Electricity bills rise 109% in three years

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Households have seen their power bills more than double since 2020, as Cyprus has become the seventh most expensive in the European Union for electricity.

Based on official data from the Cyprus Energy Regulatory Authority (CERA), included in its electricity price report, the average price for household electricity spiked 108.8% from August 2020 to August 2023.

From March 2020 to August of the same year, energy prices dropped following lockdowns and other COVID-19 restrictions.

The average residential tariff was 16.15 cents per kilowatt hour; this August, it was 33.72 cents per kilowatt hour.

Prices reached their highest ebb in September last year, following a rally of increases powered by Russia’s invasion of Ukraine in February 2022.

According to CERA, prices reached a record high in September 2022, when consumers paid 40.31 cents per KW per hour.

Prices in September 2020 reached their lowest level, with the KW per hour costing consumers 15.88 cents.

Prices do not calculate the government subsidy introduced in September last year, pushing bills down by an average of 14%.

The subsidy scheme granted households up to €68.72 until the end of June this year, when it was scrapped.

CERA notes that bills were also inflated by the increased penalty paid by the Electricity Authority of Cyprus for excessive CO2 emissions.

In June 2022, the cost of purchasing emission rights was €23 per tonne; this June, it shot up to €87 per right, according to CERA data.

Energy prices started dropping in September 2022, pushed down by a decrease in the cost of conventional fuel used at the Electricity Authority of Cyprus’ power plants and the reduction in the price of RES energy bought from private producers.

However, with fuel prices once again on the rise, consumers are braising themselves for more increases in their electricity bills.

According to July 2023 data published by VaasaETT Ltd, an energy consultancy agency, Cyprus is the seventh most expensive EU member.

Ireland had the most expensive electricity in the EU in July 2023 at 47.12 cents per kilowatt hour, followed by the Czech Republic (40.04), Latvia (38.65), Germany (38.60), Italy (37.72), Denmark (35.55) and Cyprus was 35.20.

On average, household electricity in Greece (end consumer) was 25.51 cents per kilowatt hour.

The average household electricity bill in EU countries was 26.34 cents per kilowatt hour in July.