**Cyprus and Lebanon Initiate Study for Electricity Interconnection**
*16 July 2026*
In a significant move towards enhancing energy cooperation in the Eastern Mediterranean, the governments of Cyprus and Lebanon have agreed to conduct a pre-feasibility study for an electricity interconnection project. This initiative was formalized through a joint letter signed by the energy ministries of both countries and submitted to the World Bank.
The agreement was announced following a meeting between Michalis Damianos, Cyprus' Minister of Energy, Commerce and Industry, and Joseph Al-Saddi, Lebanon's Minister of Energy and Water. The collaboration aims to assess the viability of connecting the electricity grids of Cyprus and Lebanon, thereby fostering regional energy integration.
The discussions regarding this interconnection project began in late 2025, when both countries approached the World Bank for assistance in preparing a feasibility study. This request followed a prior agreement signed on November 26, 2025, which delineated the Exclusive Economic Zones (EEZs) of Cyprus and Lebanon, laying the groundwork for closer economic and energy ties.
In their joint statement, the ministers expressed optimism that the forthcoming study would provide a solid foundation for evaluating the project's feasibility. They emphasized that the interconnection could significantly contribute to broader efforts aimed at enhancing energy cooperation in the region.
The study will be conducted in stages, as per the methodology proposed by the World Bank. The initial phase will focus on analyzing the balance between electricity supply and demand, alongside key economic parameters based on agreed scenarios. Should the results from this first stage be favorable, a more detailed techno-economic pre-feasibility study will be initiated.
This phased approach is designed to facilitate informed decision-making at each stage of the project, ensuring that subsequent evaluations are grounded in robust technical and economic data. To oversee the process, Cyprus and Lebanon will establish a joint technical steering committee, which will collaborate with the World Bank throughout the duration of the study.
The interconnection project is seen as a pivotal step towards enhancing energy security and cooperation in the Eastern Mediterranean, a region characterized by its complex geopolitical landscape and energy dynamics. By linking their electricity grids, Cyprus and Lebanon aim to create a more resilient energy infrastructure that could benefit both nations and potentially other countries in the region.
As the study progresses, stakeholders will be closely monitoring developments, with hopes that the findings will pave the way for a successful implementation of the interconnection project. This initiative underscores the growing recognition of the importance of regional energy collaboration in addressing energy challenges and promoting sustainable development in the Eastern Mediterranean.
Further updates on the project's progress and findings from the study are anticipated as the joint technical committee begins its work with the World Bank.