The Cypriot government has launched a €35 million program to support renewable energy projects paired with energy storage, marking a significant step in the country's energy transition strategy. Announced by the Ministry of Energy, Commerce, and Industry, the scheme was approved by the Council of Ministers on November 14 and aims to boost investment in hybrid renewables-plus-storage projects through competitive solicitations.
Funding for the program comes from the European Union's Just Transition Fund (JTF), designed to support member states most affected by the transition to climate neutrality. Between 2021 and 2027, Cyprus will receive €1 billion from the JTF to help diversify its economy and modernize its energy infrastructure.
This initiative builds on Cyprus' broader efforts to integrate energy storage into its power system. In July 2023, the Ministry launched a policy framework to develop centralized standalone energy storage systems owned by the Cyprus Energy Authority and managed by the Cyprus Transmission System Operator (TSOC). At least €40 million has been allocated to these centralized projects, complementing the €35 million now approved for co-located renewable energy and storage projects.
The newly approved scheme follows a public consultation that concluded in October, which helped determine its scope and funding allocation. Full details of the program are expected to be published by the end of November, with applications opening in January 2025.
Cyprus aims to generate 22.9% of its final energy consumption from renewable sources across electricity, heating, cooling, and transport by 2030. The island nation joins other EU member states in leveraging EU support for energy storage initiatives. Recent examples include a 5.4GWh program in Poland, a 3GWh tender in Bulgaria, and €500 million for energy storage in Croatia.
While these efforts highlight growing support for clean energy, industry groups, including the Energy Storage Coalition, continue to advocate for a more comprehensive EU-wide policy framework for energy storage to ensure sustained progress across the continent.
See Also
- EU Allocates Nearly €3 Billion to Renewable Projects Across Member States
- Megawatt Mosaic Gains Approval for Battery Projects Linked to Italy’s Tyrrhenian Link
- European Parliament Approves Net-Zero Industry Act to Drive Decarbonization Efforts
- Bulgaria Poised to Add 1 GW to 1.5 GW of Solar PV Capacity in 2024, Sparking Grid Management Concerns
- U.S. Department of Energy Allocates $26.9 Million for Clean Energy Projects Across States, Local Governments, and Tribes
