Georgia, Azerbaijan, Hungary, Romania create joint venture on Black Sea submarine cable project

Georgia, Azerbaijan, Hungary and Romania on Tuesday signed an agreement in Bucharest to establish a joint venture for the Black Sea submarine cable project, which aims to create a new transmission route to deliver green energy from the South Caucasus to Europe.

The document establishes Green Energy Corridor Power Company, to be based in Bucharest, and was signed as part of the eighth ministerial session on the project in the presence of ministers from the four participating nations.

Hungarian Foreign Minister Péter Szijjártó emphasised the significance of the project, which he said aligned with his country’s strategic goals of securing energy resources and promoting greener energy consumption.

When it comes to energy supply, Hungary has two very important strategic goals: ensuring a secure supply of energy resources and making energy consumption greener. This project can help us achieve both goals at once by providing a completely new energy source. Additionally, it will provide green electricity to both Hungary and Romania”, he said.

The 1,200-kilometre-long electric cable, aimed to be operational by 2030, will connect Georgia and Romania. The project aims to supply electricity from Romania to Hungary and further to western European countries, highlighting the potential for enhanced energy security within the European Union.

Georgian Economy Minister Levan Davitashvili emphasised the project's contribution to EU energy security.

Energy security is crucial worldwide, and this project can significantly contribute to EU energy security. This infrastructural development is of key importance for market opening and genuinely competitive energy markets”, Davitashvili said.

During the session, ministers of the four countries and a representative of the European Commission signed an amendment protocol to the agreement on strategic partnership for green energy development and transmission between Azerbaijan, Georgia, Romania and Hungary.

The four countries signed the Black Sea submarine electricity cable deal in 2022.