The European Union is supporting Albania in several key sectors. Energy and infrastructure remain among the main priorities.
According to the European Commission’s “Energy Factsheet – Albania,” the EU has provided €588 million through the Global Gateway initiative since 2021.
Meanwhile, this support could mobilize around €1.5 billion in total investments. The Western Balkans Investment Framework (WBIF) plays a key role in this effort.
Energy already benefits from several concrete projects. The European Commission highlights the 50 MW photovoltaic park in Belsh and the floating photovoltaic plant at the Vau i Dejës reservoir.
For 2021–2027, the EU has also committed around €680 million in financial and technical assistance to Albania through IPA III. The package includes €80 million from the Energy Support Package. The EU approved this funding in 2023 to support vulnerable households and small and medium-sized enterprises.
In addition, the package includes €50 million for renewable energy and energy efficiency in buildings.
Another major instrument is the Reform and Growth Facility (RGF). Under this facility, Albania has received a total allocation of €922.1 million for 2024–2027.
By May 2026, Albania had received €212.8 million through the facility. According to Reform Agenda data, €127.9 million of this portfolio concerns the energy sector.
In May alone, the EU approved a €49 million payment. As a result, total RGF disbursements reached €212.8 million.
However, these funds do not represent a free pool for energy investments. Instead, Albania receives them as it implements reforms agreed with the EU.
These reforms cover several areas. They include the business climate, energy, human capital, digitalization and the rule of law.
Meanwhile, the Belsh photovoltaic park stands out among the concrete energy projects supported by European instruments. The park has a capacity of 50 MW and a total value of around €42 million.
The project includes a €30 million loan from the European Bank for Reconstruction and Development (EBRD). The EU also contributes through the WBIF.
The park will increase domestic solar power generation. At the same time, it will diversify Albania’s electricity sources and reduce the system’s dependence on hydropower production.
Another major project is the floating photovoltaic plant in Vau i Dejës. The plant has a capacity of 12.9 MW.
According to WBIF data, the project requires around €12.1 million in investment. The financing includes around €2.7 million in grants, €7.48 million in EBRD loans and around €1.89 million in national funding.
Once operational, the plant is expected to generate more than 18 GWh of electricity each year. It will also prevent around 8,700 tonnes of CO₂ emissions annually.
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