EditEU urges swift completion of Cyprus-Greece electricity interconnection
Amid a dispute over financing, the Commission warned that further delays harm all parties involved
The European Commission has expressed hope for a renewed commitment to accelerate the implementation of the Cyprus-Greece electricity interconnection (Greece-Cyprus Interconnector, GSI), following recent developments and public statements from Nicosia and Athens.
Cyprus as an island is totally isolated from EU energy links and electricity networks and remains the most energy dependent country in the European Union. Cyprus is completely isolated from EU energy interconnections. GSI is a planned high-voltage direct-current (HVDC) interconnector between the Greek, Cypriot, and Israeli power grids via the world’s longest submarine power cable, with a length of 310 kilometres (190 miles) from Israel to Cyprus and 898 kilometres (558 miles) from Cyprus to Greece for a total of 1,208 kilometres (751 miles). The project will allow for a more efficient use of renewable energy across the three countries, leading to a significant reduction in CO₂ emissions. At the same time, it will offer an alternative energy supply route for Europe.
Speaking to the Cyprus News Agency (CNA), a Commission spokesperson emphasised: “We expect all parties to commit to the fastest possible implementation of the project. Fundamentally, any further delay is detrimental to the involved stakeholders themselves.”
The dispute
A technical dispute over cost recovery for the Greece-Cyprus electricity interconnection erupted into an unusually sharp public clash before both sides moved to dial down the rhetoric.
The controversy began Sunday, when President Nikos Christodoulides, reacting to a front-page report in Phileleftheros about an appeal filed by Greece’s transmission operator ADMIE (Independent Power Transmission Operator) against a RAEK (Cyprus Energy Regulatory Authority) decision on recognised investment costs and a €25 million payment, warned: “If the head of ADMIE thinks that with such letters or paid placements he can blackmail the Cypriot government, he clearly doesn’t know who he’s dealing with.”
Athens responded swiftly. ADMIE confirmed it had lodged an appeal but denied seeking more than €25 million annually. An emergency meeting was then convened at the Greek Prime Minister’s office with the energy ministry leadership and ADMIE, no communiqué followed, but the choreography signalled concern over a possible strain in bilateral ties.
On Monday morning, Greece’s Energy Minister Stavros Papastavrou elevated the matter, stressing that ADMIE, 51% owned by the Hellenic Republic, acts as an arm of Greek energy policy. “The Hellenic Republic does not blackmail; it speaks institutionally,” he said, urging Nicosia to clarify its position: for the interconnector to advance, doubts about its viability must be lifted and outstanding technical and financial issues resolved. He argued the project is “by definition” viable given €657 million in EU co-funding, noting both Greece and Cyprus sought that support.
Back in Nicosia, the government moved to lower the temperature. Christodoulides said Cyprus-Greece relations, and his own rapport with Prime Minister Kyriakos Mitsotakis, are “stronger than ever,” dismissing talk of a rift and pointing to last week’s participation of upgraded Greek F-16 Viper jets in Cyprus’s 1 October parade as proof of close ties. Government spokesperson Constantinos Letymbiotis later framed the disagreement as a regulatory matter, citing ADMIE’s own statement and avoiding any reference to “blackmail.” He reiterated that under the intergovernmental framework, €25 million per year is to be paid in 2025-2029, while any recognised costs above that threshold would be settled after project completion, consistent with standard practice.
ADMIE, for its part, says it is seeking recognition of a €251 million recovery right and acknowledges receipt of €25 million for 2025 as an advance against the project’s regulated revenue. The balance would be recovered over 35 years during commercial operation, in line with regulatory decisions.
A top strategic priority for the EU
The Commission reiterated that the GSI is a strategic priority of the highest importance for the EU, and assured that it is doing everything possible to support its completion. According to the spokesperson,“This project is critical to ending Cyprus’ energy isolation. Strengthening interconnections also contributes to lowering energy prices by allowing better integration of renewables into the grid.”
The Commission confirmed that it remains in constant contact with the project promoter, regulators, and national authorities, offering all possible assistance. However, it also stressed that responsibility lies with all involved parties to honor their commitments.
Referring to recent comments by Commission President Ursula von der Leyen during her State of the Union address to the European Parliament, particularly on the topic of “Energy Highways,” the Commission highlighted: “The Cyprus interconnection with mainland Europe is a core component of the EU’s strategy to strengthen connectivity and end the island’s electrical isolation.”
The statement concluded that this priority underlines the importance of better and improved interconnectivity across the EU.
Caption: Undated photo of laying of submarine power cable [Politis]
Updated: October 9, 2025 - 06:31
