Australian fund Macquarie has withdrawn from a tender offering a 20 percent stake in Ariadne Interconnection, a Greek power grid operator IPTO subsidiary established for the development of a 1.1 billion-euro grid interconnection to link the power grids of Crete and Athens, the fund has announced.

According to sources, the fund took its decision as a result of a revision to the subsidiary’s statutes that restricts the winning bidder to a minority role in Ariadne Interconnection without voting rights or board participation.

Macquarie was swift to object to this revision following its announcement. Its partner for this tender, Copelouzos group member Faethon, will now be joined by France’s Meridiam Europe.

The revision to statutes of Ariadne Interconnection was requested by RAAEY, the Regulatory Authority for Waste, Energy and Water, in late 2023.

Meridiam Europe, Macquarie’s replacement, is entering a tender offering a major infrastructure contract in Greece for the third time.

The field of candidates vying for a 20 percent stake in Ariadne Interconnection now consists of GEK TERNA; Meridiam Europe- Faethon; Terna, operator of the Italian transmission system; and China’s SGCC.

The candidates have been given a deadline extension until June 21 to submit their bids.

The Crete-Athens grid link is expected to be electrified ty late 2024 and commercially launched in the summer of 2025.

Once Ariadne Interconnection is operating, Crete, Greece’s largest island with a population of roughly 650,000, will be supplied its electricity from the mainland system rather than costly local power plants now operating on the island.

The interconnection promises to reduce a public service compensation surcharge included in electricity bills by some 600 million euros annually, 400 million euros of which concern Crete.