Greek construction industry insights: here are GEK TERNA Group’s Top-10 in-progress infrastructure projects

The unexecuted projects of the GEK TERNA Group have reached record heights, approaching 5.5 billion euros, making it the leading construction group in the country today. The flagship projects undertaken by GEK TERNA and its subsidiaries extend to Greece, Bulgaria, and Cyprus.

These are major infrastructure projects encompassing road construction, energy projects, airport projects, and building complexes. More specifically, the top ten projects include the construction of the southern and northern segments of the E65 road, the new airport in Kastelli Heraklion, the power generation unit in Komotini, the substations for the electrical interconnection of Crete-Athens, the section of the Athens-Thessaloniki Highway (BOAK) in Halkidiki-Nea Moudania, the section of the Patras-Pyrgos highway, the Amfilochia pumping station, the Petrarch-Dragoman railway line in Bulgaria, an energy production unit in Cyprus, the upgrade of Belgrade Airport, and the 550 MW photovoltaic park in Ptolemaida.

When summed up on their own (including projects in joint ventures), these projects exceed a value of 2.5 billion euros. The most impressive aspect is that the GEK TERNA Group is expected to add more significant projects to this list, with additional projects anticipated to commence in 2024.

Today, ypodomes.com, starting a comprehensive feature on the largest projects of the 7th-grade construction groups in your country, presents the top 10 ongoing projects of the GEK TERNA Group. We will continue with features on the AVAX Group, INTRAKAT Group, ELLAKTOR Group, and Mytilineos.

The Top 10 Under-Construction Projects of GEK TERNA

1. Motorway E65: Construction of the Southern and Northern Segments

TERNA has undertaken the construction of the southern and northern segments of the Central Greece Motorway, which, upon completion, will extend from Lamia to Grevena. The project in the southern segment has a cost of 310 million euros and involves the Lamia-Xyniada section. With this project, the E65 will connect to the Athens-Thessaloniki Motorway at the Anthili interchange before Lamia. The contract for the project was signed on December 31, 2018, and it is estimated to be completed in the first months of 2024. The funding comes from the Operational Program “Transport Infrastructure, Environment and Sustainable Development” (ESPA) 2014-2020.

The project in the northern segment has a cost of 442 million euros and pertains to the section from Trikala to Kipoureio Grevenon, where it will connect to the Egnatia Odos through an asymmetric interchange. The contract for the project was signed on June 24, 2021. The Recovery Fund provides funding. The Ministry of Infrastructure and Transport is the contracting authority for both projects. The first section from Trikala to Kalambaka is expected to be open to traffic in the first months of 2024, and the entire project is anticipated to be completed by 2025.

2. New International Airport of Heraklion in Kastelli

Today, it is the largest airport infrastructure project in the country, the only new airport being constructed from scratch, and the most significant infrastructure project in Crete with substantial developmental prospects. The concession agreement was signed on February 21, 2019, and construction commenced on February 9, 2020. The consortium GEK TERNA-GMR undertook the project, with TERNA being solely responsible for the construction. The estimated cost of the project is 480 million euros. The completion of the project is now anticipated for 2027.

The construction project includes establishing a new airport (terminal station, runway, auxiliary facilities, parking areas, etc.) and an 18-kilometer road axis connecting the Kastelli Airport to the Athens-Thessaloniki Highway (BOAK) in the Hersonissos area.

3. Komotini Power Generation Unit

This is about a significant energy project contributing to the country’s energy self-sufficiency. The Thermoelectric Plant of Komotini, a company jointly owned by Motor Oil Renewable Energy (MORE) and GEK TERNA, each holding a 50% stake, has awarded the construction of the plant to TERNA S.A. TERNA, in turn, signed a supply contract with Siemens for the key equipment of the power generation unit with a capacity of 877 MW.

The work commenced on September 2, 2021, and it is estimated to be operational by 2024. The project’s cost amounts to approximately 375 million euros, making it one of the country’s most significant new energy projects.

4. Electrical Interconnection Conversion Stations Crete-Attica

The Siemens-TERNA consortium was awarded the contract for the Ariadne Interconnection tender for the project “Study, Supply, and Installation of Two Conversion Stations and a Substation for the Electrical Interconnection of Crete-Attica.” This is currently the largest energy project in the country and the third-largest infrastructure project overall. It will definitively resolve Crete’s energy challenges and pave the way for green energy investments on the island.

The cost of the project amounts to 370 million euros. The works commenced in late March 2020, and the implementation period of the contract is 36 months. The completion is scheduled for 2024. The contracting authority is Ariadne Interconnection, a wholly-owned subsidiary of the parent company ADMIE Holding SA

5.(BOAK): Motorway Hersonissos-Neapolis Section

The project for the central section from Hersonissos to Neapolis was contracted on April 23, 2023. It utilizes the ΡΡΡ method and is undertaken by GEK TERNA, AKTOR CONCESSIONS, and INTRAKAT. The project spans 22.5 kilometres, and construction is expected to commence in 2024, with completion projected for 2027. It is one of the major projects of the Ministry of Infrastructure and Transport. For GEK TERNA, it represents another significant road project, both domestically and internationally. The Recovery Fund also provides partial funding.

6. Amfilochia Pumping Station

This is a Project of Common European Interest and a Strategic Investment. The project “Pumping Station System in Amfilochia” constitutes Greece’s largest storage infrastructure investment. With a total installed capacity of 680 MW (generation) and 730 MW (pumping), it includes two independent upper reservoirs (Agios Georgios and Pyrgos, with volumes of approximately 5 million cubic meters and 2 million cubic meters, respectively). Additionally, it utilizes the existing Kastraki Lake of the Public Power Corporation (DEI) as a lower reservoir. This investment exceeds 500 million euros, with an annual energy production of approximately 816,000 GWh.

7. Patras-Pyrgos Motorway: Construction of the Gastouni-Pyrgos Section

One of the country’s most discussed and essential road projects, it is the third-largest road project behind those in the southern and northern sections of the E65. TERNA is responsible for the construction of the Gastouni-Pyrgos section. AKTOR and AVAX are constructing the other sections.

The total cost of the project amounts to approximately 300 million euros. Construction activities began on all sections in March 2022. The completion of the project is scheduled for 2025. Funding for the project is provided by the European Structural and Investment Funds (ESIF) for the periods 2014-2020 and later from ESIF 2021-2027. The contracting authority is the Ministry of Infrastructure and Transport.

8. Petrarch-Dragoman Railway Line in Bulgaria

It concerns a large railway project in the neighbouring country. It is the Petrarch-Dragoman railway line, including infrastructure and electrification works. The project was signed on March 22, 2021, for a total amount of 154.7 million euros. The duration of the work is set at 48 months, with completion in 2025. The funding for the project is covered by the European Union (similar to the ESPA program in Greece).

9. Upgrade-Expansion of Nikola Tesla International Airport, Belgrade, Serbia

The project, with a total budget of 262 million euros, involves the construction of the new international airport in Belgrade, “Nikola Tesla,” by the joint venture of Vinci (51%) and TERNA (49%). The construction work commenced in the spring of 2020, and the duration of construction is five years. The project includes a series of interventions for the upgrade and expansion of Belgrade Airport

More specifically, it includes the following:

A. Terminal Buildings: New building facilities with a total area of 42,000 sq.m. and the renovation of existing building facilities covering 15,000 sq.m.

B. Airport Apron – Aircraft Servicing (Airside): Construction of a new runway for landing/takeoff, renovation of existing and connecting facilities, etc.

C. Airport Exterior: Construction of parking spaces for 2,400 vehicles, construction of facilities to serve arrivals and departures in front of the new terminal building, etc.

10. Photovoltaic Park 550 MW in Ptolemaida

It is one of the largest photovoltaic development projects in Greece and Southeastern Europe, costing 216 million euros. The project is being developed within the lignite centre of Western Macedonia, at the location “DEI Ptolemaida Mine,” in the municipalities of Eordaia and Kozani.

The park’s total capacity is 550 MW, and it is implemented using 1,375,000 photovoltaic panels. The project covers an area of 13,225,121 square meters, divided into five separate polygons (sections). The construction timeline by TERNA is estimated at 22 months, with completion in 2025.

New large projects in 2024

Beyond the top ten, there are significant new projects that the GEK TERNA Group will undertake. The construction permit is expected to be granted to commence jointly with Hard Rock, the country’s largest building project of all time. This project involves the development of an integrated tourist complex with a casino in Elliniko. The construction part of it amounts to 600 million euros.

The GEK TERNA Group is also expected to sign contracts for new major road projects, including the expansion of L. Kimis on the Attiki Odos. The signing is anticipated for the concession agreement of the Egnatia Odos, which encompasses a colossal construction program exceeding 500 million euros.

Furthermore, the GEK TERNA Group has secured contracts for water supply projects in Preveza and Lefkada, totalling 140 million euros. Additionally, the company is actively participating in prestigious tenders, competing for projects such as the BOAK: Hania-Hersonissos section (GEK TERNA), the expansion of the Metro in Ilion, and the road infrastructure projects ΡΡΡ Drama-Amphipolis and Thessaloniki-Edessa, among others.