Twenty-five days have passed since IPTO was sent a joint letter by CERA and the Greek RAAEY, asking it for detailed information on the agreement it concluded with the French Meridiam on 5/8/26, for the concession of 66% of the shares of the Great Sea Interconnector, which on paper remains a subsidiary of IPTO.
From the information of "F" it appears that IPTO did not respond to the letter. The delay may be due to the scope and importance of the information requested by regulators or the pending phase of finalisation and formalisation of the agreement. From the answers that will be given, it will be clarified, among other things, who will own the grandiose project of the electricity interconnection between Cyprus and Greece and what amendments will be required in the coming period to the regulatory decisions governing the project.
It is not known whether IPTO has made the requested information available to the European Commission and whether it received its approval for the transfer of the project and its assets to GSI, which now appears to be 66% owned by Meridiam.
What about the money?
The information of Fileleftheros states that one of the most important data requested from IPTO by the regulatory authorities of Cyprus and Greece concerns the financial contribution that the French company will have to the interconnection. Not only for the money it paid - or will pay - for the acquisition of 66% of GSI's share capital, but mainly for the capital with which it will finance the investment and construction.
In short, CERA and RAAEY are asking IPTO to inform them who will put the money - and how much - after the change of ownership of GSI. They also ask to know whether the agreement and its implementation are under any conditions or conditions.
In the letter of August 26, the two regulators request, as expected, the full text of the IPTO-Meridiam agreement, any annexes that exist or any other document that differentiates the data as they were formulated by the current regulatory decisions.
IPTO is also required to clarify in writing the role and responsibilities of GSI, with the shareholder structure that has been formed after the agreement of August 5.
The Concession Agreement
Very important is the request of the regulators for IPTO to bindingly inform whether the Concession Agreement submitted in 2024 to CERA and RAAEY is valid with its original content or whether it will be amended. The Concession Agreement submitted by IPTO had been deemed unacceptable by the American law firm that carried out a study on behalf of the Republic of Cyprus, on the subject of the participation or not of Cyprus in the share capital of GSI. The American agency had advised that it would be very dangerous for the interests of the Republic of Cyprus to invest in GSI, on the basis of this Concession Agreement.
We, IPTO, know...
CERA and RAAEY draw IPTO's attention to the existing regulatory decisions and emphasize that any amendment thereof requires the pre-approval of the regulatory authorities.
In other words, their approval is required both for the assignment of responsibilities to GSI (from IPTO to which they currently belong) and for the transfer of GSI shares.
For this reason, IPTO is called upon to answer whether on August 5 or later only an agreement was signed for the future transfer of 66% of the shares to Meridiam or whether the transfer or expropriation of duties by IPTO has already taken place for the benefit of the French company.
The letter even includes the warning that if shares or duties have already been transferred, without the approval of the Regulators, the issue of IPTO's compliance with previous decisions will be raised. And in view of IPTO's request to amend previous regulatory decisions on the role of the Greek public organization or on the shareholder structure of GSI, IPTO is essentially called upon to avoid actions that will be incompatible with the current regulatory framework.
To IPTO-GSI: What did you do, what will you do?
The request of the regulatory authorities for IPTO to submit a roadmap is also essential, reflecting which actions have already been completed regarding the interconnection, what actions are pending and what follows for the completion of the project.
Information is also requested on the time when the transfer of 66% of GSI's shares to Meridiam will be officially implemented and the time when a request will be submitted by IPTO for the change of the implementing body and the assumption of the leading role by the French investment fund. It seems, through the letter, that the Regulators are concerned about the interconnection between the transfer of the share capital to Meridiam and the assumption of the responsibilities of the interconnection implementing body by the French.
