EU to help fund Greece-Crete power connection
The European Investment Bank announced that it has signed a €178 million long-term loan to finance the construction of the first power interconnector between mainland Greece and the island of Crete.
The timeframe of the loan is twenty years. For this period EIB will support 50% of the costs of the new electricity link. The Crete interconnector will be built between the Malea peninsula in the Peloponnese and Kissamos Bay in Crete. It will be up to 1000 metres below sea level and also provide telecom and internet services. It is expected to become operational in 2020.
The aim of the new transmission link is to reduce carbon emissions. Currently, electricity on the island is primarily generated by oil-powered plants using imported fuel oil. The new interconnector is expected to supply 34-40% of electricity used on Crete and to enable access to renewable energy generated elsewhere in Greece and minimise the risk of electricity shortages during peak periods and high seasonal demand. The new interconnector will stimulate the development of the wind power sector and hybrid renewable energy on the island and will allow for strong and regular winds on the island to provide clean power for the rest of the country.
Source: The Mayor