Cyprus Parliament amends law to prevent zeroing of household photovoltaic electricity surpluses

On Thursday, the Plenary of the House of Representatives of Cyprus unanimously approved, with 44 votes, an amendment to the law regarding the promotion of renewable energy sources. This decision follows a partial acceptance of a referral by President Nikos Christodoulides, who had previously raised concerns regarding the potential fiscal burden and separation of legislative and executive powers. The new regulation mandates that excess electricity generated by residential photovoltaic systems will no longer be automatically deleted. Instead, these surpluses will be retained until the Council of Ministers determines a formal procedure for their management or compensation. Energy Minister Michalis Damianou stated that the government intends to credit units back to consumers affected by the March zeroing, particularly those with contracts signed before the end of 2021. While the government initially resisted due to constitutional concerns, the agreement aims to protect household interests without providing direct monetary compensation. Lawmakers, including Kyriakos Hatzigiannis and Michalis Giakoumi, emphasized the need for a sustainable framework that allows consumers to utilize their excess energy. Further discussions are expected to define the technical aspects of the compensation scheme for the 2021-2023 period.