Cyprus-Israel power grid connection moving forward

Pending the review of studies concerning the stalled Great Sea Interconnector project to link the electricity grids of Greece and Cyprus, the regulatory authorities of Cyprus and Israel are making headway to connect for their own grids, currently negotiating prices and exchanging cost-benefit data.

According to BusinessDaily.gr information from sources close to Greek independent power transmission operator Admie, the Cyprus-Israel connection may run faster than the one with Greece, which has been facing a series of delays.

Unlike the Cyprus-Greece GSI, the one with Israel would not be funded by the EU, but be paid for by consumers in its entirety.

Politis reported that Israel would pursue EU funding, nevertheless.

Talks between Cyprus and Israel have been said to be at an advanced stage, having already entered the essence of the project, with their regulatory authorities discussing what consumers would be charged.

Data is also being exchanged regarding the cost-benefit analysis and meetings have been held at a technical level, both bilaterally and with Greece.

Sources close to Admie said “we are trying to facilitate the two regulatory authorities to agree on the cost sharing, but we cannot impose a deal”.

The investor could take final decisions if and when there were joint regulatory and revenue decisions, so that the project could be launched, the sources said.

Meanwhile, a cloud of doubt continues to hover over the Cyprus-Greece GSI, as nothing has been announced since November 2025, when the two countries decided to update their studies.

Sources from Greece did say recently that Athens wished to proceed with the project as it had been laid out, with the only official updates coming from Nexans – the manufacturer of the cable – which said works had to be rescheduled, thus delaying the completion of the project even more.

According to BusinessDaily.gr, Admie wishes for the project to proceed despite the differences with Cyprus, despite not having received its €25 million payment, which could have constituted a reason for the whole project to flop.

“We all hope that what is going on now is a delay and not a termination,” the sources said.

They added the Greek government was actively seeking investors and that both Cyprus and Greece were interested in pushing forward.

As regards the updating of studies, this was being done to make the project more attractive to prospective investors. A decision to do so was expected to be taken soon.

The project is currently considered marginally viable for investors and thus it was necessary to improve its performance.

The sources clarified that the update would not change cost sharing between Greece and Cyprus, but would revise the budget.