Greece to Channel €4bn into Western Macedonia Development Projects

Prime Minister Kyriakos Mitsotakis in Kozani. Photo source: Prime Minister’s office.

A new railway link, road network upgrades, and the transition from lignite-based energy to greener alternatives are just some of the 380 projects included in the Greek government’s ambitious development plan for Western Macedonia in Northwestern Greece.

Stressing the importance of the region for investors, Greek Prime Minister Kyriakos Mitsotakis presented on Monday during his visit to Kozani, the Western Macedonia Development Plan 2030, which will channel a total of 4 billion euros into major projects expected to give the region, which includes cities like Florina, Kastoria and Amyntaio, a much-needed boost.

Western Macedonia is one of Greece’s least-known regions with one the highest unemployment rates in the EU. It also produces the bulk of Greece’s total power.

Ptolemaida’s energy plant.

“The plan is the result of extensive consultation with the local community and government… and expresses an overall philosophy, a new development vision that we have for the Region of Western Macedonia,” said Mitsotakis who has been on a weeklong-tour of the region.

A government priority is to successfully do away with the use of lignite and move towards a brighter future that “will lead to increased incomes, more and better jobs, better quality of life, better quality of education, better environment, away from the effects of lignite”, said Mitsotakis.

Referring to the new Ptolemaida V lignite-fired power unit, the Greek PM said it would remain operational and serve as “strategic reserve” in case of crisis.

The prime minister went on to add that there was no other region in Greece more appealing to investors than Western Macedonia thanks to a wide range of activities, key of which renewable energy sources.

Prime Minister Kyriakos Mitsotakis and Deputy Infrastructure and Transport Minister George Karagiannis (left) discussing the infrastructure projects in Western Macedonia. Photo source: Ministry of Infrastructure and Transport

At the heart of the Western Macedonia development plan is the transition from lignite use to greener energy sources. In this direction, the government signed a loan agreement this week with the European Investment Bank (EIB) which will allocate 80 million euros to facilitate the region’s transition.

Development plan funding will also cover the construction of major road and railway networks aimed at improving accessibility to the region; research and innovation projects including the creation of a technology park, an innovation hub for green hydrogen and a green data center; the expansion of irrigation systems and the installation of newer energy infrastructure; upgrading the University of Western Macedonia and other educational institutions; improving health infrastructure; and promoting the region’s cultural offerings.

Earlier this month, Western Macedonia Regional Governor George Kasapidis tabled a new tourism promotion and development plan for the region for 2023 aimed at increasing tourist flows, awareness, and balanced tourist development.