The government estimates that by the end of 2026, it will have in its possession the European Investment Bank’s study regarding the construction cost of the Cyprus-Greece-Israel power interconnection, which is estimated to range from €1.9 billion to €2.5 billion.
Speaking on the Alpha News program, Energy Minister Michalis Damianos explained that the exact cost estimate will also determine whether there will be a reduction in the cost ofelectricity. He also stated that the governments of Cyprus and Greece aim to attract more investors to the project, in order to secure private funding and reduce the contribution of Cypriot taxpayers, which is estimated at 63 percent.
ΣΧΕΤΙΚΑ ΑΡΘΡΑ
Mr. Damianos emphasized that, beyond the economic costs and geopolitical developments that the Great Sea Interconnector pipeline will bring, it will strengthen the country’s electricity security and free Cyprus from the energy isolation it experiences as an island nation.
The Minister of Energy assured that all relevant agencies in Cyprus and Greece, as well as European institutions, are monitoring developments and closely scrutinizing all financial aspects of the project to ensure that taxpayers’ money is used properly.
As for the next steps? Nicosia is awaiting the issuance of a Navtex from Athens for bathymetric surveys along the cable route, and once the study is submitted, the Cyprus Energy Regulatory Authority (RAEK) will have six months to negotiate with Israel regarding the portion of the project involving the two countries.
When asked when electricity prices would come down, the Minister of Energy noted that the only way to achieve this is through the arrival of natural gas in Cyprus. This, he said, will happen upon the completion of the projects at the Liquefaction Terminal in Vasilikos, which he described as a “no-brainer.”
At the same time, he acknowledged that “there is no magic button” to lower electricity prices, which are influenced by geopolitical developments and international events.
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