Azerbaijan, Georgia, Hungary and Romania advance Black Sea energy project

Preparations for the feasibility study of the “Green Energy Corridor” project have entered their final phase, according to participants in a high-level seminar held at the headquarters of Italian engineering company CESI.

Delegations from Azerbaijan, Georgia, Hungary and Romania, together with representatives of the joint venture Green Energy Corridor (GECO Power Company), discussed the project’s technical and strategic details as work on the study nears completion, Caliber.Az reports, citing local media.

According to the participants, discussions focused on economic assessments, cost-benefit analyses, technical coordination and possible implementation models for the project.

Particular attention was given to issues such as grid integration, high-voltage direct current (HVDC) infrastructure and different routing scenarios for the planned energy corridor across the Black Sea.

The parties also reviewed possible financing mechanisms and investment models, including regulated, market-based and hybrid approaches.

The “Green Energy Corridor” project was launched under a strategic partnership agreement signed in Bucharest in 2022 by Azerbaijan, Georgia, Romania and Hungary. A joint venture was established the following year to oversee implementation.

The initiative envisages the construction of a major underwater electricity cable connecting the South Caucasus with South-Eastern Europe through the Black Sea.

According to project details, the cable will extend roughly 1,115 kilometres under the sea and an additional 40 kilometres on land. It is expected to have a transmission capacity of 1,300 megawatts and operate at 525 kilovolts.

The project is scheduled for completion by 2032 and has been included on the European Union’s list of Projects of Mutual Interest, reflecting its strategic importance for regional energy connectivity and diversification.

The European Commission is also considering financial support for the initiative, with up to €2.3bn reportedly under discussion for its implementation.