive economic opportunity to export their abundant solar and wind resources, attracting foreign investment and creating local jobs.
Energy Analysts
Focus on the technical necessity of the cables to balance grid intermittency, while warning about severe supply chain bottlenecks for HVDC manufacturing.
Financial Skeptics
Highlight the immense upfront capital costs and political risks of mega-projects, pointing to the stalled Xlinks project as proof of the financial hurdles.

What's not represented

  • · Marine biologists monitoring the ecological impact of cable laying on the Mediterranean seabed
  • · Local North African communities living near the proposed mega-solar generation sites

Why this matters

By physically linking the grids of two continents, these mega-projects promise to lower European electricity bills, reduce reliance on fossil fuels, and inject billions of dollars into North African infrastructure. It represents a permanent geographic shift in how the world's largest economic bloc sources its energy.

Key points

  • Subsea cables are being built to transmit North African solar and wind power directly to the European grid.
  • The €1 billion ELMED project between Italy and Tunisia has awarded contracts and is moving toward construction.
  • The GREGY interconnector aims to deliver 3,000 megawatts of cheap renewable energy from Egypt to Greece.
  • Importing North African power helps Europe balance its grid during winter months when domestic solar is weak.
  • Projects face hurdles, including massive upfront costs and a global shortage of HVDC cable manufacturing capacity.
24 GW
Potential N. African power to Europe by 2035
€1 billion
Estimated cost of the ELMED project
3,000 MW
Planned capacity of the GREGY interconnector

Deep beneath the Mediterranean Sea, a quiet revolution in global energy infrastructure is taking shape. For decades, the relationship between Europe and North Africa was defined by the northbound flow of fossil fuels—primarily Algerian and Libyan natural gas. Today, a new generation of infrastructure is being deployed to capture a different resource: the relentless sun and wind of the Sahara and the North African coast.[7]

The mechanism driving this shift is the subsea interconnector—massive, heavily armored cables capable of transmitting electricity across hundreds of miles of ocean floor. According to forecasts by Rystad Energy, North Africa could deliver up to 24 gigawatts (GW) of clean power to Europe via these subsea links by 2035. That is enough electricity to power tens of millions of homes, fundamentally altering the energy security calculus of the European Union.[1]

The most advanced of these initiatives is the ELMED project, a €1 billion joint venture between Italy's grid operator Terna and Tunisia's state-owned STEG. Spanning 200 kilometers across the Strait of Sicily, the cable will connect the Partanna substation in Sicily to the Mlaabi substation near Cape Bon in Tunisia. It marks the first direct electrical link between the European mainland and North Africa.[2][7]

ELMED has rapidly moved from concept to construction. In late 2025, Italian cable manufacturer Prysmian was awarded a €460 million ($532 million) contract to build the high-voltage direct current (HVDC) submarine cable. With specialized vessels like the Monna Lisa preparing to lay the line at depths of up to 800 meters, the 600-megawatt bidirectional link is scheduled for completion by 2028 or 2029.[2][3]

The three flagship interconnectors designed to bridge the Euro-African energy gap.
The three flagship interconnectors designed to bridge the Euro-African energy gap.

The engineering behind these projects relies entirely on HVDC technology. Traditional alternating current (AC) grids lose significant amounts of power over long distances, especially underwater. HVDC systems solve this by converting AC power to direct current at a massive onshore converter station, shooting it through the subsea cable with minimal loss, and then converting it back to AC at the destination. While the converter stations are immensely expensive to build, they make trans-continental power sharing physically possible.[7]

Further east, an even larger conduit is gaining momentum. The GREGY interconnector aims to link Egypt's sprawling renewable energy parks directly to mainland Greece. Promoted by the Copelouzos Group, GREGY is designed to carry a staggering 3,000 megawatts (3 GW) of power. If a final investment decision is reached as expected, the link could be operational by 2031, effectively turning Greece into a primary green energy gateway for the rest of the Balkans and Central Europe.[4]

Egypt is aggressively positioning itself as a regional energy hub to support this export model. The Egyptian government plans to boost its total regional electricity interconnection capacity to 3.9 GW by the end of 2026, upgrading links with Jordan, Iraq, Libya, and Saudi Arabia. By acting as a central node, Egypt can pool renewable generation from across the Middle East and funnel the surplus northward through the GREGY cable.[5]

Egypt is aggressively positioning itself as a regional energy hub to support this export model.

The economic logic of the Euro-African bridge is rooted in geographic complementarity. Wind power in Europe typically peaks during the dark winter months, while solar generation plummets. Conversely, North Africa enjoys intense, year-round solar irradiance. By linking the two, European grid operators can balance supply fluctuations and mitigate the risk of "Dunkelflaute"—extended periods of dark, still weather where domestic renewables fail to meet demand.[1][7]

Rystad Energy forecasts that North Africa could supply up to 24 GW of clean power to Europe by 2035.
Rystad Energy forecasts that North Africa could supply up to 24 GW of clean power to Europe by 2035.

Furthermore, importing this power is projected to be highly cost-effective. Studies commissioned for the GREGY project estimate that Egyptian renewable electricity could arrive in Greece at €55 to €62 per megawatt-hour. This is roughly €20 per MWh cheaper than Greece's current domestic wholesale market prices, offering a substantial competitive advantage to European industries struggling with high energy costs.[4]

However, the path to a Mediterranean mega-grid is not without friction. The sheer scale of these projects introduces significant financial and political risks. The most prominent cautionary tale is the Xlinks Morocco-UK Power Project, an audacious plan to lay 4,000 kilometers of twin cables from the Moroccan desert all the way to Devon, England, bypassing mainland Europe entirely to deliver 3.6 GW of power.[6][7]

Despite being labeled a project of national significance, Xlinks hit a major roadblock in mid-2025. The UK government, citing budgetary constraints and the technical risks of the unprecedented cable length, declined to sign a 25-year "Contract for Difference"—a mechanism that would have guaranteed a fixed price for the imported electricity. Without that state-backed revenue certainty, Xlinks was forced to pause its planning application and seek alternative financing models.[6]

The Xlinks setback highlights the central vulnerability of trans-continental grid projects: they require immense upfront capital—often exceeding $20 billion for the largest iterations—and rely on the shifting political winds of multiple sovereign governments. Furthermore, the global supply chain for HVDC cables is severely constrained. Rystad Energy warns that global demand for subsea cables could exceed 75,000 kilometers by 2030, vastly outstripping the current manufacturing capacity of European firms.[1][6]

High-Voltage Direct Current (HVDC) technology minimizes power loss over long underwater distances.
High-Voltage Direct Current (HVDC) technology minimizes power loss over long underwater distances.

Despite these hurdles, the momentum heavily favors integration. The European Union has designated both ELMED and GREGY as "Projects of Common Interest," unlocking hundreds of millions of euros in grants from the Connecting Europe Facility. The World Bank and the European Bank for Reconstruction and Development (EBRD) have also stepped in with substantial loan packages, viewing the infrastructure as vital for both European decarbonization and African economic development.[2][4]

For North African nations, the cables represent a lucrative new export industry that doesn't rely on depleting finite resources. Tunisia, which currently generates 94% of its electricity from gas, is using the ELMED project as a catalyst to attract foreign investment into its own nascent solar sector, aiming for 35% domestic renewable generation by 2030.[2][7]

Ultimately, the Mediterranean is transitioning from a barrier into a bridge. As the first specialized vessels begin laying the ELMED cable, they are proving that the technical and diplomatic challenges of linking continents can be overcome. The resulting grid will be larger, more resilient, and fundamentally greener than anything that has existed before.[2][7]

How we got here

  1. 2022

    The European Commission allocates over €300 million to the ELMED project, designating it a Project of Common Interest.

  2. May 2024

    The Italian government grants definitive authorization for the construction of the ELMED undersea cable.

  3. June 2025

    The UK government declines to offer a fixed-price contract for the Xlinks Morocco-UK project, forcing a pause in planning.

  4. September 2025

    Italian firm Prysmian is awarded a €460 million contract to construct the ELMED submarine cable.

  5. 2028-2029

    Target completion date for the ELMED interconnector to begin commercial operations.

Viewpoints in depth

European Policymakers

Driven by the urgent need to secure clean, reliable energy independent of Russian gas.

For European leaders, the Mediterranean cables are a geopolitical imperative as much as an environmental one. By integrating North Africa into the European grid, the EU can diversify its energy sources and solve the intermittency problem of domestic renewables. Policymakers argue that the upfront billions spent on grants and loans for these interconnectors will pay off by permanently lowering wholesale electricity prices and insulating European industries from global fossil fuel shocks.

North African Developers

Viewing the desert's sun and wind as the foundation for a new, sustainable export economy.

North African governments and state grid operators see the Euro-African bridge as a transformative economic engine. Countries like Tunisia and Egypt are leveraging their geographic proximity to Europe to attract massive foreign direct investment into their domestic renewable sectors. By acting as energy hubs, they can export surplus "green electrons" for hard currency, fund local infrastructure improvements, and transition their own domestic grids away from imported natural gas.

Financial Skeptics

Warning that the sheer scale and complexity of trans-continental cables make them highly vulnerable to delays and cost overruns.

Financial analysts and skeptical investors point to the stalled Xlinks project as a reality check for the sector's grand ambitions. Laying thousands of kilometers of specialized HVDC cable requires capital expenditures that often exceed the GDP of small nations. Skeptics argue that without ironclad, decades-long price guarantees from host governments, these projects are too risky for private capital. Furthermore, they warn that a severe bottleneck in the global supply chain for subsea cables could delay even fully funded projects by years.

What we don't know

  • Whether the global manufacturing supply chain can scale up fast enough to produce the tens of thousands of kilometers of HVDC cable required by 2030.
  • If the Xlinks Morocco-UK project will successfully secure an alternative financing model after losing UK government price guarantees.
  • How geopolitical instability in North Africa might affect the long-term security and maintenance of these vital energy lifelines.

Key terms

HVDC (High-Voltage Direct Current)
A technology used for transmitting large amounts of electrical power over long distances with minimal energy loss, essential for subsea cables.
Interconnector
A physical link, usually a high-voltage cable, that allows electricity to flow between the power grids of two different countries or regions.
Converter Station
A massive facility at either end of an HVDC cable that converts standard alternating current (AC) from the local grid into direct current (DC) for transmission, and vice versa.
Dunkelflaute
A German term used in the energy industry to describe a period of time with little to no wind and sunlight, making domestic renewable energy generation difficult.

Frequently asked

Why not just build more solar panels in Europe?

While Europe is building domestic solar, North Africa receives significantly more intense and consistent sunlight year-round. Importing this highly efficient power helps balance the European grid, especially during winter when domestic solar generation drops.

How deep do these subsea cables go?

The cables are laid directly on the ocean floor. For the ELMED project between Italy and Tunisia, the cable will reach depths of up to 800 meters (about 2,600 feet) beneath the surface of the Mediterranean.

Who is paying for these mega-projects?

Funding comes from a mix of sources. Projects like ELMED receive grants from the European Union, loans from the World Bank and the EBRD, and capital from the state grid operators of the participating countries.

Sources

Source coverage

7 outlets

4 viewpoints surfaced

European Policymakers 35%North African Developers 30%Energy Analysts 20%Financial Skeptics 15%
  1. [1]Rystad EnergyEnergy Analysts

    North Africa to deliver up to 24 GW of clean power to Europe by 2035

    Read on Rystad Energy
  2. [2]Table.MediaEuropean Policymakers

    The Elmed submarine cable shows how a major European infrastructure project can gain momentum

    Read on Table.Media
  3. [3]Middle East Economic SurveyNorth African Developers

    $532mn Contract Awarded For 600MW Tunisia-Italy Power Link

    Read on Middle East Economic Survey
  4. [4]EnergyPressEuropean Policymakers

    Contract for GREGY link studies to be awarded within 2024

    Read on EnergyPress
  5. [5]EnterpriseAMNorth African Developers

    Gov't targets 3.9 GW in regional power interconnections by 2026

    Read on EnterpriseAM
  6. [6]HespressFinancial Skeptics

    Xlinks pauses planning for Morocco-UK Power Project

    Read on Hespress
  7. [7]Factlen Editorial TeamEnergy Analysts

    Synthesis by Factlen editorial team

    Read on Factlen Editorial Team
Stay informed

Every angle. Every day.

Get world stories with full source coverage and perspective breakdowns delivered to your inbox.