Newsroom / CNA
Cyprus' Minister of Energy, Trade and Industry, George Papanastasiou, announced on Thursday that the comprehensive cost-benefit study for the Cyprus-Greece (Crete) electricity interconnection, known as the Great Sea Interconnector (GSI), has been delivered by the Independent Power Transmission Operator S.A. (ADMIE). This crucial document is expected to play a significant role in the country's energy planning and policy decisions.
In a statement to the Cyprus News Agency, Papanastasiou revealed that initial feedback from various agencies evaluating the study will be available within the next two months. He highlighted that the cost for Cypriot consumers during the construction phase of the project will begin on January 1, 2025, at a rate of 0.6 cents per kilowatt hour. This is in contrast to potential issues of overproduction from Renewable Energy Sources (RES) in the absence of such an interconnection, which could lead to wasted energy despite storage solutions due to high costs.
"Today we received the comprehensive cost-benefit study, the content of which we have not seen yet," Papanastasiou stated after his meeting with ADMIE officials. He emphasized that the study, provided both in paper and electronic formats, focuses on the impact on Cypriot electricity consumers.
The Minister noted that the evaluation by relevant agencies is pending, and he anticipates preliminary feedback within two months. This feedback is essential for the Republic of Cyprus to consider when making decisions about the project. He acknowledged the tight schedule due to pressing issues related to the project's disbursements and construction timelines, emphasizing the need for careful and well-informed decisions given the project's long-term impact over the next 30-40 years.
Papanastasiou also mentioned that the Cyprus Energy Regulatory Authority (RAEK) will have a separate meeting with ADMIE on Monday. He suggested that RAEK might reconsider its previous decision to prevent Cypriot consumers from being charged before the project's implementation if new, convincing data are presented.
The European Commission is supporting the GSI project with a substantial grant of €657 million, underscoring the project's significance for regional energy integration and sustainability.
