A new central energy storage system could lead to a significant reduction, by up to 80%, in the curtailment of production from residential photovoltaic systems, according to Renewable Energy Sources (RES) business consultant Christos Tsiggis.
Speaking on the Protoselido programme, Tsiggis said the project marks a key step towards improving the stability of the energy system.
€50 million investment in storage
The central storage project, with a capacity of 400 MWh and a cost of around €50 million, represents a major development for Cyprus’ energy infrastructure, he noted.
He added that the cost per megawatt-hour has now dropped to levels between €125,000 and €135,000, making battery storage increasingly viable and expected to become even more affordable in the future.
Curtailments driven by large solar parks
According to Tsiggis, production curtailments are mainly affecting large photovoltaic parks rather than household systems, due to the lack of integrated storage.
He cited figures showing a sharp rise in curtailed energy, from around 1,560 MWh in 2024 to 30,000 MWh in 2025 and 46,000 MWh in the first months of 2026.
Broader system upgrades underway
He also referred to additional storage projects under development, as well as installations at the Electricity Authority of Cyprus (EAC) facilities in Dhekelia and Moni, which are expected to strengthen grid flexibility.
Tsiggis stressed that the electricity network is a public asset and must be managed in the interest of consumers, without a profit-driven approach in system operation.
Outlook for 2027
He expressed optimism that by summer 2027, Cyprus will be in a significantly improved position, with reduced curtailments, especially for residential solar systems.
However, he noted that delays in implementing storage infrastructure have already placed pressure on the system, adding that earlier action would have reduced current challenges.
He concluded that improved storage capacity, combined with electricity market developments, could also lead to lower costs for consumers if managed effectively and transparently.
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