Greek electricity grid operator ADMIE on Friday launched two tenders to build two undersea cables linking the island of Crete to the mainland, the energy ministry said.
The 915 million euro ($1 billion) project will be completed by 2022, the ministry said.
Part of a bigger scheme to connect the power grids of Cyprus, Israel and Greece, the project has faced serious delays as parties disagreed over ownership.
However, Athens has been rushing to start construction, saying that the link is key to Crete’s energy supply.
The southern island of Crete is now relying on three oil-fired power plants that will need to cut production or shut down in the coming years, in line with EU climate-change targets.
ADMIE said the first tender will be for the engineering and installation of two 500 megawatt undersea cables, setting a July 8 deadline for electronic submission of bids.
A second tender is for construction of two converter stations and one substation, with a July 22 bid deadline.