The Cyprus Energy Regulatory Authority (CERA) has approved new electricity tariffs. According to an official statement by Energy Minister Yiorgos Papanastasiou, consumers will soon have to pay 3% more for electricity.
This comprehensive adjustment to the Cyprus Electricity Authority's (EAC) tariff system covers all key areas of the supplier's activities: production, transmission, distribution, and commercial supply of electricity. The regulator's decision resulted from an in-depth analysis of the company's current financial model and its ability to adapt to modern challenges, including developing sustainable energy sources and accelerating the transition to green energy.
When will the new rates take effect?
The new electricity tariffs will take effect at different times, depending on the billing frequency:
- In July 2025 for customers who receive monthly bills;
- and on August 1, 2025, for those with a two-month billing period.
This will allow EAC and its customers to adapt to the changes gradually and provide time for an information campaign.
What tariffs has CERA approved?
CERA approved most of the tariffs proposed by EAC, except for the D-MET tariff. Key changes include:
Tariffs for additional services (D-EY): 0.64 euro cents/kWh for consumers connected to high, medium, and low voltage.
Tariffs for use of the transmission system (TST): - 0.53 cents/kWh for high-voltage consumers
- 0.85 cents/kWh for medium-voltage consumers
- 0.87 cents/kWh for low-voltage consumers
Distribution tariffs (MVD/VDD): 1.17, 1.20, or 1.37 cents per kWh, depending on the connection level.
Metering costs (D-MET): 0.48 euros per month per consumer.
Wholesale tariffs (D-X) are for the summer period (June–September). With a base fuel price of €300/t:
- 12.80 cents/kWh on weekdays from 9:00 a.m. to 11:00 p.m.
- 9.65 cents/kWh at night and during off-peak hours.
- 9.95/9.53 cents/kWh on weekends and holidays (peak/off-peak hours).
For the remaining months (January–May and October–December):
- 10.09 cents/kWh during peak hours;
- €0.0889/kWh during off-peak hours;
- 9.71/8.48 euro cents/kWh on weekends and public holidays.
CERA also approved a temporary waiver of transferring the full cost of water pumping and heat storage to end users. According to the regulator, this will not lead to tariff increases for other subscribers.
What does the increase mean in practice?
A 3% increase in tariffs may seem moderate. However, in the context of ongoing price hikes and mounting pressure on household budgets, even this small change will be noticeable. This is especially true for high-volume consumers, or those using more than 800 kWh every two months.
According to Yorgos Petrou, Chairman of the Board of Directors at EAC, households consuming 700 kWh will see an increase of €5, or about €30 per year.
Petrou stressed that these are reasonable changes that will be reflected in the next electricity bills.
Despite the increase, the government assures that the updated tariffs will not affect investment projects in sustainable development and the modernization of energy infrastructure. Furthermore, part of the additional revenue will support Cyprus's transition to green energy.
How can you prepare for the tariff increase?
Cyprus residents should review their electricity consumption, implement energy-saving solutions, and consider installing solar panels, which are becoming more popular in the private sector.
In the coming days, EAC will provide detailed explanations of the impact of the new tariffs on different customer categories, including private consumers, businesses, and socially vulnerable groups. The company plans to explain compensation and support mechanisms for vulnerable groups, as well as ways to optimize consumption and reduce electricity costs.
Overall, the new tariff policy reflects Cyprus's commitment to achieving energy independence by investing in innovative solutions and ensuring a secure supply in the face of global challenges.