EIB Lines Up Funding for Crete Interconnection Project
European Investment Bank (EIB) is evaluating the proposed project concerning the interconnection of the island of Crete with mainland Greece, in the region of Peloponnese.
The project, estimated at €375 million, includes two AC 150 kV submarine cables, 150 kV underground and overhead circuits, a compensation terminal in the Peloponnese and network reinforcements associated to the interconnection.
The landing points of the submarine cables are in Kissamos bay (Crete) and the Malea peninsula (Peloponnese).
The project should enable the replacement of thermal generation on the island (mainly oil-fired generation units) with more efficient generation from mainland Greece and increase the hosting capacity of the island for renewable energy sources.
Some of the investments fall under Annex II of the Environmental Impact Assessment (EIA), thus requiring a review by the competent authorities at the planning/consent stage. Environmental impact studies will be carried out as applicable and mitigating and/or compensation measures will be applied as necessary.
The Bank will require IPTO S.A. (the owner and operator of the Hellenic Transmission System), the project’s promoter, to ensure that contracts for the implementation of the project are tendered in accordance with the relevant applicable EU procurement legislation.
If approved, the EIB funding would be approximately €178 million.