Black Sea Submarine Cable Project Receives EU PCI/PMI Status

The Black Sea submarine power cable project has been granted PCI/PMI status-Project of Common Interest-by the European Union. This status is assigned to initiatives that are strategically important for the EU's energy system and contribute to the creation of new cross-border connections.

Energy expert Murman Margvelashvili notes that PMI status provides the project with several key advantages. These include accelerated administrative procedures, a special legal regime, and the opportunity to apply for EU funding. Although, unlike internal PCI projects, guaranteed funding is not provided, the status increases the confidence of potential investors and improves the conditions for implementation.

According to Margvelashvili, the main significance of the status lies in the strategic nature of the project. It will become the first potential energy connection between the region and the EU and will create the basis for a broader corridor for the transmission of "green" energy, including the possible connection of Central Asia. The expert emphasizes that the EU's decision demonstrates the continued interest in these plans despite the political disagreements between Brussels and Tbilisi.

The European Commission previously reported that awaiting PCI/PMI status is a key stage. Representatives of the department stated that if the status is granted, the project will be able to take advantage of an accelerated permitting procedure. If the necessary conditions are met, it will be eligible for competitive co-financing under the Connecting Europe Facility (CEF) program.

After the start of the war in Ukraine, the EU intensified its work to diversify energy sources and reduce dependence on traditional routes. The first serious steps in the development of the submarine cable were taken in 2022. Then, Romania, Georgia, Azerbaijan, and Hungary signed an intergovernmental agreement on the construction of a line for the transmission of electricity through the Black Sea. The President of the European Commission, Ursula von der Leyen, attended the ceremony.

The document provides for the laying of a submarine cable between Romania and Azerbaijan through the territory of Georgia and the Black Sea. The World Bank is participating in the project as one of its financiers.