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EU grants €650m for cross-border electricity and hydrogen infrastructure

The European Commission will allocate nearly €650m in grants from the Connecting Europe Facility (CEF) to help finance 14 cross-border energy infrastructure projects, including nearly €470m for 6 electricity projects (including smart electricity grids) and over €176m for hydrogen infrastructure projects (European Commission press release, 28/01/2026).

The largest grant for electricity projects (€180m) will support the AGUAYO II pumped-storage hydropower project in Spain, while €113m will help improve critical energy infrastructure from physical, cyber and other threats in Poland, Estonia, Latvia and Lithuania in the framework of the Baltic Synchronisation. Smart grid projects between Bulgaria and Romania, a transmission line in Austria and a power interconnection project between Greece and Egypt will also receive grants for support studies. 

The largest grant for hydrogen projects (€120m) will go to a hydrogen storage project in Gronau (Germany). Other projects in Austria, Bulgaria, France, Germany, the Netherlands and Slovakia will receive grants to support studies. Meanwhile, the modernisation of the Čierný Váh pumped-storge hydropower plant in Slovakia, among the first in Europe to combine traditional pumped hydro storage with battery storage on such a scale, will receive a €63m contribution.

The next CEF call for proposals for energy infrastructure is planned for the second quarter of 2026.

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