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‘Electricity Authority Failing to Consider Consumer Costs’

electricity authority power station upgrades

The delayed upgrades at the Dhekelia power station are raising concerns over rising consumer electricity costs and potential further price hikes. The aging infrastructure surpassing its life expectancy is adding financial burdens on consumers, with projected increases in electricity cuts if the upgrades continue to be postponed.

What are the concerns related to the delay in upgrading the Dhekelia power station?

The delay in upgrading the Dhekelia power station is causing concerns due to:
Escalating consumer electricity costs, with prices potentially rising further.
– The aging infrastructure surpassing its life expectancy.
– Financial burden falling on consumers for essential upgrades.
– Projected increase in electricity cuts if the upgrades continue to be postponed.

Delays in Power Station Upgrades

The upgrade of the old Dhekelia power station has been significantly delayed, causing concerns about its impact on electricity cuts. The head of Epopai union, Kyriakos Tafounas, expressed dissatisfaction with the Electricity Authority’s disregard for the financial burden on consumers. As of late, electricity costs have been escalating, with prices previously at 10c per kWh now reaching up to 25c, and they may climb even higher.

In an effort to modernize the aging infrastructure, a proposal was made last November to install two new gas turbines, each capable of producing 40 megawatts, along with an electricity storage unit. Despite the Energy Authority’s pledges, the upgrade, estimated at around €80 million, remains in limbo. This overhaul is crucial as the current Dhekelia units, aged between 30 to 40 years, have surpassed their 25-year life expectancy.

The Impact on Consumers

The financial implications are hefty, and it’s the consumers who will bear the costs of the state-deemed essential infrastructure. The need for Dhekelia as a backup power source is acknowledged, at least until the end of 2028. In the meantime, the construction of the Vasiliko power plant and the integration of natural gas are ongoing processes.

The chairman of the Energy Authority, Giorgos Petrou, announced the selection of a contractor for the project’s study and monitoring. Tenders are due to be issued with aspirations to finalize the project by 2025. However, the delay has sparked criticisms over the management of electricity storage, which appears to require urgent attention from the energy minister.

Renewable Energy and Grid Overload

The push for a carbon-neutral economy faces its own set of challenges. Cyprus’ isolated grid struggles with the influx of energy from renewable sources. Energy analysts have noted that when solar and wind parks operate at peak capacity, the grid is overwhelmed, leading to massive losses. It is reported that approximately €40 million worth of energy from renewables is wasted each year.

Moreover, the grid’s inability to accommodate excess power from renewable sources has led to 20 percent of energy produced by solar parks and photovoltaic systems being rejected. This is happening despite renewable energy’s modest contribution of 17.2 percent to the country’s overall energy production. The Epopai union points out the irony of foreign private owners profiting from these inefficiencies rather than keeping the gains within local economies.

Efforts to Address the Energy Crisis

The ongoing energy crisis has prompted the authorities to reevaluate their strategies. The government is exploring solutions that include potentially sending migrants back to Turkey or relocating them to other countries. These migrants have been caught in a bureaucratic limbo, finding themselves stuck in the buffer zone for more than a month.

The situation highlights the complexities of migration, energy demands, and economic considerations intertwining to create an uncertain future for many. It underscores the urgency with which different sectors must coalesce to find sustainable, long-term solutions that prioritize both the well-being of the population and the integrity of the environment.

What are the concerns related to the delay in upgrading the Dhekelia power station?

The delay in upgrading the Dhekelia power station is causing concerns due to:
– Escalating consumer electricity costs, with prices potentially rising further.
– The aging infrastructure surpassing its life expectancy.
– Financial burden falling on consumers for essential upgrades.
– Projected increase in electricity cuts if the upgrades continue to be postponed.

What is the proposed solution to upgrade the Dhekelia power station?

A proposal was made to install two new gas turbines, each capable of producing 40 megawatts, along with an electricity storage unit. The estimated cost of the upgrade is around €80 million. Tenders are due to be issued with aspirations to finalize the project by 2025.

How has the delay in upgrading the Dhekelia power station impacted consumers?

Consumers are facing escalating electricity costs, with prices rising from 10c per kWh to potentially 25c or higher. The financial burden of essential infrastructure upgrades is falling on consumers, with criticisms over management and the urgent need for attention from the energy minister.

What challenges does Cyprus face with renewable energy and grid overload?

Cyprus is struggling with the influx of energy from renewable sources, leading to grid overload and massive losses. Approximately €40 million worth of energy from renewables is wasted each year. The grid’s inability to accommodate excess power has resulted in 20 percent of energy from solar parks and photovoltaic systems being rejected.

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