Deal puts Western Macedonia on the AI map

Greece is gaining a stronger foothold on Europe’s large-scale digital infrastructure map following the agreement announced by Public Power Corporation (PPC) and Amazon Web Services (AWS), as computing capacity, artificial intelligence and energy emerge as strategic drivers.

The fact that one of the world’s largest cloud service providers enters the Greek market gives the project a clear geoeconomic dimension. At the same time, PPC, which has announced capital expenditure of €1.2 billion for the first phase, is expanding its presence in new technology infrastructure while seeking to give former lignite-producing areas a new economic role. The binding Memorandum of Understanding (MoU) signed by PPC and AWS sets out the framework and key terms for the development of the data centre in Agios Dimitrios, Western Macedonia.

The initial phase will have a power capacity of 300 MW. The two sides have also agreed to explore expansion of the project to up to 1 GW. This is an option rather than a firm investment decision, as it would require mutual agreement, suitable market conditions and the signing of additional definitive agreements. Once construction is completed, AWS will lease the data centre for 15 years. PPC will provide the land, buildings and supporting energy infrastructure, while the US company will install and operate the information technology (IT) infrastructure.

The agreement also covers power supply. AWS will purchase, and PPC will supply, renewable energy under long-term Power Purchase Agreements (PPAs), in line with Amazon’s goal of achieving net-zero carbon emissions across its operations by 2040.

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