An interstate agreement of historic importance was signed, according to OT information, last night for the Greece-Cyprus cable by the two countries’ Energy Ministers, Thodoros Skylakakis and Giorgos Papanastasiou.
Sources of the OT note that this text seals the decision of the two governments to implement the Great Sea Interconnector, the electrical interconnection with an underwater cable between Greece and Cyprus.
Cable Greece – Cyprus
According to information, the interstate agreement came as a result of the issuance of the decision of the Cyprus Energy Regulatory Authority, which provides the possibility to the implementing body of the project for the Greece-Cyprus cable to start the project’s revenue recovery from 2025, as well as its methodology income.
Of course, the Greece-Cyprus cable unraveled… after the meeting that Prime Minister Kyriakos Mitsotakis and the President of the Republic of Cyprus Nikos Christodoulidis had last Thursday, September 19 in Athens.
The international agreement
According to OT information, the intergovernmental agreement includes three points, which the two governments are committed to implementing:
1. The issuance of the regulatory decision on the amount of the income.
Information wants it to be issued unexpectedly by CERA on Monday, September 23.
2. The division of geopolitical risk in a 50-50 ratio.
Greece, according to sources, is going to enact the aforementioned commitment by submitting relevant legislation.
3. The equity participation of Cyprus in the implementing body of the Great Sea Interconnector project.
It is worth noting how Cyprus will be able, before its decision to enter the share capital of the Great Sea Interconnector, to proceed with due diligence and without requiring the approval of a cost-benefit study.
According to information, CERA will issue a corresponding decision as soon as the Greek government votes on the geopolitical risk regulation.
The project
The project for the Greece-Cyprus cable is implemented by ADMIE and has received financial support of 657 million euros from the EU. as it has been included in the projects of common European interest.
The total investment is expected to reach 1.9 billion euros and the project is estimated to be completed in 2029.
With the electrical interconnection, Cyprus comes out of energy isolation and acquires an alternative energy gateway, while at the same time the operation of the electrical interconnection is expected to bring significant benefits to the energy costs of households and businesses in Cyprus.
SOURCE: ot.gr
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