New decree to target support for energy-poor households in Cyprus

Local EACelectricityenergyTop News New decree to target support for energy-poor households in Cyprus Eac Energy Electricity Relevant News New decree to target support for energy-poor households in Cyprus 18 August 2026 Cyprus drafts first law to regulate AI 18 August 2026 Fire service stretched thin as heavy rain floods Nicosia streets, tree falls on car 18 August 2026 Eleftheria Paizanou 18 August 2026 FacebookXWhatsAppEmailPrintViber The Energy Ministry has drafted a decree to better target support against rising energy costs, setting out a framework to identify and support households affected by energy poverty. Currently, 20 categories of EAC household customers benefit from lower electricity prices under special tariff 08 to address energy poverty. Financial incentives are also available for households joining the home energy upgrade programme, with increased funding, as well as the scheme for installing residential photovoltaic systems under the Net Metering method. The decree also provides for electricity connections not to be cut off, or to be reconnected, during critical periods for vulnerable consumers for whom uninterrupted power supply is necessary for health reasons, following approval from the relevant Medical Board. The new decree The decree, now open for public consultation, sets out the categories of citizens and the criteria under which households will be considered energy-poor. Under the decree, those eligible will include recipients of public assistance, recipients of the Guaranteed Minimum Income (GMI), low-income pensioners, and recipients of the single-parent family allowance and child allowance. For single-parent families, gross annual family income must not exceed €21,060 for a family with one dependent child, rising by €6,620 for each additional child. For recipients of the child allowance, the threshold is set at €28,080 for a family with one child and €34,465 for a family with two children, with a further increase of €6,620 for each additional dependent child. Applicants must have insurable earnings credited to Social Insurance for a period of 24 months and must not own property worth more than €100,000, while income thresholds will range between €14,040 and €34,465 depending on household composition. Study calls for stronger measures Before preparing the decree, the Energy Ministry carried out a study to define and quantify energy poverty. It developed a composite index incorporating household disposable income, spending on energy needs and the energy efficiency level of the home. The study found that Cyprus already has a range of measures in place, particularly social and structural ones. But these could be strengthened, and could do more to encourage energy upgrades rather than focusing mainly on photovoltaic installations. It also found that targeted information and communication campaigns are limited, and that there is a lack of coordination between different government bodies. The study further found that the Energy Ministry lacks a specialised communications team responsible for planning, implementing and monitoring communication campaigns. The study also found that the Deputy Ministry of Social Welfare has placed social workers in various local authorities. The ministry could draw on these staff as part of efforts to tackle energy poverty, the study noted. Social workers and frontline staff generally have limited knowledge of energy efficiency interventions and need training so they can properly inform the public. The study also highlighted the absence of a single body responsible for monitoring energy poverty. According to the study, Cyprus already applies a range of social measures that could be adapted and strengthened to bring greater benefit to citizens. Structural measures play a decisive role However, the study notes that social measures should not act as a disincentive, while stressing that structural measures can play a decisive role in addressing the problem of high energy consumption. According to the study, social measures should remain available to support energy-poor households until they implement structural measures, such as installing photovoltaic systems or thermal insulation. National Observatory planned The state’s plans include the operation of a National Energy Poverty Observatory, as well as the creation of support mechanisms to help households affected by rising energy prices. The National Energy Poverty Observatory is part of the development of an integrated governance system for energy poverty. Emphasis is placed on protecting vulnerable population groups through the adoption of targeted measures to address the phenomenon. 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