The Energy Service of the Ministry of Commerce, Industry and Tourism has the overall responsibility of Energy in Cyprus and specifically for:
- Monitoring and coordinating the supply and availability of sufficient energy capacity for domestic needs.
- Monitoring and participating in the formation of the European Policy for energy issues.
- Suggesting ways for the implementation of the European Acquis, assists in the preparation of Laws, Regulations, Rules etc and implements programmes for their promotion.
- Preparing and implementing programmes for energy conservation, the promotion of renewable energy sources (RES) and the developing of technologies for the utilization of RES
- Assisting the Government in the formation of the national energy policy for Cyprus in coordination with all other bodies involved.
Energy Policy and Targets
The energy policy of Cyprus is fully harmonized with the energy policy of the European Union. The main axis of the energy policy involves the safeguarding of a healthy competition in the market, the security of the supply of energy and the fulfilment of the energy demands of the country, with the least possible burden on the national economy and the environment. The implementation of the above policy is formulated by:
- The liberalization of the electricity market by abolishing the monopoly of the Electricity Authority of Cyprus (EAC) on the generation and supply of electricity through a 35% market have allowance to free competition. Developments are also being followed to import natural gas.
- The liberalization of the oil sector by abolishing the pricing control system and the cross-subsidization between the different oil products and the adjustment of the prices on the basis of the market events and the excise duty in force.
- The establishment and operation of a strategic oil stock terminal.
- The implementation of development programmes related to the use of energy conservation, technologies, utilization of ingenious RES and the protection of the environment from industrial pollution.
- The promotion of oil products and other sources of energy friendly to the environment, such as natural gas.