Political and economic concerns surrounding the Great Sea Interconnector project

The Great Sea Interconnector (GSI) project, designed to link the power grids of Cyprus and Greece, has faced renewed scrutiny following the formal entry of Meridiam into the venture. Stefanos Stefanou, General Secretary of the opposition party AKEL, has directed inquiries to both the Cyprus Energy Regulatory Authority (CERA) and the Minister of Finance, demanding clarity on the project's evolving ownership structure, regulatory framework, and potential financial burden on Cypriot consumers.

Key concerns raised by AKEL and the Electricity Market Association (EMA) include the lack of transparency regarding the final cost, the project's economic viability, and the potential liability of the Republic of Cyprus if costs escalate or the project fails. Current data suggests Cyprus is slated to cover 63% of the amortization costs. Stefanou has explicitly asked whether the government has set a financial threshold beyond which the project would be deemed unviable, citing concerns previously voiced by the Minister of Finance regarding the high costs of such infrastructure projects at a European level.

As the project progresses, stakeholders are demanding comprehensive impact assessments. The government is expected to clarify its stance on whether it would proceed if new studies conclude that the interconnector is not economically beneficial to the Republic of Cyprus or its citizens.