Mixed views in Cyprus on GSI deal

Reactions are mixed in Nicosia about the reported agreement between Greek grid operator ADMIE and French fund Meridiam for the acquisition by the latter of a 49.9% stake in the venture to implement the Cyprus-Greece electricity interconnection.

The Great Sea Interconnector (GSI), a project ultimately aspiring to connect Greece and Cyprus with the Israeli grid, too, received a major boost last week with the news about the agreement that not only provides for the entry of the French fund as a strategic investor, but also for the effort to bring more investors into the project, thereby strengthening it further.

The news has sparked diverse reactions in Cyprus, according to the country’s edition of Kathimerini. Some officials view the development as a relief, as it spares Cyprus the financial burden of joining the project while maintaining the potential benefits of lifting the island’s energy isolation. Others, however, see the deal as a loss of leverage, fearing that Cyprus is relinquishing its strategic influence over a project it championed.

Unofficially, Cypriot authorities claim they learned of the agreement from the press, fueling frustration among some stakeholders.