This official action in which the two governments validated the strategic significance of the Edison-DEPA project, will make it possible to shorten the time needed to build the line. Connecting to Turkey's pipeline network, the new pipeline will enable Italy and the rest of the EU to import gas from the Caspian Sea basin and the Middle East, which between them have more than 20% of the world's reserves. The IGI pipeline, by providing a new source of supply for the Italian and European energy systems, will help make these systems more reliable and will increase competition in the EU's natural gas market. Under an agreement between the two companies, 80% of the transmission capacity will be reserved for Edison, with DEPA taking up the remaining 20%. In addition, Edison and DEPA have agreed to make available to third parties some incremental pipeline capacity and to increase swaps of natural gas at the Virtual Italian Swap Point, contributing to the establishment of a Gas Exchange. In order to ensure a supply of gas for the pipeline, Edison and DEPA have already started negotiations with some producing countries in the Caspian Sea basin and with those that will be crossed by the pipeline. "We are extremely pleased that the Protocol of Intent has been signed because it represents a key step in the development of the IGI pipeline," said Roberto Poti, Edison's executive vice president for corporate development and chairman of Edison Hellas. "In order to increase the reliability of the European supply base, we must diversify the sources of supply and open new avenues for the delivery of natural gas from countries and regions that do not yet export to Europe. Edison is the only Italian operator that is developing projects that, like the IGI pipeline and the Rovigo regasification terminal for gas imported from Qatar, will make a difference for all of Europe." The pipeline will have a total length of about 800km, 600km of which will be built by DEPA in Greece. The remaining 200km will run subsea between Greece and Apulia. Construction is expected to get under way in 2008, once the necessary permits are secured, and should be completed in 2011. Combined with the Interconnector Turkey-Greece (ITG) pipeline, which links Turkey and Greece, the IGI pipeline will complete the third priority-development axis of the Trans-European Energy System, which was awarded official EU recognition and support through Directive 1229 of 2003. The European Union reaffirmed the strategic importance of this project in January this year, when it named this infrastructure a 'Project of European Interest'. Application for permits to build and operate the pipeline were filed with the Italian government in November 2006. In Italy, local and regional administrations have expressed significant interest in this project and Edison has been working actively with them to define the best conditions for its development. The pipeline is expected to make landfall near the city of Otranto, where the morphology of the coast is best suited for achieving zero visual impact.