Tesla and Samsung are considering storing electricity in Cyprus

Leading companies such as Samsung and Tesla have indicated interest in participating in a public tender for the development of energy storage facilities in Cyprus, according to George Papanastasiou, Minister of Energy, Commerce, and Industry. A 150 megawatt storage project is the focus of this initiative's initial phase, and a tender is anticipated to be released in September.

Speaking at the Cyprus International Business Association's (CIBA) International Business Day, Papanastasiou highlighted the government's plan to lower power costs in Cyprus as essential to enhancing the nation's competitiveness.

The Minister talked about the three main tenets of the government's strategy to make Cyprus a centre for energy and to speed up the green transition. First and foremost, the government wants to build an LNG terminal at Vasilicos as soon as feasible. This will immediately cut CO2 emissions by 35–40% and power costs. The second pillar addresses the issue of 81% of the electricity produced by solar panels being discarded owing to a lack of storage capacity, with an emphasis on expanding renewable energy, especially from photovoltaics. In order to solve this, the Ministry is getting ready to start the first phase of a 150 MW storage system in September as part of a €40 million subsidy scheme to create a storage system in collaboration with the private sector.

Major firms such as Tesla and Samsung have already expressed interest in working with the government on this significant 150 MW storage capacity project, according to Papanastasiou. The "Great Sea Interconnector", or power link between Greece and Cyprus, is the third pillar and is anticipated to be the biggest of its type globally. Before deciding to spend a final €100 million in equity, the government is waiting on a cost-benefit analysis from the project promoter, the Greek IPTO.

The Minister also discussed the government's intentions to build a "smart" electrical infrastructure and start a competitive electricity market by July 2025 in order to make it easier for Cyprus to integrate additional renewable energy sources.