It welcomes the entry of the French investment group Meridiam as the majority shareholder in Great Sea Interconnector, but cannot yet say whether the project will be viable, the government, which is awaiting the European Investment Bank’s study.
In remarks made following the Cabinet meeting, Energy Minister Michalis Damianos expressed the government’s satisfaction with the entry of the French investment group Meridiam as the majority shareholder in theCyprus-Greece power interconnection project.
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“The participation of a major international French company with the necessary expertise clearly brings tremendous new momentum to efforts to implement the project, while also demonstrating the shared political will of Nicosia and Athens.”
He noted that President Christodoulides was kept constantly informed by the Greek Prime Minister.
However, the European Investment Bank’s feasibility study is of decisive importance for the Republic of Cyprus’s decision-making.
“We are awaiting the due diligence study from the European Investment Bank regarding the financial aspects of the GSI, which I expect we will receive in the coming months,” he stated in response to a question about whether, given the new information, Cyprus should also participate as a shareholder in the project. “Whether the Republic of Cyprus will participate as a shareholder is something we will see as things progress,” he adds.
When asked to comment on the possibility of an additional financial burden for Cyprus, he replied that the study is expected to address this issue.
“ADMIE, as the implementing body, has submitted the request to the European Investment Bank, so all we can do now is wait for the results.”
When asked when the results are expected, he estimates they will be available within the next few months and before the end of the year.
When asked whether France’s participation and interest would mitigate geopolitical risks and Turkey’s reactions, he states that the involvement of a French giant helps the project. Responding to a question about whether other investors are expected to be attracted, he says that is something he cannot know.
“We’ll have to wait for the European Investment Bank’s due diligence study; we’ll base our decision on that,” he replies when asked whether the Republic of Cyprus considers the project viable.
“It will reveal exactly what the cost will be, because if it has increased from 1.9 billion, we’ll have to see how these new needs will be covered—with investors or without.”
When asked to comment on the fact that while we welcome the news, doubts remain regarding the project’s viability, he responds that the position remains that we must first receive the new data from the European Investment Bank.
As for the stake that the French company will hold, he states that it will be 66%.
