The Great Sea Interconnector (GSI) is moving forward and will pass through Cyprus, with “everything running normally”, Energy, Commerce and Industry Minister Michalis Damianos said on Sunday.
Speaking in Xylotymbou, Damianos said the GSI “will definitely pass through Cyprus”, as planned, both on the Cyprus-Crete section and the Cyprus-Israel section, rejecting reports that the project would proceed without Cyprus’ participation.
He said that following an agreement between President Nikos Christodoulides and Greek Prime Minister Kyriakos Mitsotakis, the entry of a new investor into the project had moved forward, while a new due diligence study is expected. The aim, he explained, is to determine the project’s exact cost and decide how it will be financed.
The Minister said he believed “everything is running normally”, noting that a period of time is required for the European Investment Bank to proceed with the next steps.
Funding
Regarding the project’s viability, Damianos said this would also depend on the amount of funding that could be secured. If the project proves significantly more expensive, he said, additional investors and resources would have to be found to allow it to proceed.
He recalled that the European Union has already allocated €658 million to the project, stressing that it must first be established whether its cost has increased and, if so, how its financial viability can be secured.
Damianos also referred to the cost for Cypriot consumers, noting that they would contribute towards the project through their electricity bills. For this reason, he said, additional funding would need to be secured so that the cost would not have a significant impact on consumers.
The Minister also referred to the entry of French company Meridiam into the project, saying there appeared to be investment interest in the GSI more broadly. He added that foreign investors were also showing interest in the Cyprus-Israel section.
“Since there is broader interest, it is a project for which we must find a way to implement it, and not ask whether it will be implemented,” he said.
Source: CNA
