Masdar is expanding its European renewable energy strategy with a solar acquisition in Greece that could connect clean power generation with the country’s growing digital infrastructure ambitions. The Abu Dhabi-based company has signed an agreement with Lightsource bp to acquire and further develop a solar project exceeding 550 megawatts (MW), adding substantial generation capacity to its regional portfolio. The project is expected to begin operations by the end of 2026 and generate enough electricity annually to meet the needs of more than 200,000 households. The transaction also marks Masdar’s first strategic investment through TERNA ENERGY, giving the company another route to expand across Southeast Europe.

Battery Storage Moves Into the Solar Investment

Masdar’s plan extends beyond adding solar panels to Greece’s electricity system. The company intends to install a battery energy storage system to help stabilize the grid, integrate more renewable generation and provide greater flexibility as electricity demand evolves. Two privately owned substations also form part of the transaction, creating essential infrastructure to connect the project to Greece’s electricity transmission system. Together, the generation assets, storage plans and grid connections position the investment as a broader power infrastructure development rather than a standalone renewable energy acquisition.

The storage component matters because renewable generation does not always align with the hours when electricity demand peaks. Batteries can help shift available electricity across different periods, although the project’s eventual contribution will depend on its storage capacity, operating strategy and connection arrangements. Masdar has not disclosed the planned battery system’s capacity in the announcement, leaving an important technical detail open as the project moves toward development. Nevertheless, the combination of solar generation and storage gives the company an opportunity to build a more flexible electricity asset as Greece works to accommodate additional renewable power.

TERNA ENERGY Becomes Masdar’s European Growth Platform

The Greek acquisition builds on Masdar’s growing investment in TERNA ENERGY, which it fully acquired in April 2025 after purchasing an initial 70% stake in November 2024. The transaction carried an enterprise value of €3.2 billion and represented the largest energy sector deal in the history of the Athens Stock Exchange at the time. Masdar uses TERNA ENERGY as its development platform across Southeast and Central Europe, targeting 6 gigawatts (GW) of operational renewable energy capacity by 2030. The company has backed that ambition with an investment plan worth €5.5 billion, placing the Greek solar project within a much wider regional expansion strategy.

Masdar and Khazna Explore Green Data Centers

A separate agreement could connect Masdar’s renewable energy ambitions more directly with Greece’s digital economy. Masdar and Khazna Data Centers will explore opportunities to develop green data centers in the country, examining clean electricity supply and energy storage solutions to support rising demand from artificial intelligence and digital infrastructure. The collaboration remains at the exploration stage, with no specific project capacity, investment amount or development timetable disclosed in the announcement. Still, the proposed partnership highlights a commercial opportunity at the intersection of two infrastructure markets: renewable electricity generation and the energy-intensive facilities needed to support AI computing.

Masdar Chief Executive Mohamed Jameel Al Ramahi said: “These agreements mark another important milestone in our growth strategy in Europe. “We are enhancing our portfolio with a high-quality solar project, which we will further develop by adding a battery energy storage system, securing stable, long-term returns. “Our collaboration with Khazna builds on this foundation as we explore opportunities to power Greece’s growing digital economy with clean energy.” Masdar Chairman Dr. Sultan Ahmed Al Jaber said: “Masdar’s expanding renewable energy portfolio, together with its new collaboration with Khazna, connects two key pillars of the economy of the future: clean energy and digital infrastructure. “These initiatives will strengthen Greece’s energy security, support its ambition to become a regional digital hub, and create new opportunities for investment and economic growth.”

A Larger Renewable Portfolio, With Completion Still Ahead

Masdar’s global renewable energy portfolio exceeds 65GW, and the company aims to reach 100GW by 2030. The Greek solar acquisition would support that broader target while extending its presence in a European market where renewable generation and digital infrastructure could increasingly develop alongside each other. However, the transaction has not yet closed, and completion remains subject to regulatory approvals and customary closing conditions. Masdar expects to complete the acquisition by the end of 2026, leaving the project’s delivery, storage specifications and potential data center partnerships as key developments to watch.