Nicosia, Cyprus. MPs again questioned state officials on Tuesday about the stalled LNG import terminal at Vasiliko, with parliament hearing the delay costs taxpayers about €350 million a year in greenhouse gas emissions allowances due to continued diesel-fired power generation.
Parliament summons Defa chief
The head of the natural gas public company Defa, Giorgos Ashikalis, was summoned to provide an update on the LNG project, which has been stalled since July 2024 when the Chinese-led consortium withdrew.
Ashikalis said Defa decided earlier this week to invite bids for subcontractors for the outstanding works at the LNG terminal, a move he said would allow the tender to be launched soon.
Status of the Prometheas vessel
Ashikalis said the floating, storage and regasification unit, the Prometheas vessel, is technically “ready.”
He said missing valves and the nitrogen unit have been installed at a total cost of just under €1 million. The nitrogen unit is used on an FSRU to ensure the natural gas produced meets specific caloric value and composition standards of the receiving pipeline grid.
Options under review and pending infrastructure
Ashikalis said the government is examining options for the ship, including sending it to another country for certification and/or leasing it.
He said the ship cannot come to Cyprus because the jetty at Vasiliko is half-complete.
European Commission approval for leasing
Ashikalis said leasing the FSRU to a company to regasify LNG would require approval from the European Commission, which co-financed the project.
What do you think should be the next step to reduce the costs linked to continued diesel use for electricity generation?