Water scarcity in Greece is no longer viewed as a seasonal problem. It is emerging as a major infrastructure challenge and driving one of the most ambitious public works programs in the country’s recent history.
Government planning envisions projects worth roughly €10 billion by 2040 to address drought conditions, modernize aging water systems and overhaul irrigation management. The first phase, estimated at €3.5 billion, is already taking shape, centered largely on Attica, the greater Athens region, where authorities have declared a state of emergency to accelerate critical works.
At the heart of the effort is EYDAP, the Athens water and sewerage utility, which is preparing projects worth about €2.5 billion over the next decade. The focus is on upgrading the internal water supply and sewage network to reduce leakage, developing wastewater treatment centers in eastern Attica, installing recycling and reuse units so treated water can be used for irrigation, and introducing digital water meters in homes and businesses.
The projects are expected to be matured and tendered through a special project preparation unit operating under Greece’s sovereign wealth fund, known as the Growthfund. In parallel, the Greek state plans to allocate an additional €1 billion for large-scale works tied to water scarcity. Among them is the “Eurytos” project, budgeted at €535 million and expected to be tendered in late 2026. Officials have not ruled out using accelerated procedures similar to those applied to emergency reconstruction projects after Storm Daniel, potentially through closed invitations for expressions of interest.
If delays arise, EYDAP has outlined a contingency plan that includes locating desalination plants for seawater or brackish water — projects estimated at roughly €500 million — along with additional boreholes near the Mornos canal, one of Athens’ main water supply arteries.
A second, equally significant development is legislative. The Ministry of Environment and Energy is preparing a water management bill that is expected to be submitted to Parliament in the second quarter of 2026, although sources say the timetable may slip slightly. The proposal would significantly expand the reach of Greece’s two main water utilities.
Under the plan, EYDAP would absorb local water supply and irrigation providers across the regional units of Attica, Boeotia, Fokida and Evia. Meanwhile, EYATH, the Thessaloniki-based utility company, would expand into Thessaloniki and Halkidiki in northern Greece. Both companies would be able to establish irrigation subsidiaries in which private investors could participate with minority stakes, while the utility companies would retain at least 51% ownership.
By absorbing smaller regional providers, both utilities would expand their regulated asset base, a move that could lift their market valuations and increase investor interest. According to sources familiar with recent international roadshows, there has already been interest expressed in EYDAP shares.
The scale of the upcoming contracts has triggered positioning among major construction and infrastructure groups. AKTOR recently announced an exclusive cooperation memorandum with SUEZ INTERNATIONAL, a global player in water works and management. According to sources with knowledge of the agreement, the partnership is targeting projects aimed at reducing water losses in networks, expanding recycling and reuse systems, constructing dams and reservoirs, and potentially participating in irrigation management through the expanded utility framework.
Other prominent Greek groups are also preparing to compete for the new wave of water-related projects. These include GEK TERNA, AVAX and METKA, all of which have signaled growing interest in infrastructure tied to sustainability and climate resilience.
Source: ot.gr
