EU keeps EastMed gas pipeline on new list of priority projects

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MILAN, Nov 28 (Reuters) – The European Commission has maintained a proposed pipeline connecting the gas reserves in the Eastern Mediterranean to Greece via Cyprus and Crete on its new list of Projects of Common Interest (PCI) published on Tuesday.

Projects included in the PCI list have access to a fast-track permitting process and special funding.

Energy group Edison (EDNn.MI) and Greece’s DEPA International Projects are the sponsors of the project through their joint venture IGI Poseidon.

The joint venture has still to take a final investment decision (FID) on the pipeline, which would connect several gas fields in the Eastern Mediterranean, including some in offshore Israel, to Greece.

The conflict in the Middle East has been a factor in delaying the decision, which was originally expected by the end of this year.

In a separate document published on Tuesday, Italy’s energy authority ARERA and its fellow authorities in Greece and Cyprus said costs of building the EastMed pipeline could not be included in the national tariffs of the three countries.

The authorities also ruled out that the gas grid operators of Italy, Greece and Cyprus would have to pay compensation for the construction of the infrastructure.

Additional reporting by Julia Payne in Brussels; Editing by Kirsten Donovan and Gavin Jones

Our Standards: The Thomson Reuters Trust Principles.

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Francesca has covered since 2022 some of Europe’s biggest energy groups, focusing on their efforts to decarbonize their business while ensuring growth and technological progress. She also reports about European Union’s initiatives against climate change and energy regulation in Italy. She was named Reporter of the Year in 2022 by Reuters. Before energy, Francesca was part of Reuters aerospace and defense reporting team. She is graduated in Economics and loves painting in her free time.

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