EU Backs Mediterranean Clean Energy Push with €4.5 Billion in Guarantees

The European Union has launched T-MED, a new investment platform targeting clean energy infrastructure across the Mediterranean basin, backed by up to €4.5 billion in guarantees channelled through the EFSD+ guarantee instrument. The initiative was unveiled in Brussels by Dubravka Šuica, the EU Commissioner for Mediterranean Affairs.

The guarantees are designed to reduce investment risk and attract private capital alongside international financial institutions. T-MED’s mandate covers solar and wind capacity, renewable hydrogen, energy storage, electricity grid modernisation, cross-border interconnectors, and clean-technology manufacturing. The platform will also work to improve permitting procedures, regulatory conditions, grid access and power purchase agreements.

Two early examples show the platform taking concrete shape. One is a €1.6 billion upgrade of Egypt’s national transmission network, built to move wind and solar output from the Red Sea region and the Gulf of Suez into the grid. Meanwhile, a €575 million green ammonia facility in Ain Sokhna — the first of its kind in North Africa — will use a European electrolyser and export its output to EU buyers.

By 2035, T-MED targets the mobilisation of up to €25 billion in Mediterranean clean energy investment and the training or upskilling of up to 10,000 workers across the sector.

Source: EU DG Energy