EU signs EUR 307m grant for Italy-Tunisia interconnector

Italian power grid operator Terna and its Tunisian counterpart STEG have signed a deal with the European Commission (EC) for a EUR 307 million (USD 336.7m) grant for the construction of an Italy- Tunisia interconnector that will serve as a power bridge between Europe and North Africa.

The ELMED interconnection will have a capacity of 600 MW and will involve about 200 km (124.3mi) of electricity cables running between the converter substations in Partanna, Sicily, and Mlaabi on the Tunisian peninsula of Cape Bon at a depth of up to 800 m.

The implementation of the project is set to require an investment of roughly EUR 850 million. The EUR-307-million grant from the EU is provided through the Connecting Europe Facility (CEF) fund, a European initiative committed to endorsing projects that foster energy infrastructure development within the bloc.

In addition, the World Bank has recently provided Tunisia with a financial package totalling USD 268.4 million. These funds are intended for various purposes, including the construction of the converter substation as well as internal grid enhancements required for the interconnection's operational functioning.

Commenting on the grant, Terna’s chief executive Giuseppina Di Foggia said: “Elmed will enable the development of renewable energy and, at the same time, deliver economic and industrial benefits, attracting investment and creating new jobs.”

The ELMED initiative will facilitate the integration of electricity markets, enhance energy procurement security and foster investments in renewables in both Italy and North Africa.

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