Following a successful share capital increase and the draining of 4.5 billion euros from the markets, Euronext-listed Public Power Corp. (PPC) is moving ahead with plans to develop one of southeastern Europe’s largest AI infrastructure projects in the western Macedonia province, where PPC maintains its biggest industrial base in the country.
According to market sources, PPC has made the creation and management of large-scale data centers in the former lignite-producing region mostly centered in Kozani prefecture its top investment priority as part of its wider transition strategy toward digital infrastructure and cleaner energy production.
The first phase of the project involves a 300-megawatt mega data center with an estimated cost of 2.3 billion euros. PPC’s share of the investment is expected to reach 1.2 billion euros, while the remaining funding is anticipated to come from a hyperscale technology partner that would supply data storage and computing equipment through a joint venture structure, according to the utility.
The company’s longer-term goal is to expand the complex to 1 gigawatt of capacity, with total investment potentially reaching eight billion euros based on international market estimates.
According to recent press reports, PPC is currently in negotiations with four major hyper-scalers, with a final partner expected to be selected within three to six months. The planned 50,000-square-meter facility is intended to support artificial intelligence applications and cloud-computing services for global technology companies.
Electricity for the project will be supplied directly from dedicated generation units under a behind-the-meter model rather than through the national grid, a structure the company says will avoid placing additional pressure on Greece’s electricity system or increasing costs for other consumers.
To support the project’s energy needs, PPC plans to upgrade the Ptolemaida V plant into a 500 MW combined-cycle gas turbine facility and construct a new 100 MW gas-fired unit at Agios Dimitrios. Construction of the initial 300 MW data center is targeted to begin by the end of 2026.
The project comes as European utilities and governments accelerate investments tied to AI infrastructure amid rising concerns over the energy demands of hyperscale data centers. International financial media, including Bloomberg and Reuters, have recently highlighted mounting pressure on European grids as technology companies expand AI and cloud operations.
PPC has increasingly positioned western Macedonia — long dependent on lignite production for power generation — as a future hub for renewable energy, storage and digital infrastructure under Greece’s post-lignite transition strategy.
PPC, which was once Greece’s state-owned and run electricity monopoly, remains the dominant power producer and supplier in the country, years after a liberalization of the sector.
