Offshore Wind Power In Greece - Opportunities And Challenges Of The New Regulatory Environment

• Jurisdiction: European Union
• Law Firm: Norton Rose Fulbright
• Subject Matter: Energy and Natural Resources, Energy Law, Renewables
• Author: Elena Tsohou and Christina Korinthios
• Published date: 28 February 2023

Ambitious targets

The introduction of a workable regulatory framework to harness the offshore wind potential of the Greek Seas has been in the works for quite some time. The National Energy and Climate Plan (NECP), published in December 2019,¹ confirms the need to develop both fixed and floating offshore wind farms in Greece, if the country is to meet its 35 percent renewable energy target² for 2030. This national target may yet be increased in step with the EU Commission's proposal³ to raise the collective EU renewable energy target⁴ for 2030, from 32 percent to 45 percent. The adoption of this higher target is expected in the first quarter of 2023, and an upward revision of the NECP target may well follow.

Specifically, in terms of offshore wind, the Greek government has set a target of 2 GW of capacity to be installed by 2030. This target is expected to be formalized in the revised NECP. The following chart,⁵ which sets out current NECP projections for the evolution of installed capacity in renewable power generation until the end of the decade, demonstrates the vital role offshore wind has to play.

Power generation, installed capacity [GW]	2020	2022	2025	2027	2030
Biomass and biogas	0.1	0.1	0.1	0.2	0.3
Hydro (including mixed pumping)	3.4	3.7	3.8	3.9	3.9
Wind farms	3.6	4.2	5.2	6.0	7.0
Photovoltaics	3.0	3.9	5.3	6.3	7.7
Solar thermal	0.0	0.0	0.1	0.1	0.1
Geothermal	0.0	0.0	0.0	0.0	0.1
Total	10.1	11.9	14.6	16.4	19.0

Key legislative milestones

The overarching legislative framework for offshore wind projects is set out under Greek Law 4964/2022, which entered into force on July 30, 2022 (Law).

The Greek State has exclusive jurisdiction over the Greek Seas, and is consequently exclusively competent for exploring, assessing and designating the areas for development and installation of fixed-bottom and floating offshore wind projects (OWP). The Law therefore sets out the processes whereby the State - acting through its wholly-owned subsidiary, Hellenic Hydrocarbons and Energy Resources Management S.A. (HEREMA) - will first designate the wider areas where OWP may be developed (Development Areas) and then, within these, designate specific polygon plots for the installation of OWP (Installation Areas).

Development Areas will be designated following a two-step process. HEREMA will first prepare a National OWP Development Program (Development Program), setting out the fundamental principles governing the design, development, location, installation and operation...