Page contents Page contents Description High energy prices and electricity price volatility, particularly observed in South-East Europe, are major hindrances to European competitiveness. In addition to cost, heavy reliance on imported fossil fuels poses serious geopolitical, economic and climate-related risks for our continent. A key part of the answer is to decarbonise our energy systems, scale up clean and renewable energy production, and pursue electrification for lowering energy prices. To this end, we must accelerate cross-border energy infrastructure development, boost system flexibility including through energy storage deployment, and improve energy system integration. The eight Energy Highways, set out as part of the European Grids package, will address key bottlenecks across Europe which represent the most urgent energy infrastructure needs. By supporting the concrete implementation of Projects of Common Interest and Projects of Mutual Interest, it will enhance overall security of supply, help integrate more renewables into the system and reduce reliance on fossil fuels, thus decreasing energy prices.© AdobeStock / scaliger To reinforce these efforts, the South-Eastern Europe electricity interconnection Energy Highway, aiming at improving price stability and energy security in southeastern Europe, including through storage, has been assigned a Pilot status under the CCT. The implementation of the Highway should smooth electricity price disparities across the region, where average price disparities between respective countries well trespass the 2 EUR/MWh threshold. In 2026, targeted discussions on increasing energy system flexibility will be initiated, preparing ground for the ensuing deployment of energy storage which will be supported through the CCT. Other potential bottlenecks in the implementation of the Energy Highway will also be explored, allowing space for additional priority actions to be established. To deliver results, the CCT will act via regional cooperation in the Central and South-Eastern Europe Energy Connectivity (CESEC) High-Level Group. Through the CESEC, the Commission will work together with Member States, industry, energy suppliers and other stakeholders across the value chain to deliver a more flexible energy system, enhance interconnection, promote the more efficient use of existing grids, and improve coordination. The CCT pilot complements other initiatives, notably the upcoming Tripartite agreement on energy storage. Keys facts and figures 9 Member States in South-Eastern Europe< 2 €/MWh Reduce price disparities below 2 €/MWhStorage Deploy energy storage to reduce price risks Interconnectors Improve connections between Member States Estimated preliminary timeline December 2025Launch of the energy highways initiativeMid-2026Scoping dialogues in the CESEC High-Level Group Related links Delivering on the EU’s CompetitivenessThe Competitiveness Coordination Tool aims to develop cross-border investment projects with an EU added value.
High energy prices and electricity price volatility, particularly observed in South-East Europe, are major hindrances to European competitiveness. In addition to cost, heavy reliance on imported fossil fuels poses serious geopolitical, economic and climate-related risks for our continent. A key part of the answer is to decarbonise our energy systems, scale up clean and renewable energy production, and pursue electrification for lowering energy prices. To this end, we must accelerate cross-border energy infrastructure development, boost system flexibility including through energy storage deployment, and improve energy system integration. The eight Energy Highways, set out as part of the European Grids package, will address key bottlenecks across Europe which represent the most urgent energy infrastructure needs. By supporting the concrete implementation of Projects of Common Interest and Projects of Mutual Interest, it will enhance overall security of supply, help integrate more renewables into the system and reduce reliance on fossil fuels, thus decreasing energy prices.© AdobeStock / scaliger
Delivering on the EU’s CompetitivenessThe Competitiveness Coordination Tool aims to develop cross-border investment projects with an EU added value.
