2020 Cyprus Country Report

To decrease
dependence
on heavy
fuel oil for
electricity
generation
and to diversify our energy mix
we are investing in renewable
energy sources and preparing
the infrastructure for the
use of natural gas. We also
aim to meet national targets
on clean, efficient energy and
to upgrade technologies to
decrease our carbon footprint.
Our aim is to deliver a steady
and secure supply of cleaner,
greener, more affordable
energy to the people of Cyprus.
Panayiotis Olympios
General Manager
Electricity Authority
of Cyprus (EAC)
photovoltaic (PV) self-consumption in the
Mediterranean region, while solving market,
technical, grid and tariff issues without compromising
grid stability and reliability.
The University of Cyprus (UCY) is developing
a 10 MWp photovoltaic park inside the United
Nations buffer zone in Nicosia, supported by
European funds. The first stage of the project will
include 5 MWp of PV capacity with 2.35 MWh of
battery storage, with plans to conduct testing for
a blockchain program.
SUSTAINABLE INNOVATION
The University of Cyprus (UCY) is set to construct
its second solar panel park ‘Apollon’ with
assistance from the EAC to establish UCY as
completely energy self-sufficient. Set to become
the island’s first ‘green area’, the photovoltaic
park will have a peak output of 10 MW coupled
with battery storage of 2 MWh capacity, making
it the island’s largest self-sufficient renewable
energy facility. The University already covers
around 15% of its electricity needs through
photovoltaics with around 400 kWp already installed
on a number of university buildings and
the ‘Phaethon’ PV park made up of 1,645 solar
panels with the capacity to produce 632,000
kWh of electric energy annually.
Central to this flagship project is the work
of the University’s FOSS Research Centre for
Sustainable Energy, which carries out cuttingedge
research in the field of renewable sources
of energy, with emphasis on solar energy, smart
grids, smart buildings, grid integration and enabling
technologies. FOSS has been highly successful
in competing for funds, so far securing
€16 million from more than 50 EU, national
and industrial-funded projects. Well-known
international players in the field of energy
such as Honeywell, Hanwa Q Cells, Gantner
Instruments, IBM amongst other leading international
brands are already collaborating with
FOSS and are testing their products in Cyprus.
FOSS strives to promote cooperation
between academia, industry and business
sectors, as well as contributing to the transfer of
knowledge from advanced European clusters to
the region. A key aim is to make Cyprus a hub
for solar innovation, technology transfer, industry
start-ups and job creation where ideas can
grow and achieve their full potential.
ELECTRICITY MARKET LIBERALISATION
Authority (CERA), to ensure that the electricity
market in Cyprus is liberalised. CERA has
worked towards the full opening up of the energy
market and granting consumers the right to
choose their own supplier. CERA’s proposition
is a ‘net pool’ model, where the operations of the
state power company, EAC, are unbundled and
the production and supply operations separated.
EAC production would then enter into bilateral
agreements with suppliers for the sale of energy
at regulated prices. CERA foresees establishing
an electricity exchange where suppliers’ bids for
quantities of electricity will be updated every
half hour. The exchange will match supply and
demand and fix the price for a contract. This
will be operated by the Transmission System
Operator (TSO). The target date to achieve electricity
market liberalisation is December 2021, a
move which will further open up the market for
renewables, clean energy and lower prices.
FOCUS ON EFFICIENCY
Apart from the increasing foreign investment
and a competitive energy market unfolding over
the next few years, actions are being taken for
the promotion of electric transport. This constitutes
one of the cornerstones in the development
of a zero-carbon economy, by encouraging
greater use of electric cars and installing vehicle
charging stations on roads across the island.
Moreover, in 2021 the Ministry of Education,
in cooperation with EAC, will proceed with
thermal insulation of rooftops, as well as installations
of PV systems in all public schools in
Cyprus. The total capacity of those PV systems
will be around 4.9 MW.
Cyprus already has the resource of the sun
and with new investment and projects in the
pipeline, along with a government determined
to develop renewable solutions, the country can
truly harness its natural potential and become
far more energy efficient in the years to come.
Another economic benefit from high RES penetration
is that according to estimates renewables
have the potential to create between 11,000
and 22,000 jobs in Cyprus by 2030. This is a
significant number of new jobs in a country
the size of Cyprus and would be a sign of a
thriving new industry on the island with multiple
positive knock-on effects in the economy.
Decarbonisation is high on the agenda globally,
and Cyprus is certainly making serious moves to
reach its targets in the next decade. n
Sector Profile
Currently, Cyprus is in a transitional step before
full electricity market liberalisation, which is
being spurred on by the publication of a binding
timetable by the Cyprus Energy Regulatory
Discover more at www.cyprusprofile.com
Country Report CYPRUS 2020 87