Cypriot Minister of Energy Natasa Pilides announced that the European Union has earmarked 657 million euros for the construction of a 2,000 MW undersea electricity cable that will connect electricity networks of Israel, Cyprus and Greece.
Minister Pilides said that the funding is Cyprus’ largest-ever investment as well as the lion’s share of the total sum that the EU’s Connecting Europe Facility, which bankrolls infrastructure projects, has allocated to a single project this year. She said the money enables the start of the construction of the segment that will connect Cyprus with Crete with total cost is estimated at 1.6 billion euros. Negotiations to transfer the funds are expected to wrap up this summer.
She also said that, beyond the project’s geopolitical weight, it will ensure Cyprus’ energy security, boost competitiveness in the power supply sector and help the island nation more easily transition to a green economy.
With the cable’s completion, it’s expected that more investment will flow into renewable energy sources enhancing the energy mix of Greece,
Cyprus and Israel. According to a study, in combination with energy storage facilities, the cable could push Cyprus’ use of renewable energy sources above 50 % by 2030.
Last September, Greece, Cyprus and Israel have signed an initial agreement to build the world’s longest and deepest undersea electricity cable that will cross the Mediterranean Sea at a cost of about 900 million dollars and connect electricity networks of the three countries.
The cable will have a capacity of between 1,000 and 2,000 MW and is expected to be completed by 2024. With a length of about 1,500 kilometers and a maximum depth of 2,700 meters, it will be the longest and deepest underwater electricity cable to have ever been built.
