CYPRUS: Private electricity plant promises cheaper and cleaner energy

The Cyprus energy sector is to radically change very soon as new players enter the market of electricity production and supply, with entrepreneurs promising to deliver cheaper and cleaner energy to households and businesses.


One such newcomer, Power Energy Cyprus (PEC) Ltd., plans to produce about a quarter of the island’s present capacity, slightly more than what renewable sources (solar parks and wind farms) already contribute into the energy mix.

The first private conventional thermal power plant is to be ready in 2021 with owners PEC, part of the Cyfield Group of developers and contractors, aiming to become the first privateer to dynamically enter the energy sector, offering an alternative to consumers and breaking into the monopoly of the Electric Authority of Cyprus.

Cyfield is already leaving its mark in the construction market, having survived the economic crisis of the past decade, with some major infrastructure projects, high-rise developments such as the landmark 360 high-rise in Nicosia and the Arc-Ship tower in Limassol, projects in Greece and Egypt, and the Ayios Ioanis photovoltaic park, near Nicosia, producing about 3MW of solar energy since 2016.

Talking to the Financial Mirror, George Chrysochos, PEC’s CEO, said that the company’s aim is to be an attractive alternative to EAC as they will be in a position to provide cheaper energy to consumers.

We aim to complete works on the power plant by 2021. We deliberately planned the completion of works on that date so as to coincide with the arrival of natural gas in Cyprus, said Chrysochos.

Explaining that the power plant will be equipped with the state-of-the-art combined cycle electricity production units, Chrysochos said that the project, acquired by Cyfield from its previous Russian owners in 2018, will produce electricity primarily using natural gas and if necessary, with liquid fuel.

Considering that on the one hand natural gas is cheaper and on the other hand our state-of-the-art equipment will secure minimum losses as our production units will be more efficient than those of EAC, then we can say with certainty that we will be offering consumers cheaper electricity said PEC’s CEO.

Chrysochos added that while more efficient methods of production mean cleaner energy, the power plant will also install emission filters which will capture pollutants which otherwise would be released into the atmosphere.

The power plant to be built in the area of the Vassiliko energy hub will have the capacity to produce 260 megawatts (MW) of electricity, which corresponds close to a fourth of energy being produced today in Cyprus, as the country has an average capacity of 1100 MW.

As explained by Chrysochos, the project is to cost some EUR 200 mln, which is to be covered entirely by PEC funds and financing.

The foundation stone is to be laid down on February 15 by President Nicos Anastasiades.

Source: The Financial Mirror