The final National Energy and Climate Plan sets an indicative target of reducing energy poverty by 10% by 2030, emphasized the Minister of Energy, Trade and Industry, Michalis Damianos, in his opening remarks at the workshop titled “Combating Energy Poverty,” held Tuesday morning at the Nicosia Municipality.
“Our policies to address energy poverty are being strengthened and refined with specific goals and measures aimed at reducing energy costs, improve the energy efficiency of homes, and enhance access to clean and affordable energy for energy-poor households,” he emphasized.
ΣΧΕΤΙΚΑ ΑΡΘΡΑ
Mr. Damianos said that the National Energy and Climate Plan estimates that energy poverty in Cyprus affects nearly 15% of the country’s households and expressed the need “to further strengthen our policies, improve the targeting of support measures, and ensure that no affected household is left behind.”
“The government remains committed to strengthening policies that ensure access to affordable energy is a reality for all citizens,” he said, adding that “Our goal is an energy transition that combines environmental sustainability with social justice and the protection of our fellow citizens who are most in need.”
The Minister of Energy said that combating energy poverty requires long-term planning, targeted interventions, and ongoing cooperation, adding that collaboration between the relevant government agencies, local governments, social partners, and organizations active in the energy sector will be crucial for the effective implementation of this approach.
In addition, he noted that the new European Energy Efficiency Directive mandates that, by 2030, 15.1% of the total national mandatory cumulative target for energy savings in end-use must be achieved through energy efficiency measures applied to households affected by energy poverty, low-income households, vulnerable customers, and individuals living in public housing.
“Achieving these goals requires coordinated action, effective use of available financial tools, and systematic evaluation of the results of our policies,” he emphasized.
He noted that, in this regard, 2026 represents a significant milestone for Cyprus, as the institutional framework for addressing energy poverty will be substantially strengthened.
He noted that with the enactment of the Energy Efficiency Law of 2026, energy poverty is given a substantive definition in national legislation, and he added that this definition recognizes the multidimensional nature of the phenomenon and provides a clearer basis for the design and implementation of targeted, taking into account financial hardship, insufficient disposable income, high energy costs, and low energy efficiency in homes.
Furthermore, the Minister of Energy stated that on July 8, 2026, the Cabinet approved the creation and structure of the National Governance System for Energy Poverty and added that, through this system, it is planned, among other things, the development of a National Observatory composed of government agencies, which will undertake the annual monitoring and evaluation of the phenomenon and utilize the network of experts to support policy development, as well as the creation of Local Energy Hubs.
Noting that the Ministry continues to implement measures both to provide immediate support to vulnerable consumers and to reduce households’ energy needs in the long term, Mr. Damianos said, among other things, that through the Special Residential Electricity Rate, more than 30,000 vulnerable households are benefiting from reduced electricity bills, by approximately 20%.
He also referred to grant programs for residential energy upgrades, through which support of up to 80% of eligible costs is provided to vulnerable households, as well as subsidies for specific measures, such as the installation of photovoltaic systems, with grants covering up to 100% of eligible costs, as well as the replacement of solar water heaters and energy-intensive household appliances.
“With this new approach, we are promoting the design of new, targeted Grant Programs for energy-poor households, with the potential to cover up to 100% of eligible costs,” he stated, noting that the new programs will provide both the option of a comprehensive energy retrofit of a residence and the option of phased, individual interventions, based on the “Energy Efficiency First,” so that energy-saving investments take precedence, followed by the utilization of renewable energy sources.
He also referred to the use of European funding mechanisms and added that the utilization of resources totaling approximately 100 million euros under the Social Climate Fund, including the national contribution, will help accelerate energy upgrades, promote cleaner technologies, and improve access to affordable energy solutions for energy-poor households.
Mr. Damianos also said that energy communities and renewable energy communities create new opportunities for citizens to collectively participate in the energy transition.
Mayor of Athens
Furthermore, in his remarks, Athens Mayor Haris Doukas emphasized that the construction of the Greece-Cyprus Interconnector (GSI) between Cyprus and Greece is directly linked to addressing energy poverty in Cyprus, and added that the power interconnection will lead to a 19% reduction in electricity prices in Cyprus.
He also noted that the total annual savings from the electricity interconnection will amount to up to 138 million euros for consumers in Greece and Cyprus.
Mr. Doukas added that this will bring stability to the power grid, increase the penetration of renewable energy sources into the system, and enable the import of cheaper electricity.
He noted that Cyprus remains the last non-interconnected EU member state.
In presenting the City of Athens’ experience in addressing energy poverty, Mr. Doukas referred to the Municipality’s social policies aimed at supporting energy-vulnerable citizens, including exemptions from municipal fees.
Specifically, he mentioned, among other things, the City’s creation of a platform for monitoring and managing energy consumption and emissions in public buildings (Athens Energy Portal) with the aim of reinvesting the savings for the benefit of vulnerable citizens.
He also mentioned the establishment by the City of Athens of an Office for Combating Energy Poverty to identify and map energy-poor households, and to provide counseling and targeted support.
Finally, the Mayor of Athens mentioned the Energy Benefit Card, which provides access to support tools and benefits for eligible households.
Furthermore, Nicosia Mayor Charalambos Pruntzos said that local authorities play a decisive role in efforts to combat energy poverty, adding that the Municipality of Nicosia has developed specific policy proposals.
“We are closer to the citizens; we understand the needs of local communities and can make a substantial contribution to identifying and supporting energy-vulnerable households,” he emphasized.
Specifically, Mr. Pruntzos expressed the need to create an Energy Poverty Registry and to conduct a thorough mapping of needs at the municipal level, as he said, “so that interventions are based on real data and reach the citizens who need them most.”
At the same time, he noted that the municipality has already proposed the creation of a “One-Stop Shop” Office for Energy Poverty, which will operate in coordination with the municipality’s social services and provide information, guidance, energy counseling, and support for accessing grant programs and financial tools.
“We also place particular importance on strengthening citizen-led energy communities, which can offer real opportunities to participate in the energy transition even to households that are unable to install their own photovoltaic systems,” he emphasized.
He added that a prime example is the “Lefothea” Citizens’ Energy Community, which was created on the initiative of the municipalities of Nicosia, Lakatamia, and Latsia-Geri.
He also noted that the Municipality of Nicosia is actively participating in the European LIFE EP-MED project, through which “we gain access to expertise, tools, and best practices for monitoring and addressing energy poverty.”
The Mayor of Nicosia said he also considers it necessary to establish a Special Energy Poverty Fund, as well as “closer cooperation between the state and local government to finance interventions such as energy retrofits of homes, the replacement of energy-inefficient appliances, and the implementation of energy-saving measures for the most vulnerable households.”
Mr. Prountzos said that “the challenge before us” is that “the energy transition will only be truly successful when it is fair and inclusive, when every citizen can share in its benefits,” and “no household is left behind.”
