The Minister of Power obtained the examine for GSI – In 2 months the place of the homes – “We’ll await the analysis” – ADMIE – CERA assembly on Monday – ADMIE insists on the surcharge value – With out electrical interconnection, the overproduction from RES within the subsequent years
The great cost-benefit examine for the Cyprus-Greece (Crete) electrical interconnection, Nice Sea Interconnector (GSI), was obtained on Thursday from the mission's implementing physique, ADMIE, by the Minister of Power, Commerce and Trade Giorgos Papanastasiou, who estimated that the preliminary placement of the homes that can consider the examine will probably be given in about two months.
On the similar time, the Minister of Power mentioned that in the course of the assembly it was confirmed by ADMIE that the price of burdening the Cypriot client, in the course of the building of the mission, will begin on January 1, 2025 and will probably be 0.6 cents per kilowatt hour, whereas he famous that with out electrical interconnection will probably be rejected within the coming years, the overproduction that can exist from RES because it won’t be able to be consumed throughout the nation, even when there’s storage that prices an excessive amount of.
“As we speak the excellent cost-benefit examine was obtained, the content material of which we now have not seen but”, Mr. Papanastasiou advised KYPE, after the assembly with the management of ADMIE on the Ministry, including that the examine, which was given each in paper type in addition to in digital type, “focuses on the Cypriot electrical energy client”.
The Minister mentioned that now “we’ll await the analysis” of the examine by the homes to which it will likely be despatched and expressed the assumption that “within the subsequent two months we’ll seemingly have a preliminary place in order that the Republic of Cyprus can take it under consideration so as to make its selections ».
“The schedules are tight as a result of we now have points that stress the implementing physique for disbursements” for the development, amongst different issues, of the cables, he mentioned and added that “we settle for that there are some milestones that the implementing physique is named upon to implement.”
He mentioned, nevertheless, that this doesn’t imply that “as a result of there’s an obligation, work needs to be performed in a rush” and added that “it’s a large mission at a severe value and any resolution we make as we speak needs to be for a mission working horizon of the subsequent 30 – 40 years previous”.
Requested when the examine will probably be given to the choice homes, Mr. Papanastasiou mentioned that it will likely be given “within the subsequent few days as a result of as we speak we made a last-minute pressured modification to the phrases of reference”, to the homes, in addition to by way of as we speak's dialogue, as he mentioned , the necessity arose to have yet one more consequence which was not included within the authentic phrases of reference.
He recalled {that a} preliminary examine had been performed a number of weeks in the past and “as a part of that examine we had been given a presentation”.
He mentioned that the Ministry made some observations in that preliminary examine and that’s the reason “the necessity to come again with the ultimate examine” arose.
He famous that the remarks referred to the vitality targets that the Republic of Cyprus has agreed with the European Fee.
Referring to procedural points, Mr. Papanastasiou mentioned that the officers of the Ministry of Power have obtained the examine in digital type which they are going to ship to the choice homes along with the phrases of reference.
He said that “the choice homes will first examine the content material and the element that the examine comprises and if this examine comprises the element then the homes will point out to us a price (to be paid by the KD) to guage it”.
“If there’s not this element that they count on, then the homes will rush to search out this element and knowledge and the fee will probably be totally different”, he added.
ADMIE – CERA assembly on Monday
Stating that “this European mission is beneath building” as we speak, Mr. Papanastasiou mentioned {that a} separate dialogue on the burden on the Cypriot client will happen on Monday between ADMIE and CERA.
Requested whether or not it’s potential for CERA to vary its resolution by which it asks the implementing physique for the Cypriot client to pay for the mission after its graduation, the Minister advised KYPE that “CERA makes its selections based mostly on the info that it has earlier than it”, including that “if the knowledge it had earlier than it, when it made the primary resolution, was totally different (from as we speak's) or incomplete”, then when it receives new data “CERA will make a brand new resolution”.
“Nonetheless, the implementer should current proof that can help what it says and persuade a regulator who appears to haven’t been satisfied up to now”, he famous.
Requested to check with the price of burdening the Cypriot client in the course of the building of the mission, Mr. Papanastasiou mentioned that it had been indicated to us and as we speak it was confirmed in the course of the assembly that “the burden will begin on January 1, 2025 to get well the prices incurred by the operator implementation (the disbursements for ordering the cable)”, including that this cost “has been indicated to us at 0.6 cents per kilowatt hour”.
As he defined, “if as we speak we now have 33 cents per kilowatt-hour retail value of electrical energy, if this extra charge is borne by the Cypriot client so as to get well the prices borne by the implementing physique, the 33 cents will turn out to be 33.6 cents per kilowatt-hour” .
He famous that the whole annual value will quantity to €25 million.
The EU expects a call of the SC to be taken in mid-August
Requested to say whether or not the European Fee, which is financing the mission with €657 million, has set a timetable for the KD to make its resolution, the Minister of Power advised KYPE that so far as he is aware of “it has not been formally positioned”, though in teleconferences held not too long ago with the participation of representatives of the Fee's Directorate-Basic for Power, as he mentioned, “mid-August was indicated”, however this “isn’t an ultimatum, it’s the expectation”.
“We select to do a correct analysis (of the examine) and the milestone can with slightly extension be accepted by the events which can be events to a contract,” he added.
Requested whether or not there’s a danger of shedding the €657 million, Mr. Papanastasiou requested “to not take dangers” and expressed the assumption that “the European Fee, when it sees actions and actions taken by the CD within the path of the right analysis of the examine is not going to will make such a transfer.”
With out electrical interconnection, overproduction from RES will probably be rejected within the coming years
When requested if the operation of the GSI will have an effect on the right operation of the open electrical energy market, Mr. Papanastasiou advised KYPE that “quite the opposite, with out {the electrical} interconnection, our estimate on the Ministry of Power is that with the overproduction from RES within the Republic of Cyprus, along with typical era, there will probably be a lot energy out there, so many Megawatts, that it won’t be able to be consumed domestically.”
“And storage functionality for our grid to have – this has a really excessive value and really restricted hours that the Megawatt hours might be channeled to the patron from storage – we’ll discover ourselves in a state of affairs within the coming years the place there’s little or no consumption, a lot manufacturing that it’s going to not be consumed, and we’ll essentially need to discard this inexperienced vitality that comes from RES”.
“That's what {the electrical} connections are for,” he concluded.
Supply: KYPE
