Georgia advances undersea power link to Europe via South Caucasus

Georgia is advancing plans for an undersea electricity cable connecting the country to Romania, Azerbaijan, and Hungary, a move officials say could strengthen energy trade with Europe and the South Caucasus.

Speaking to Georgian media, Deputy Minister of Economy and Sustainable Development Inga Phaladze described the project as “strategically important” for both Georgia and Europe, Caliber.Az reports.

“Cooperation with Romania on this undersea cable is highly significant, as Georgia is interested in a direct energy connection to Europe. Europe is also interested, as this represents a diversification route that allows trade in electricity with South Caucasus countries,” Phaladze said.

The agreement on the cable, which would transmit electricity from Georgia to European markets, was signed by the governments of Georgia, Azerbaijan, Romania, and Hungary in December 2022.

Phaladze noted that the project, initiated by Georgia, has been included in a European Commission list of projects of mutual interest, a designation expected to be confirmed by the end of 2025.

“This decision signals that the European Commission recognises the project’s importance. It is significant for Georgia, given the country’s rich renewable energy resources,” she added.

The deputy minister also highlighted Georgia’s ongoing efforts to diversify electricity production through the use of all renewable sources.

“The cable will allow electricity from South Caucasus countries to flow through Georgia. At the same time, the European Union will have the opportunity to access electricity precisely when it is most needed,” Phaladze said.

By Aghakazim Guliyev