**Power Crisis Looms as Cyprus Faces Loss of Half Its Conventional Electricity Generation Capacity by 2030**
Cyprus is on the brink of a significant energy crisis, with the potential loss of up to half of its conventional electricity generation capacity by 2030. This alarming forecast was presented to the House energy committee on Friday, where officials and industry representatives highlighted the urgent need for critical energy projects to be completed to avoid a severe shortfall.
The committee's discussions revealed that nine ageing conventional units located at Dhekelia and Vasiliko will need to be decommissioned in compliance with European environmental protocols. This withdrawal could lead to a potential loss of approximately 750 megawatts (MW) of electricity generation capacity, raising concerns about the island's energy security.
Energy Minister Michael Damianos addressed the committee, noting that recent power outages were attributed to high electricity demand coupled with failures in conventional generation units. He expressed optimism that the immediate situation would stabilize by January, following the installation of the transmission system operator’s (TSO) first 120MW central storage facility.
However, Damianos also underscored the importance of securing natural gas supplies to ensure energy sufficiency beyond 2030. While he refrained from providing a specific timeline for the arrival of natural gas, he acknowledged the approval of terms for a new tender aimed at completing the Vasiliko infrastructure, expressing hope for the project's prompt resumption.
The energy regulatory authority representatives warned that Cyprus faces a structural energy problem starting in 2029, when six units at Dhekelia and three at Vasiliko must be permanently decommissioned. They highlighted that all electricity adequacy studies conducted since 2015 had anticipated the arrival of natural gas by 2022 and the operation of an electricity interconnector with Greece by 2030.
In response to the looming crisis, the regulatory authority has initiated procedures to seek an exemption from EU regulations, which would allow Cyprus to establish an emergency capacity mechanism after the 2030 deadline. However, officials cautioned that this process could be costly, time-consuming, and may not be completed before the retirement of the generation units.
The Electricity Authority of Cyprus (EAC) also painted a concerning picture of the current state of the electricity system. Charalambos Menelaou, the EAC's technical director, informed MPs that some conventional units are operating up to 20 years beyond their expected lifespan. Specifically, the units at Dhekelia are now 45 years old, despite an intended operational life of around 25 years. This aging infrastructure has led to frequent breakdowns, increased maintenance requirements, and a shortage of spare parts, all of which pose risks to system reliability.
Menelaou further indicated that although a new natural gas unit was constructed at Vasiliko, it remains inactive due to the absence of fuel supplies. He also noted that planned new generators for Dhekelia would only contribute an additional 80MW, which falls significantly short of the expected 750MW loss anticipated after 2029.
Trade unions representing EAC employees have long raised concerns about the deteriorating state of the electricity system. They argue that the network is operating without adequate reserve capacity, as units that should be on standby are being utilized daily to meet demand.
Committee chairman and Disy MP Nikos Georgiou emphasized the urgency of the situation, stating that Cyprus cannot rely on the hope that no further damage will occur to the EAC’s conventional production units. He characterized the issue as one of national security and critical infrastructure, urging for a specific plan, a clear implementation timetable, measurable commitments, and full accountability to address the impending energy shortfall.
As Cyprus grapples with these pressing energy challenges, the need for decisive action and strategic planning has never been more critical. With the future of the island's electricity generation capacity hanging in the balance, stakeholders must work collaboratively to ensure that Cyprus can meet its energy needs in the years to come.