Portugal & Morocco Seek EU Funds for Power Link

Portugal and Morocco are set to propose a new power interconnector project to the European Commission, seeking its designation as an Important Project of Common European Interest (IPCEI). This move aims to unlock potential EU funding and attract private sector investment for the vital energy link.

The initiative arises from the vulnerability exposed by a widespread power blackout in April 2025, which highlighted the Iberian Peninsula's insufficient electricity connections to the rest of Europe. Iberia currently has only 3% of its electricity capacity linked to neighboring European countries, falling significantly short of the EU's 2030 interconnection target of 15%.

By developing this connection, Portugal, which is currently only linked to Spain, would gain an additional power source, thereby strengthening its energy security. Moroccan officials emphasized the goal of decreasing energy costs and ensuring affordability for consumers and various sectors.

Portugal and Morocco plan to pursue funding through the EU's Connecting Europe facility while simultaneously gauging investor interest through a private-sector process. The exact technical configuration, whether a direct subsea cable or utilizing existing infrastructure via Spain, remains under consideration.