Cyprus in the 5th place of EU countries with the cheapest gasoline despite slight increase, Energy Minister says

Despite an increase in the price of gasoline, Cyprus remains in the 5th place of EU countries with the cheapest gasoline, Energy Minister Yiorgos Lakkortypis said on Tuesday. He was speaking after briefing the House Committee on Energy about the country’s progress in implementing renewable energy commitments in transportation.

Cyprus is obliged to secure 10% of RES in transportation by the end of this year, in line with a goal set in 2009. According to the Energy Ministry, the main way to achieve this is by increasing the levels of certified biofuels in the mix, which, however, are more expensive due to higher production cost. Consumers are expected to pay up to 2.5 cents more for gasoline per liter.

In his statements, Lakkotrypis said that during the session, they discussed about RES goals in transportation. A discussion on Cyprus’ hydrocarbon plans for 2020 will take place next Tuesday, the Minister noted.

While outlining Cyprus’ commitments, Lakkotrypis said that the main goal was to increase the share of RES to 13% of the total energy consumption by 2020, a goal already attained back in 2018. Today’s share stands at 14%, he added.

Regarding energy production, the Minister said that the indicative RES target was set at 16% by the end of this year. The latest data show that Cyprus stands currently at 9.37% but the share is expected to rise to 19-20%.

When it comes to transportation and the 10% RES target by the end of 2020, the Minister said that Cyprus’ share is currently at 5%. The challenge we are facing is to accomplish this target with the minimum burden on the economy and consumers he said, adding that the most effective way is by adding biofuels to the mix. A relevant decree issued by the Ministry is expected to raise RES share to 7.3%, the Minister said.

He added that the decree was issued now, because they didn’t want to put a burden on the economy or consumers earlier than necessary. After the increase of biofuels in the mix, the price of gasoline is expected to increase by 2 to 2.5 cents per liter, including tax, Lakkotrypis said.

Cyprus will rank in the 5th place among EU countries with the cheapest gasoline, according to EU data, the Minister went on. Cyprus ranks 12th among EU countries with the cheapest diesel, he added.

Asked if Cyprus faces any fines due to failure to achieve its RES target, the Energy Minister said that the country is facing difficulties, since the target is difficult to be attained. He said, however, that the government is now looking for ways to statistically reach these goals, by selling rights in areas where it is overperforming, and buying rights in areas where it faces some difficulties.

Source: Cyprus News Agency