EU endorses 235 cross-border energy projects to scale up electricity, hydrogen, and CO2 infrastructure

December 4, 2025, by Melisa Cavcic

As investment needs are anticipated to hover around €1.5 trillion by 2040, the European Commission (EC) has adopted a new list of 235 cross-border energy projects, granting them the status of projects of common interest (PCIs) and projects of mutual interest (PMIs).

EU flags — Courtesy of the European Commission; Credit: Mauro Bottaro

This step is set to unlock access to the European Union (EU) funding through the Connecting Europe Facility (CEF) and streamline permitting processes, supporting the rapid deployment of critical energy infrastructure, according to Gas Infrastructure Europe (GIE), an association representing the interests of European gas infrastructure operators.

Europe’s latest attempt to accelerate energy connectivity, with hydrogen and CO2 infrastructure taking the lead in the latest package of 235 cross-border energy projects, which won the European Commission’s support, allowing them to get the status of PCIs and PMIs, follows a recent EC study that pinpointed investment needs in European energy infrastructure, such as electricity, hydrogen, and CO2 networks, would near €1.5 trillion from 2024 to 2040.

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As a result, the project lineup and the related expected investments volumes are set to contribute to reaching the needs identified for 2040 while strengthening energy connectivity across the continent, with the potential to play a strategic role in increasing EU’s competitiveness, decarbonization, and enhancing Europe’s energy security and independence.

Teresa Ribera, Executive Vice-President for Clean, Just and Competitive Transition, commented: “These projects are more than cross-border infrastructure projects, they are the lifelines of our Energy Union. They empower our EU energy system by unifying the strengths of 27 complementary systems, paving the way for a Europe where green, competitive, and secure energy is not just a promise, but a common reality.“

Based on the list of selected PCIs and PMIs, 113 offshore and smart grid electricity projects that will be essential for integrating the growing share of renewables are part of this package, alongside 100 hydrogen and electrolyser projects which will play a major role in integrating and decarbonizing the EU’s energy system.

This list also entails 17 carbon transport infrastructure projects to advance the development of the market for carbon capture and storage (CCS), three smart gas grid projects to digitalize and modernize the natural gas network, and the continued inclusion of two long-standing projects linking Malta and Cyprus to the mainland European gas network.

Dan Jørgensen, Commissioner for Energy and Housing, noted: “Energy infrastructure is not only the backbone of our Energy Union — it is the foundation of a strong and prosperous Europe. To meet today’s challenges of security, competitiveness, and decarbonisation, Europe needs an energy system that is both resilient and future-proof. The projects we have chosen to support will play a vital role in delivering cleaner, cheaper and more secure energy to our citizens and businesses.“

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Ensuring a well-integrated and optimized European energy grid is believed to be equally crucial to accelerating a cost-efficient and clean energy transition. As the PCI and PMI list will be submitted to the European Parliament and the Council in the form of a Delegated Act for scrutiny, both co-legislators have two months to either accept or reject the list in full but may not amend it.

This process can be extended by two months, if requested by the co-legislators. Once the list is adopted, the Commission will further reinforce its work with project promoters and Member States to help ensure that the selected projects are implemented as smoothly and as rapidly as possible.

The Connecting Europe Facility instrument has provided €8 billion for flagship projects since 2014, with an example of cross-border landmark projects being the Baltic synchronization, through which the Baltic states have regained independence from Russia’s electricity grid, fully embedding the three countries in the EU energy system.

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As part of the ‘2028-2034 Multi-annual Financial Framework,’ the Commission proposed a five-fold increase of the CEF Energy budget from €5.84 billion to €29.91 billion. Gas Infrastructure Europe, which welcomed the new PCI and PMI list, claims that these initiatives are positioned as strategic enablers for a flexible, resilient, and decarbonized European energy system, supporting market development far beyond individual assets.

GIE and its members consider the published list of projects, across vectors, essential for integrating more renewable energy sources, improving market coupling, and enhancing cross-border flexibility. Recent technical mapping and industry analysis are perceived to have highlighted the readiness of Europe’s gas infrastructure to accommodate renewable and low-carbon gases, such as hydrogen, CO2, and biomethane.

Lucie Boost, Secretary General of GIE, underlined: “Hydrogen and CO2 infrastructure are the cornerstone for Europe’s energy transition. Without a robust infrastructure for hydrogen and CO2, we risk missing our climate targets and undermining industrial competitiveness. The selected projects are a strong step forward.”