Greece Proposes New Renewable Energy Requirements For Data Center Grid Connections

The Greek Ministry of Environment and Energy has introduced draft legislation requiring new data centers to source at least 60 percent of their annual electricity consumption from renewable energy. This proposal is part of a broader effort to improve electricity market design, ensure grid capacity is reserved by mature projects, and protect consumers from costs related to infrastructure upgrades.

Under the proposed rules, investors must cover all project-specific connection and reinforcement costs. To prevent the reservation of grid capacity by projects that lack sufficient progress, the ministry plans to implement a bank guarantee of €200,000 per MW of planned capacity. Furthermore, developers will face financial capacity checks, including turnover criteria for projects connecting to the transmission system managed by the Independent Power Transmission Operator (IPTO).

The Regulatory Authority for Waste, Energy and Water (RAAEY) is expected to establish a data center registry to improve sector transparency. Additionally, the draft mandates that transmission and distribution system operators publish available grid capacity by region on a quarterly basis. The proposal also introduces flexible connection agreements, allowing grid operators to limit power intake or output in areas where firm connection capacity is currently unavailable.

The legislation also outlines the creation of a €2.3 billion Island Decarbonization Fund, which will support renewable energy and storage projects to reduce the reliance of Greek islands on oil-fired power generation. The draft is currently open for public consultation until October 24, 2026.

This initiative aligns with similar global trends, as countries like Australia, Spain, Brazil, and the United States have also explored policies linking data center grid access to renewable energy procurement or operational commitments.