Apostolos Tomaras
The Great Sea Interconnector (GSI), which is the undersea electricity cable connecting Cyprus to Crete and eventually mainland Greece, was once presented as a game-changing project that could end Cyprus’ energy isolation, stabilize the island’s electricity network and potentially lower power bills for consumers.
But months after Cyprus President Nikos Christodoulides and Greek Prime Minister Kyriakos Mitsotakis agreed in November 2025 to update the project’s financial and technical data, implementation is still moving at a cautious pace.
In a recent step forward, the energy ministers of Cyprus and Greece sent a joint letter to the European Investment Bank seeking support for the project. The move is being viewed more as a renewed political commitment by both countries rather than a final breakthrough.
According to estimates, the updated financial and technical assessment may not be completed before the end of 2026, meaning the project still faces a long road ahead.
For many Cypriots, the stakes are simple: electricity prices remain among the biggest household concerns, especially after years of rising energy costs. Supporters of the cable argue that connecting Cyprus to the wider European electricity grid could eventually reduce dependency on expensive fuel imports and improve energy security.
Speaking during a visit to Nicosia this week, European Energy Commissioner Dan Jørgensen stressed the importance of cooperation during what he described as “turbulent times” amid Europe’s energy crisis.
The issue was also discussed on the sidelines of the informal EU Energy Ministers' Council held on May 12 and 13.
Green light for financing request
Sources familiar with the discussions said meetings held in Nicosia involving Cypriot and Greek officials, EU representatives, and executives from the project’s implementing body, Independent Power Transmission Operator (ADMIE), effectively gave the green light for an official financing request to be submitted to the European Investment Bank.
Officials reportedly highlighted the strategic importance of the project, especially given growing geopolitical tensions in the Eastern Mediterranean.
The European Investment Bank is expected to carry out a due diligence study that will reassess the economic and technical viability of the interconnector and potentially pave the way for investor participation.
The cable project had become a source of tension between Athens and Nicosia after concerns were raised by the Cypriot side, particularly over the project’s economic sustainability and geopolitical risks.
Cyprus Finance Minister Makis Keravnos had previously voiced concerns over whether the project was financially viable and whether Cyprus could be exposed to additional risks.
The updated assessment was therefore intended both to reassure Cyprus and attract stronger investor backing.
Strong backing from Brussels
The European Commission continues to strongly support the project, describing it as strategically important for ending Cyprus’ energy isolation and improving regional electricity stability.
Jørgensen said the interconnector could strengthen energy security, integrate renewable energy into the Eastern Mediterranean market, and help lower electricity costs in the long term.
The EU has already approved €658 million in funding for the project through the Connecting Europe Facility, making it one of the bloc’s largest energy grants to date.
Manufacturer still on board
Despite delays and uncertainty, French cable manufacturer Nexans appears committed to the project.
The company, which is responsible for manufacturing the undersea cable, confirmed during the presentation of its 2025 financial results that it remains engaged despite political and financial complications surrounding the project.
Nexans is also reportedly in discussions with ADMIE over adjustments to the implementation timetable.
Company officials, however, acknowledged that it remains difficult to predict when the project will ultimately move forward due to ongoing political developments.
