EU Issues New $704MM Funding Call for Cross-Border Energy Projects

The European Commission has launched a funding call for more cross-border energy projects, with an indicative budget of EUR 600 million ($703.59 million).

Projects must already be in the second list of Projects of Common Interest (PCIs) and Projects of Mutual Interest (PMIs), adopted earlier this month. PCIs are infrastructure projects linking the energy systems of European Union countries to achieve the 27-member bloc's climate goals. With the same aim, PMIs cover projects between EU and non-EU countries.

"Linked to the EU’s Connecting Europe Facility for Energy (CEF Energy), the call relates to funding proposals for studies and for construction works and will be open until 30 September 2026", the Commission's Directorate-General for Energy said in a press release. "Results will be known early next year".

Energy and Housing Commissioner Dan Jørgensen said, “As we are in the middle of a new energy crisis, strengthening our energy system and integrating our markets is [sic] urgently needed. It is essential for bringing down energy costs, improve [sic] our competitiveness and integrate [sic] more home-grown renewables".

"The Grids Package that we proposed in December already strengthens the regulatory framework for cross-border projects. Today’s call will provide much-needed financing".

On December 1, 2025 the Commission granted 235 cross-border energy projects the status of PCI or PMI. This is the second such list since its launch in 2023.

"The selected projects will be eligible to apply for EU financing from the Connecting Europe Facility and will benefit from expedited permitting and regulatory processes for swift execution and delivery", the Commission said then.

"These cross-projects will strengthen energy connectivity across the continent, bringing nearer the completion of the Energy Union".

"According to a recent Commission study, investment needs in European energy infrastructure - electricity, hydrogen and CO2 networks - will near EUR 1.5 trillion from 2024 to 2040", the Commission said. "This project lineup and the related expected investments volumes will contribute to reaching the needs identified for 2040".

The new list includes 113 power, smart electricity and offshore grid projects to accommodate the growing share of renewables; 100 hydrogen and electrolyzer projects; 17 carbon transport infrastructure projects; 3 smart gas grid projects to digitalize the natural gas network. The Commission has also retained 2 projects to link Malta and Cyprus to the gas network of mainland Europe.

The new list was adopted April 9, 2026 after approval by the European Parliament and Council, as mandated by the Trans-European Networks for Energy Regulation.

"The list adopted today is the second Union list of PCIs and PMIs established under the revised Trans-European Networks for Energy Regulation from 2022, shifting focus away from fossil fuels toward low-carbon, resilient and efficient cross-border infrastructures", the Commission said.

"The regulation sets the criteria to support cross-border energy infrastructure projects that can help the Union achieve its climate and energy goal of climate-neutrality by 2050. Such lists are adopted every two years, following extensive stakeholder consultation in region-specific groups and public consultations.

"The Connecting Europe Facility instrument has provided EUR 8 billion for flagship projects since 2014. A prime example of cross-border landmark projects includes 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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