European commission approves €1 bn for two solar-storage projects in Greece

The European Commission has recently approved €1 billion under EU State aid rules to support two projects for the renewable energy generation and storage in Greece. 

The country had notified the commission of its plans to provide support to 'Faethon' and 'Seli' projects for effective integration of renewable energy sources in its national electricity system. Both the projects are expected to be completed by 

The Faethon Project entails the construction of two photovoltaic units, each with a capacity of 252 MW, along with integrated molten-salt thermal storage units and an extra-high voltage substation. 

This project aims to enable electricity generation during the day and to allow for the surplus energy to be stored. The surplus will be converted into electricity to be used during times of peak consumption, such as evenings and nights.

The Seli Project, on the other hand, is a 309 MW photovoltaic unit with an integrated lithium-ion battery energy storage system targeting optimized electricity generation and grid stability.

The European commission has claimed that both the projects are expected to increase the annual net renewable energy in the Greek electricity mix by approximately 1.2 TWh, representing about 2.1 percent of Greece's total electricity production in 2020 . 

Moreover, the projects are predicted to boost renewable energy production by 8 percent compared to 2020 levels. The storage units in both projects will help decouple electricity dispatch from production, thereby mitigating the intermittent nature of solar power and enhancing the stability of the Greek electricity grid.