Energy Minister: No Charge for Great Sea Interconnector Pre-Operation

Energy Minister Upholds Consumer Interests in Great Sea Interconnector Project

In a firm stance to protect consumers, Energy Minister George Papanastasiou has declared that Cypriot consumers will not be charged for the Great Sea Interconnector until it is fully operational. This announcement came during an event celebrating the energy ministry’s first year under President Nikos Christodoulides’ administration.

The Great Sea Interconnector, previously known as the EuroAsia Interconnector, is an ambitious project that aims to link the electricity grids of Cyprus, Greece, and Israel through an undersea cable. Despite the project promoter’s request for early revenue to cover expenses, Papanastasiou emphasized that any financial burden should not fall on consumers before electricity flows through the cable.

With a projected cost of €1.9 billion and an expected launch in 2029, the interconnector promises significant advantages, particularly in facilitating renewable energy capacity. Cyprus is set to cover 63 percent of the cost due to the greater benefits anticipated for its consumers, while Greece will contribute the remaining 37 percent. However, Papanastasiou insists charges should only apply once there is an “actual flow of electrons.”

The Cypriot government is also considering a direct investment of up to €100 million in the project, pending a comprehensive cost-benefit analysis to inform their final investment decision.

Addressing offshore gas exploration activities, Papanastasiou highlighted ongoing three-dimensional surveys by ExxonMobil and Qatar Energy in Block 5 of Cyprus’ Exclusive Economic Zone. These surveys have sparked optimism, and further appraisal drilling is planned for the Glaucus reservoir in Block 10. Additionally, new exploratory drilling permits are expected next year for Blocks 5 and 10.

On the topic of the Aphrodite gas field in Block 12, the minister awaits a revised development plan from the concession holders. He also touched upon the resolution of a dispute with Israel over the Yishai reservoir, anticipated within three months. This dispute arose from claims that the Aphrodite gas deposit extends into Israeli territory.

The Great Sea Interconnector stands as a testament to Cyprus’ commitment to sustainable energy development and consumer protection, with the government taking a cautious yet optimistic approach to its future energy ventures.