Power grid stretched thin as winter demand surges

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Cyprus’s energy regulators have called for the immediate installation of new conventional power units at the Dhekelia power station before 2029, warning of potential electricity supply shortages, according to documents seen by philenews.

Both the Energy Regulatory Authority (CERA) and the Transmission System Operator (TSOC) have backed the installation of new gas turbines at Dhekelia, responding to Energy Minister George Papanastasiou’s inquiry about future supply risks.

The system faced a critical test this week when available production reached 1,087 megawatts against peak evening consumption of nearly 1,000 megawatts. Wind farms contributed 60-70 megawatts during peak hours, helping maintain stability.

“The uncertainty surrounding major energy issues makes it extremely difficult to pinpoint specific timing of potential problems”, a senior regulatory source said, citing concerns about natural gas delivery schedules and EU environmental restrictions.

The regulators highlighted technical constraints at the Vasilikos power station, where “short-circuit currents” limit safe energy transmission to 820 megawatts, despite higher installed capacity.

CERA has already licensed the Electricity Authority of Cyprus (EAC) to boost Dhekelia’s capacity by 80 megawatts through new gas turbines.

The project’s estimated cost has risen significantly, with three bids received ranging from 107 million to 148 million euros, against an initial 80 million euro budget.

The regulators expressed skepticism about relying solely on photovoltaic systems or battery storage solutions to address immediate supply concerns, noting ongoing curtailment of solar power production since October.

EAC Chairman Georgios Petrou told philenews that turbine installation bids are under evaluation, with final decisions pending ministry consultations and regulatory input.

The 2029 deadline stems from an EU Commission derogation requiring Cyprus to cease operations of six aging steam turbines at Dhekelia.

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