The Cabinet of Ministers of the Republic of Cyprus approved a new €1 million state subsidy program aimed at encouraging the installation or replacement of solar water heating systems in residential buildings. The program is part of a national strategy to improve energy efficiency and reduce dependence on traditional energy sources. Applications for the program must be submitted electronically by December 20, 2025, or when the 2,000 application limit is reached, whichever comes first.
Subsidy amount and conditions of participation
The program provides funding ranging from €500 to €900, depending on the recipient category. The standard grant amount is €500 for all households. An increased subsidy of €900 is available for residents of mountainous areas and socially disadvantaged areas, as well as for vulnerable groups, regardless of their place of residence.
To be eligible for a grant, the property must be legal, residential, and occupied. Only individuals who have invested in existing housing are eligible. Commercial properties, partial installation of equipment (e.g., only a tank or only panels), and houses that have received a similar grant within the last 10 years are not eligible.
What is included in the subsidy and who can install the system
The subsidy covers the cost of complete solar water heating systems that include solar panels and a hot water tank.
Funding covers complete solar water heating systems that include solar panels and a hot water tank. All equipment must be certified and comply with energy efficiency standards set by national regulations.
Systems may only be installed by certified specialists who are registered in the official Register of Participating Installers. This approach guarantees the quality and safety of the installation, as well as compliance with program requirements.
Why it matters: benefits and ecology
Switching to solar water heaters enables Cypriot families to significantly reduce their electricity bills, especially amid rising tariffs. Additionally, using solar energy reduces carbon dioxide emissions, helping Cyprus achieve its sustainable development and climate neutrality goals. The program also aims to support remote communities and low-income families by offering them priority financing terms.
How to apply:
Applications can only be submitted through the Cyprus Renewable Energy Fund's official website. The portal publishes all the necessary details, including the start date for accepting applications, a list of approved equipment and certified installers, and the technical conditions for participation.
Before submitting an application, applicants must ensure that their property is legal, confirm that they have not previously received similar subsidies, select an approved installer, and use only recommended systems.
This government program supports the installation of solar water heating systems and is a real step towards energy independence and lower utility bills. Thanks to transparent conditions, electronic application submission, and support for vulnerable groups, the program is accessible to a wide range of Cypriot families.