A year after Cyprus’s cabinet approved the project to build an undersea electricity interconnection with Greece, Cypriot Finance Minister Makis Keravnos stated that “the project is not viable.”
“I have before me two studies from independent and reputable organizations, both of which conclude that this project is not viable under the current terms,” he told Kathimerini Cyprus.
The €1.9 billion project, of which €650 million will come from the European Commission, aims to end the island’s energy isolation and had been declared a “national goal” by every Greek government since 2010.
In May, the mainland Greece–Crete connection was completed, while the plan foresees extending the cable to Israel by 2030.
The future of the project now depends on whether Keravnos gives the final approval for ADMIE to recover the €25 million authorized—after many objections—by Cyprus’s Energy Regulatory Authority (RAEK).
This amount represents Cyprus’s contribution to the five-year construction period of the cable, ensuring that Cypriot taxpayers will not face higher electricity bills after its completion.
“With the current economic, technical, and geopolitical conditions surrounding the project, paying the €25 million is not a simple matter. Some serious parameters need to be secured first,” Keravnos stressed.
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