Newsroom
Cyprus could face serious shortages of both electricity and water, including possible power outages, if authorities do not act quickly, trade unions at the Electricity Authority of Cyprus (EAC) have warned.
Union representatives say mounting problems within the energy sector have reached a critical point. SEPAIK president Marios Papoutis told CNA that the situation escalated further following a government bill that would allow Cyta to enter the energy market. Meanwhile, SHIDIKEK–EAC secretary Dimitris Constantinou said current data point to growing risks for the country’s energy and water security.
Staff briefings underway
Speaking on behalf of multiple EAC unions, Constantinou said a series of staff briefings has begun to outline the challenges facing the sector. The first session was held at the organization’s headquarters on Wednesday, with additional meetings planned across the districts.
He noted that discussions covered a wide range of issues, starting with major concerns about electricity generation capacity, particularly the long-delayed replacement of aging units at the Dhekelia power station.
Delays in new generation units
According to the unions, the process to replace outdated generation units began in 2022–2023 but remains unresolved in 2026. Constantinou attributed the delays to the involvement of several state bodies, including the Ministries of Finance and Commerce and the energy regulator.
Because of the prolonged process, suppliers may no longer be able to deliver replacement units on schedule. The unions also say the financing model for the new units has not yet been finalized, raising further concerns about future electricity adequacy.
Dispute over renewables strategy
Another major issue raised is EAC’s limited role in renewable energy development. The unions argue the authority was effectively prevented from investing in its own renewable parks, which they believe is the most effective way to lower electricity prices for consumers.
They also criticized what they described as regulatory obstacles and state inaction that left EAC unable to secure suitable land for large projects. By the time interest was expressed, they say, the available land had already been allocated to private investors who obtained the necessary permits. As a result, the sector is now seeing licenses being traded even though the corresponding projects have not been built.
Energy storage projects stalled
The unions further highlighted delays in planned grid-storage systems. Although the government secured an EU derogation and EAC launched a tender for the installations, the Transmission System Operator has yet to finalize the contract award.
Constantinou said these storage facilities are essential to reduce or avoid curtailments affecting rooftop solar systems and small businesses. He alleged that interventions by private interests are preventing the project from meeting its June 2026 target.
Concerns over desalination
Water security was also discussed. The unions say EAC has submitted proposals for permanent desalination plants to support the country’s water balance, but these proposals have not been adopted.
Objections to Cyta energy bill
Union frustration has intensified following the Finance Ministry’s bill enabling the Cyprus Telecommunications Authority to move into the energy sector. EAC staff consider the proposal unjustified and question what additional value Cyta could provide in a field where EAC already specializes.
Warning to policymakers
Union officials conclude that without prompt, well-targeted decisions, Cyprus risks facing insufficient electricity and water supplies in the near future, with rolling blackouts a real possibility.
