Cyprus expands funding for solar net metering

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Total Cypriot state funding to support the self-generation of electricity and energy-efficiency measures in households now stands at €70 million for the 2022-23 period.

The cabinet has also approved a proposal to broaden the definition of “vulnerable citizens” who can apply for such subsidies. Energy Minister Natasa Pilides said this means that another 30,000 vulnerable households will be able to apply for state funding, bringing the total number of vulnerable households that can request assistance to 80,000.

Under the government’s program, Cypriot households will be able to apply for funds to help them to install PV systems that operate through the net-metering program and the virtual net-metering scheme. Households that apply for PV net metering only will receive €375/kW, but for vulnerable households this increases to €1,000/kW. However, the maximum subsidy is capped at €1,500/kW and €5,000/kW for non-vulnerable and vulnerable households, respectively.

The ministry of energy said Cyprus has also introduced or plans to introduce €160 million of additional programs for self-generated electricity and energy-efficiency measures in households, businesses, and municipal buildings by the end of this year. Earlier this year, the country launched a new €1.5 million scheme to support installations of PV and battery systems, specifically targeting the owners of electric and hybrid vehicles.

The nation's net-metering and net-billing segments of the solar market have added about 100 MW of capacity to date. The country’s cumulative installed PV capacity stands at about 335 MW.

Renewable power currently accounts for a mere 16% of the nation’s electricity generation. But even more disappointing is that the Cypriot target for 2030 aims for just a “26% share of renewables in gross final electricity consumption.”

pv magazine ran a detailed analysis of the Cypriot solar market in July. It found that the government's sluggish electricity market reforms, as well as its outdated view of solar power, have cost electricity consumers significant amounts of money.

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