Greece’s leading electricity provider, Public Power Corp. (PPC), is accelerating plans for a major data center investment in Western Macedonia, following high-level talks between Greek and U.S. officials that have brought renewed attention to the €2.3 billion ($2.5 billion) project.
The investment was reportedly discussed on Feb. 19 in New Delhi during a meeting between Prime Minister Kyriakos Mitsotakis and Michael Kratsios, Assistant to the US President and Director of the White House Office of Science and Technology Policy. Kratsios previously worked for venture capitalist Peter Thiel and has been described as his protégé. According to reports, Mitsotakis referred to the prospects of creating a mega data center in Macedonia, underscoring the strategic importance Athens attaches to the plan.
Negotiations With U.S. Hyperscalers
At the corporate level, PPC is in negotiations with leading U.S.-based hyperscalers — global technology companies that operate large-scale cloud and artificial intelligence infrastructure — over potential participation in the project.
While no formal agreements have been announced, hyperscalers typically include firms such as Microsoft, Google, Amazon, Meta and OpenAI.
According to sources, PPC’s management is presenting detailed plans for the project, outlining both the technical specifications and the group’s capacity to execute an investment of European scale. The next stage, if interest materializes, would involve negotiating the structure and financial terms of a joint venture.
A 300 MW Mega Data Center in Northern Greece
The first phase of the project involves building a 300-megawatt (MW) “mega” data center at the site of the Agios Dimitrios power plant in Western Macedonia, on land currently used as a former lignite yard.
With a total building area of about 50,000 square meters (538,000 square feet), the facility is designed to serve cloud computing platforms and artificial intelligence applications for major global technology groups.
PPC estimates that once a binding agreement is signed with a hyperscaler, the data center could be completed within two years.
Dedicated Energy Supply
A central feature of the plan is that the facility would be powered directly by PPC’s own generation units through a behind-the-meter arrangement, meaning it would not draw electricity from Greece’s national grid. This approach is intended to prevent additional strain on the country’s broader energy system.
To support the data center’s energy needs, PPC plans:
The conversion of the Ptolemaida 5 unit from 350 MW to a 500 MW combined-cycle gas turbine (CCGT).
The construction of a new 100 MW open-cycle gas turbine (OCGT) unit at Agios Dimitrios.
In parallel, PPC is already developing renewable energy and storage projects in Western Macedonia totaling more than 3 gigawatts (GW). Together with the data center, total investments in the region are projected to reach €5.75 billion.
Expansion to a 1 GW Giga Data Center?
Depending on interest from additional hyperscalers, PPC is also considering expanding the project into a 1-gigawatt (1,000 MW) “giga” data center.
Under the initial 300 MW phase, the company estimates about 10,000 jobs during construction and 1,200 permanent positions once the facility is operational. If the full 1 GW project is realized, total direct jobs across PPC’s energy and technology investments in the region could reach 20,000 during construction and 2,000 during operation.
Transforming a Former Coal Region
For Western Macedonia — historically Greece’s coal-producing heartland — the data center represents more than a technology investment. It signals a broader economic shift as the region transitions away from lignite-based power generation.
Company sources estimate that each direct data center job can create up to five additional local positions. Beyond high-skilled technology roles, indirect employment is expected across sectors such as technical support, hospitality, housing, logistics and security.
The presence of a large-scale data center could also attract a wider ecosystem of software developers, AI engineers and startups, positioning northern Greece as an emerging hub for cloud computing and artificial intelligence in Southeast Europe.
According to reports, the investment decision could be finalized by the last quarter of 2026, provided a binding agreement is secured with a hyperscaler partner.
For Greece, the project reflects a strategic effort to leverage its energy assets and geographic position to enter Europe’s rapidly expanding data and AI infrastructure market — a vision now reinforced by discussions at the highest political level.
Source: ot.gr
