The Cypriot Parliament has unanimously approved a series of legislative amendments aimed at facilitating the installation of solar panels and energy storage systems for small and medium-sized enterprises (SMEs). The proposals were introduced by MPs Kyriakos Hadjiyiannis (DISY), Nikos Sykas (DISY), and Michalis Yakoumis (DIPA). The main goal of the initiative is to eliminate excessive bureaucratic procedures that have been slowing down the adoption of renewable energy technologies.
Under the new provisions, a permit for the installation of photovoltaic systems for self-consumption will now be considered automatically granted if the applicant is an SME representative and owns the relevant plot of land or building. This change significantly reduces the time required to implement “green” technologies and removes administrative barriers that businesses previously faced.
Why This Matters for SMEs and Cyprus’s Energy Market
The authors of the initiative emphasized that the reform aims to accelerate Cyprus’s transition to renewable energy sources while reducing electricity costs for both businesses and consumers. Small and medium-sized companies, which previously struggled with lengthy permit processes, will now be able to quickly install solar solutions and save resources.
Moreover, the law applies not only to rooftop solar panels but also to ground-mounted photovoltaic systems, provided the landowner’s consent is obtained.
Expanded Scope: Energy Storage and Data Centers
One of the key additions to the reform is the simplified licensing for electricity storage systems and data centers operating alongside renewable energy facilities. If a project already holds all necessary permits, no additional licenses will be required—they will be considered automatically granted.
This measure is especially important for existing solar parks and wind farms seeking to improve efficiency by integrating energy storage solutions. The changes align with the European Union’s carbon neutrality goals for 2050, giving Cyprus a strategic advantage in the region.
Lawmakers’ Position: “It’s Time to Cut the Red Tape”
DISY MP Kyriakos Hadjiyiannis, one of the bill’s authors, noted that the new rules are designed to reduce bureaucracy and support businesses struggling with high electricity costs.
His colleague from DIPA, Michalis Yakoumis, stressed that the reforms should “help thousands of companies drowning in energy expenses” and enable businesses to invest in clean technologies. He added that modern energy solutions should be accessible to everyone, not just large corporations.
What’s Next: Toward Energy Independence
The adopted amendments not only speed up the rollout of solar technologies but also lay the foundation for building a sustainable, energy-efficient economy in Cyprus. The Ministry of Interior will now have the authority to set the conditions under which permits are considered issued, but the authorities will no longer be allowed to restrict the maximum size or capacity of photovoltaic systems.
These measures are expected to accelerate the growth of the renewable energy market, enhance Cyprus’s investment appeal, and reduce the island’s dependence on imported electricity.
In the context of growing global interest in green investments and the EU’s pursuit of energy autonomy, Cyprus is steadily positioning itself as a regional leader in clean energy.