Electricity interconnector cost to far exceed €1.9bn, MPs told

Economy cypruselectricityfinanceGreat Sea InterconnectorGreeceTop News Electricity interconnector cost to far exceed €1.9bn, MPs told Kalwdio Kypros 1536x864 Relevant News The President should have got involved, even if it wasn’t his call 8 September 2026 An AfD warning for Germany: understanding the Saxony-Anhalt Vote 8 September 2026 Electricity interconnector cost to far exceed €1.9bn, MPs told 8 September 2026 Eleftheria Paizanou 8 September 2026 FacebookXWhatsAppEmailPrintViber The Cyprus-Greece electricity interconnector will cost significantly more than €1.9 billion, officials told parliament’s Energy Committee on Tuesday morning, as MPs reviewed progress on the Great Sea Interconnector project following the decision for French investment group Meridiam to acquire a majority stake in the project. Finance Minister Makis Keravnos told the committee the €1.9 billion figure mainly covers the cost of the cable itself, and that other construction works, insurance cover, storage facilities and maintenance needs would push the final cost significantly higher. He said all of this was being examined as part of the European Investment Bank’s update to the project’s viability study. Energy Minister Michalis Damianos said the EIB’s viability study would be ready around the end of the year, and that the government would only take a position on its participation once the revised cost of the interconnector was known. Asked whether the Republic could fail to meet the commitments it made in 2021 over the interconnector, he said this was a very complex legal issue. CERA chairman Polys Lemonaris said the project’s capital expenditure currently stood at €1.9 billion. CERA Vice-Chairman Alkis Filippou said the project was very important for Cyprus, but that questions remained over whether Cyprus would take a stake in the GSI’s share capital. If things stayed as they are, he said, “control and management of the cable will not belong to Cypriots.” He added that the size of an ownership stake was a separate question from how the Republic of Cyprus participates. CERA member Akis Hadjigeorgiou said it was naive to believe the cable would cost only €1.9 billion. He said the project, once completed, was scheduled to come into operation from 2031 onwards, and that the energy investments being pursued in Cyprus would not lead to lower electricity prices. Background: the Meridiam deal The committee’s warning follows a significant ownership change at the project level. In early August, French infrastructure investor Meridiam signed a surprise agreement with Greek grid operator IPTO on August 5, 2026, to acquire a majority stake in the Great Sea Interconnector, reportedly around 66%, with IPTO retaining the remaining 34%, down from the 100% it held as recently as September 27, 2025, when Cyprus’s energy regulator CERA granted the project its ownership and management licences. The deal was signed in the presence of Greek Prime Minister Kyriakos Mitsotakis, effectively making the Greece-Cyprus-EU grid project a French-led undertaking. The Cypriot government said it was initially unable to comment on the agreement, as of the night of August 5, citing insufficient briefing from the Greek government and IPTO, though the development was expected to be discussed at a Council of Ministers meeting on August 6 between President Christodoulides and Damianos. Meridiam, a Paris-headquartered infrastructure investor with more than 130 projects under development, construction or in operation across Europe, North America, the Middle East and Africa, representing roughly €100 billion in total mobilised investment, has said the interconnector carries major strategic significance for Europe. IPTO is set to remain a strategic shareholder with statutory minority rights, retaining technical leadership of the project and responsibility for operating the interconnection once it is complete. Subscribe to our Newsletter Latest News The President should have got involved, even if it wasn’t his call An AfD warning for Germany: understanding the Saxony-Anhalt Vote Cyprus picks “Hold Onto Me” as official Oscar entry Don Quixote ballet with a European ballet company on the stage of Paphos Medieval Castle S&P Global Ratings revises Freedom24 outlook to positive, highlighting the group’s diversified earnings and strong capitalisation 48-year-old changes plea, admits killing his father Geopolitical weight behind the Egypt summit Follow en.philenews on Google News and be the first to know all the news about Cyprus and the world.