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Frequently Asked Questions

  • Power Generation Licensing - Application Process
    Application Procedure for Power Generation Licensing according to the Licensing Regulation.
    1. Fill in the Application Form. At this stage there are 4 application forms depending on power and technology.
     
    1. Provide all necessary documents / data. In each of the above categories, you can find all the documents / details that are required to accompany the application so that it can be recieved.
     
    1. Payment of Application Fee. When submitting the application, the corresponding Application Fee should be paid according to the type of application. The Application Fee covers registration, consideration, evaluation and decision on the Application and is not refunded.
     
    1. Publication of Request. Applies only in case of a regular License. The applicant shall, within 5 days of the application filing, publish a copy of the application form and a statement that the information provided with the application is available for inspection by the public at CERA offices.
  • Power Generation Licensing - License Examination Process
    Checking the Envelope of Application

    In the case the application dossier is filled, the application will be considered as complete and its examination will begin under the Electricity Market Regulation (Licensing) Rules.

    If the application file is short in documents, CERA will proceed with its rejection.

    Publication of Request

    Applies only in case of a regular License. The applicant, whose application is considered complete, publishes the fact that his application is complete within 5 days and determines the time limit within which any person may submit information.

    Modifying an Application for License Exemption

    More information about modifying the Application can be found here.
  • Power Generation Licensing - License Issue
    Receiving a License or an Exemption of License

    Upon completion of the application examination, the Cyprus Energy Regulatory Authority (CERA) decides whether or not to grant the license or license exemption and informs accordingly the applicant.

    In the case of granting a license or exemption from a license, CERA shall inform the applicant in writing and issue the relevant permit. The licensee is obliged to obtain the license himself or through an authorized person from the offices of CERA.

    In the event of non-granting of an authorization or exemption from a license, CERA shall inform the applicant in writing, as well as the grounds for refusal of his / her application.

    Licensing / Exclusion Terms

    The licensee  commits to comply with all the conditions under which his license is granted.

    Annual Fee

    From the date of issue of the license or exemption from the license, the licensee has to pay the annual fees according to the type and validity of his license and the first annual fee has to be paid at the latest within one month from that date.
     
  • ​Power Generation Licensing - CERA License Validity Period
    CERA License Validity Period

    The duration of the Licenses issued by CERA is determined by a decision of CERA as follows:
     
    • Permits for the Construction of Power Stations of any kind (whether exemptions from licenses or regular licenses) will have a validity of 5 years.
    • Permits for the operation of power plants above 1MW of conventional fuels will be valid for 30 years.
    • All Permits for the Operation of Power Stations from RES (either exemptions from licenses or regular licenses) will be valid for 30 years.
    • Permits for the operation of power stations (conventional fuels) for self-production will have a validity period of 20 years.
    • Exceptions to Permit to Operate Electric Power Generation Stations (Conventional Fuels) for Autoproduction will be valid for 12 years
    • The Electricity Supply Permit to Eligible Consumers will be valid for 30 years

    CERA reserves the right to vary the validity period of any type of Licenses if for any other reason CERA considers that the validity period of the type of these Licenses must be differentiated.
  • Power Generation Licensing - Modification / Extension / Transfer / Revocation Process
    More information about the process of modifying, extending, transferring and revoking can be found in the Electricity / Licensing section

     
  • Electricity Licensing – Annual Fees
    Annual Fees

    From the issue date of the license or the exemption from the license, the licensee has to pay the annual fees according to the type and validity of his license and the first annual fee has to be paid at the latest within one month of that date.

    Each subsequent annual fee is due on 30 November each year and must be paid at the latest within one month of that date.

    Annual fees are due to pay:
    • Generation Stations for Commercial Purposes using Conventional Fuel and RES, regardless of power
    • Production plants for autoproduction using conventional fuels over 100kW
    • Generation plants for backup purposes using a conventional fuel over 1MW
    • Electricity Suppliers to final customers
    • Electricity Suppliers to wholesale customers
    • Transmission System Operator of Cyprus
    • Distribution System Operator
    • Transmission System Owner
    • Distribution System Owner
    • Electricity Market Operator
    • Interconnection Line Owner
    • Interconnection Line Operator
    • Energy Storage System Operation

    More information on the amount of fees due can be found here. 
  • Power Generation Licensing - T12 Inspection Certificate
    It is noted that, before the power station is commissioned, a certificate of inspection of the installation must be submitted to CERA pursuant to the provisions of Chapter T12 Transmission and Distribution Rules (paragraph 14 of the application form).
     
    • For an installation that is connected to the Network, the applicant must contact the Electricity Authority of Cyprus as a Distribution Network Operator.
    • For an installation that will not be connected to the Network, the applicant must contact the Department of Electrical and Mechanical Services.
  • Tariffs, Pricing - Understanding Invoice
    The end-user invoice is simple, clear and provides sufficient information for consumers to be able to make decisions about consumption and choose a supplier.

    More information on the content of invoices can be found in the Consumer / Invoices section
     
  • ​Tariffs, Pricing - Public Utilities Obligations
    What are the Public Utilities Obligations which are included in the electricity tariffs?

    According to Article 89 of the Regulation of Electricity Market, the Minister issues instructions to CERA to impose, by issuing a Regulatory Decision the obligations of Public Utilities, which may include obligations regarding:
     
    • Ensuring the provision of electricity;
    • The regularity, quality and price of electricity;
    • The protection of the environment·
    • Energy efficiency;
    • Climate protection and
    • Energy from Renewable Sources. 

    This Law and Regulatory Decisions can be found under Legislation / Electricity
  • ​Tariffs, Pricing - Renewable Energy Sources Fees
    What is the Renewable Energy Saving Fee that is included in electricity tariffs?

    In accordance to Article 9 of the Guidelines for the Promotion and Encouragement of the Use of Renewable Energy Sources, a Fund for Renewable Energy Sources and Energy Saving is being established, which operates Grant Schemes for the subsidization or subsidization of various investments for the promotion of renewable energy sources.
     
    In accordance with Article 10, the Fund for the financing of the Grant Schemes and its operational costs has its own budget and resources, which among others come from the enforcement and collection of the consumption tax of the consumed electricity.
     
    In accordance with Article 13, the consumption tax for each kilowatt-hour of electricity consumed, charged and is due to be paid to the Fund by:
    • Any consumer of electricity, irrespective of the category or the price charged;
    • Any conventional fuel autoproducer who is connected to the transmission or distribution system;
    • Any renewable energy source autoproducer, which is connected to the transmission or distribution system
  • Tarrifs, Pricing - Fuel Price Re-adjustment
    What is the Fuel Price Re-adjustment included in electricity tariffs?
     
    The purpose of the automatic fuel price re-adjustment is to allow the EAC to collect the actual fuel cost from consumers, since the fuel cost is an unpredictable cost and so there needs to be an automatic re-adjustment mechanism that allows the actual fuel cost to be recovered. Fuel costs are divided into the basic fuel cost (€ 300 / MT) included in the basic tariffs, and in the automatic fuel price re-adjustment, which covers the fuel cost which is greater or less than the basic fuel cost, eg. for a current fuel cost of € 320 / MT, € 300 / MT are recovered from the basic pricing, while the remaining € 20 / MT. Recovered from the fuel price re-adjustment.
     
    Therefore, the fuel price re-adjustment applied to the consumption of each EAC customer (kWh) includes only the fuel cost which is greater than € 300 / MT.
     
    The fuel price re-adjustment is applied to the consumption of each EAC customer (per kWh of consumption) and is calculated as follows:
     
    Fuel price re-adjustment = Fuel clause * (Current fuel price - € 300)
     
    Fuel clause = Fuel Consumption (in kg) / Predicted EAC generation units (kWh) /1000 = X € c / kWh / € 1c / M.T.
     
    The fuel clause is today
    • for consumers connected to the low voltage of 0,00025557€c/kWh/€1c/M.T.
    • for consumers connected to the average voltage of 0,00024971 €c/kWh/€1c/M.T.
    • for consumers connected to high voltage 0,00023911 €c/kWh/€1c/M.T.
     
    The current fuel price re-adjustment for a consumer connected to the low voltage was calculated at €0,023074/kWh, with the corresponding prices for consumers connected to the average and high voltage.
     
    As a result for a low voltage consumer, the associated tariff will be increased by €0,023074 per kilowatt-hour consumed.
     
    Last updated: July 2018
  • Tariffs, Pricing - Electricity Market from RES
    At what price does the EAC buy Electricity produced from RES?

    More information can be found in the section Electricity / Renewable Energy Sources.
     
  • Tarrifs, Pricing - Price Control
    What checks are being carried out by CERA to control fuel price readjustment and the cost of purchasing electricity from RES?

    CERA has adopted its decisions on the methodologies for fuel price reajusting and the cost of purchasing electricity from RES.

    Every month, the fuel cost of the EAC is monitored and the fuel cost and fuel price adjustment applied by EAC are monitored, as well as the calculation of the energy purchase price from RES.

    Also, CERA studies from time to time any revisions to the methodology for calculating the cost of electricity from RES and fuel price revaluation and applies variations when deemed appropriate.
     
  • Consumers - Submitting a Complaint
    Information on how to file complaints and the procedure you need to follow can be found in Consumer / Consumer Complaints.
     
    Complaint Submitting Site
    Please fill in the fields below to submit your complaint. Make sure that the Complaint Procedure followed.
    * Required fields
    Please include details such as the reason for the complaint, your actions so far to resolve the complaint, and the actions taken by the Company / Entity to resolve the complaint.
    Please attach supporting documents in your submission as well as letters from / to the Company / Organization
    I agree that the information they provide can be used by CERA and sent to the appropriate bodies / services to investigate my complaint.
     
  • REMIT
    More information related to the frequently asked questions for REMIT can be found in  REMIT / Frequently Asked Questions
Cyprus Energy Regulatory Authority
Agias Paraskevis 20,
2002, Strovolos, Nicosia

Postal Address
P.O. Box: 24936
1305 Nicosia

Tel: 00357 22 666363
Fax: 00357 22 667763
Email: regulator.cy@cera.org.cy

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