IENE has just published a new study on the role and the importance
of electricity interconnections as part of Greece’s overall energy strategy. This
new IENE study, entitled “Strategic Study of Electricity Interconnections in SE
Europe and Greece’s Crucial Role”, was assigned to the Institute by Greece’s
Regulatory Energy Authority (RAE). The study, which at present is available only
in Greek, can be found through www.iene.gr .
The study’s English version will be available early next year.
The study focuses on the strategic long-term importance of
electricity interconnections at both national and regional level, considering
the development and transformation of the power sector in Europe. The latter
becomes more and more dynamic, due to the implementation of EU’s strategy on
energy and environment, which calls for drastic reduction of CO2 emissions and the
formation of an integrated European electricity market.
The importance of the study is amplified by the latest
discoveries of substantial hydrocarbon deposits in SE Europe and the Eastern
Mediterranean, which may have a positive effect on European energy security as
well as on the commissioning of new international electricity interconnections
and the furthering of national interconnections. The study provides an overall
assessment and evaluation of every electricity interconnection and transmission
project in the region - both cross-border and national.
The study commences with a description of Greece’s
interconnections with its neighbouring countries, i.e. Bulgaria, FYROM,
Albania, Turkey and Italy. Moreover, the study assesses the proposed Greek cross-border
interconnections with Bulgaria and Italy, as described in the Study for the Development
of Greek Transmission Grid 2010-2014 (MASM). There is also reference to the
importance of the interconnection between Cyprus, Greece and Israel, through plans
announced by the PPC - Quantum Energy consortium.
The security of energy supply for Israel, Cyprus, Greece and
Italy is considered to be a key factor which is duly underlined in this latest IENE
study, as it is one of the fundamental motives for promoting international electricity
interconnections.
The study examines the geopolitical position of Greece in SE
Europe and the Eastern Mediterranean, from the perspective of a country which is
at the endpoint of major energy networks. In this respect, this latest IENE study
highlights the importance of the diplomatic, strategic and economic advantages
of electricity interconnections.
Furthermore, the study offers a general overview of the
cross-border electricity trade and the integrated European electricity market, while
reference is made to the most important regional electricity markets, i.e.
Italy, Albania, FYROM, Serbia, Romania, Bulgaria and Turkey, affecting cross-border
trade with Greece. Details are also given of the planned new power generation plants
in Israel and Cyprus, as well as on the island of Crete and of the various
scenarios concerning the interconnection of various Greek islands (Cyclades,
Dodecanese, Islands of Northern Aegean and Crete) with the mainland grid, as
well as with the “Eurasia Interconnector”.
Other energy interconnection projects both for Greece and for
the entire EU are presented in the study, which, also, emphasizes the HVDC technology
with the usage of underwater cables, which so far is the only one suitable for
underwater long-distance electricity interconnections. The study, also, examines
the economic viability of the abovementioned investments for energy transmission
between Israel and Cyprus, on the one hand, and Cyprus and Israel, on the other
hand, pointing out that these investments have to be attractive for the private
sector so that they can be realized.
Both the natural and the anthropogenic factors that may pose
threats or cause damage to the various interconnection projects are also
examined in this study.
Finally, the study, on the strength of the information and
analysis that it contains, proposes an action plan for the construction and/or
upgrade of Greece’s international electricity interconnections. The proposed
timetable has taken into consideration investment requirements and fund
availability constraints, the difficulties involved in the licensing procedure,
as well as the forecasted electricity demand.
This proposed road map covers only the projects which are
considered viable in both economic and technical terms. It also stresses that
Greece and Cyprus, supported by Israel, have to work in tandem so that through their
interconnection may become part of the wider EU grid. A target set forth as
part of the Union’s environmental goals towards 2050.
This latest IENE study on electricity interconnections will
prove useful for regulators, for grid managers and, in general, for everyone
involved in policymaking and planning in the electricity sector of SE Europe
and the Eastern Mediterranean.