Deputy Minister of Foreign Affairs for Economic Diplomacy and Openness Kostas Fragogiannis’ interview with POLITICAL newspaper and journalist Sp. Mourelatos (21. 05. 2022)

JOURNALIST: The energy security issue was high on the agenda between Kyriakos Mitsotakis and Joe Biden at the White House, but also in the talks between the delegations of both sides, in which you participated as well. Should we expect new US investment in this sector and if so, will there be in existing infrastructure or has there been interest in new projects?

K. FRAGOGIANNIS: Indeed, energy issues were high on the agenda of the talks, at every level, in the US capital. And it’s entirely expected, considering the unprecedented turmoil that is currently prevailing in global energy markets as a result of Russian policy and ongoing Russian aggression against Ukraine.

How Europe can wean itself off Russian gas, the ways in which the US can help in this direction and the role of Greece in the whole process are major questions.

In fact, the issue of energy cooperation between Greece and the US with a view to make the transition in a new energy landscape for Europe, based on alternative forms of energy, was the subject of a study presented in my presence at the Atlantic Council on 18 May, followed by a very interesting and constructive discussion.

The prospect of US companies’ participation in infrastructure projects to interconnect the energy system of South-East Europe was on the agenda of the discussions I had with both the American Central European Business Association (ACEBA) and the US International Development Finance Corporation (DFC). And there is strong interest in funding the development of innovative technologies in the field of renewable energy.

JOURNALIST: I realize that Athens aspires to play the role of a “liaison” so that the US and the EU can jointly find ways to intervene in the international gas market, in order to support households and businesses, especially in Europe.

K. FRAGOGIANNIS: Greece is already an energy transport hub to Eastern and Central Europe and many projects are underway to strengthen this role. Among them, the new FSRU in Alexandroupolis, which will be the source of LNG supply for Bulgaria and other countries in Eastern Europe and the Balkans. In addition, the prospect of developing more FSRUs all over Greece and increasing LNG imports from key suppliers, such as the US, is being examined.

By also being a pillar of stability in the region and a strong ally of the US, Greece is well-equipped to lead the collective effort, at EU level, to address the difficult energy challenges and their serious impact on the daily lives of European households, with the support of the US. The US interest, as expressed during the Prime Minister’s visit, to become a formal member of the trilateral energy cooperation between Greece, Cyprus and Israel (the 3+1 format) for the exploitation of the energy resources of the Eastern Mediterranean, confirms this role of our country.

JOURNALIST: Are you optimistic ahead of the extraordinary EU summit at the end of May that there is room for taking decisions to make bold interventions in the formation of gas prices globally?

K. FRAGOGIANNIS: I am optimistic that, we, Greece, will make every effort within the EU to mitigate the impact of the energy crisis on the everyday lives of European citizens as much as possible. At national level, we have already taken bold initiatives to support Greek households by subsidizing the electricity and gas bills, to the extent the existing fiscal space allows. We hope that the European leaders’ decisions at the upcoming summit will be even more courageous, in the direction of saving energy, diversifying its sources and halting the upward trend in energy prices.

JOURNALIST: How did the US side respond to the Greek arguments about the recent escalation of Turkish provocations and do they think they are related in any way to the prospect of selling F-16 fighter jets to Turkey?

K. FRAGOGIANNIS: I think the way the Prime Minister raised the issue during his historic speech at the US Congress left no room for doubting what he said. As the PM clearly put it, Greece is a democracy that seeks peace, that always extends a hand of friendship to its neighbours and that is always open to dialogue on the basis of International Law. However, we will not accept aggressive actions that violate our sovereignty and territorial rights. The PM presented the Americans with evidence of Turkey’s aggressive actions – the overflights over Greek islands – in a move that surprised many and certainly upset Turkey, and which, however, as I believe, has already worked in support of Greek positions and will work even more so in the long run.

JOURNALIST: How is the positive agenda between Greece and Turkey, which you are working on together with your counterpart, Mr. Onal developing? Is progress being made and if so, in which areas?

K. FRAGOGIANNIS: As I have repeatedly clarified, the positive agenda covers low-policy issues, without touching sensitive issues in our bilateral relations with Turkey. Let me reiterate that Greece’s positions on our national issues are clear and non-negotiable, even if Turkey attempts to raise non-existent issues under international law and makes provocative statements. However, being convinced that the creation of a positive climate, in whatever area this is possible, especially on economic issues, is to the benefit of our country, we continue to promote the positive agenda. Indeed, the next round of discussions on the positive agenda issues is scheduled to take place in Ankara on June 24. The twenty-five items of the positive agenda are developed in the areas of transport, environment, tourism, small and medium-sized enterprises and important steps have been taken, for example to improve interconnectivity, to facilitate trade, to increase tourism flows on both sides and to strengthen cooperation on civil protection issues.

JOURNALIST: During your meeting with the US delegation at the White House, the issue of increasing US investments was also raised. Can you tell us about specific projects that we will see being promoted in the near future?

K. FRAGOGIANNIS: Attracting investments is one of our key objectives in Economic Diplomacy and I dare say I am proud of the results of our efforts over the last two years. Foreign investments in Greece have seen a significant increase, especially US investments; the presence in our country of Amazon, Microsoft, Pfizer, Google is indicative of it. We are in constant communication with the US business world and we are working on ideas and proposals for major new projects with a focus on innovation, new technologies, and renewable energy. I hope that some of these will reach a sufficient level of maturity soon so that we can make relevant announcements.