Europe has been racing to reduce its reliance on Russian hydrocarbons. The continent fears possible supply disruptions if Moscow decides to cut gas flows, and a new energy plan is emerging that strengthens intermember links while giving Spain a central leadership role.
The European Commission and Germany, a country heavily dependent on Russian gas, back the idea of a new gas link between Spain and France that could deliver fuel to Central and Northern Europe. In essence, this seeks to revive the MidCat concept, which was halted three years ago when Spanish exports were deemed too costly for re-export. Today, the geopolitical and economic landscape has shifted, shaped by Vladimir Putin’s actions and the broader energy squeeze.
France has not fully embraced the proposal. Although there is no formal statement, the Macron administration does not view the project as a top priority for solving the current crisis, warning about its economic and environmental costs and signaling that it does not align with France’s strategic push for nuclear as a cornerstone of its industrial policy.
Spain seeks direct involvement from Germany and Brussels to press Paris into reconsideration, but with France’s resistance likely to persist, Prime Minister Pedro Sánchez and several ministers have explored an alternative path. “If plan A doesn’t go ahead, plan B will be considered,” Sánchez warned recently. Plan B envisions an underwater route between Spain and northern Italy, with supplies then routed to the rest of Europe.
French President Emmanuel Macron at an event in Paris in mid-June. EFE
The project to connect Barcelona and Livorno through a gas pipeline is not new. It was noted by the European Commission in its RePowerEU strategy, which aims to shield Europe from Russian supply threats, as well as in the strategic plan of Enagás, the Spanish gas system operator. The network development was outlined just over a month ago, and Spain’s preference remains prioritizing a route through Italy if it proves simpler and cheaper than alternatives.
Enagás and its Italian partner Snam have completed a technical feasibility study of the plan, with work starting last May. While final report details are pending, early estimates place total joint investments around 3,000 million euros to lay an underwater line of roughly 800 kilometers. It could begin operation in 2028 and anticipate hydrogen transport by 2039. The pipeline would handle about 10 billion cubic meters of gas annually, with capacity potentially rising to 15 bcm, and would enable Spain to considerably expand its export capacity per year.
Three potential interconnections?
Enagás’ 2030 strategic plan includes a possible link to Italy, contingent on EU approval and funding, while connections with France remain uncertain due to political reluctance in Paris and hesitations from Lisbon and other capitals. These major interconnection initiatives are part of Brussels’ RePowerEU program, designed to steadily reduce Europe’s dependency on Russian gas.
This is the third route considered with France, tied to the revived MidCat project with a planned investment of 370 million euros; a route to Portugal with an estimated 90 million euros; and the underwater link to Italy valued at 1,500 million euros, roughly half of the total projected investment.
Three new interconnection projects for Spain, detailed by Enagás, total around 1,980 million euros without subsidies or non-recourse financing and await EU approval, potentially in 2024 or 2025. “These infrastructures will be built. Europe needs them,” stated Gonzalo Aizpiri, the Enagás CEO, last July.
The French option, according to the government, is cheaper, easier technically because it would not be underwater, and faster to activate. Teresa Ribera, the vice president and minister for ecological transition, argues that the Spanish portion of MidCat (roughly 200 kilometers from Hostalric to the French border) could be completed in eight to nine months and be ready for the winter of 2023-2024.
Rising exports
Official figures show Spain already re-exports about 20 percent of all gas it receives, including methane tankers via pipelines with France or through electricity exports when Spain’s gas-fired plants supplement French nuclear shortages. Spain could increase exports further if needed. Data from Enagás indicates the Spanish gas system can ship about 7 bcm annually to Europe via two pipelines with France, and can also dispatch around 4 bcm by ship from Turkish regasification plants. With regasifiers operating at full tilt, an additional 10 bcm could be added, potentially directing up to 20 bcm per year to other European countries, roughly 13 percent of Europe’s Russian-gas intake. In the coming months, the previously idle El Musel regasification facility in Asturias could reopen as a logistics hub for re-exports, potentially boosting Spain’s capacity to supply Europe by around 8 bcm.