Photovoltaics for ALL in Cyprus

Mar 11, 2024

The Cabinet has greenlighted the implementation of the ‘Photovoltaics for All’ scheme, subsidising up to 6,000 homeowners to install solar systems on their roofs, which will be up and running from the end of next month.

The subsidy scheme comprises five distinct categories, each crafted to “democratise access to solar energy and roof insulation for all households,” according to a government announcement.

The latest version of the scheme will allow homeowners to install a photovoltaic (PV) system to reduce consumption and lower electricity bills, regardless of whether they have the initial capital needed.

In the imminent days, installers specialising in photovoltaics and roof insulation will start to enroll with a government register, laying the groundwork for the public to initiate their applications.

The budget for the latest version of the “Photovoltaics for All” plan is €30 mln, expected to cover 6,000 applications from homeowners who lack the initial capital to install a photovoltaic system of up to 4 kW in their homes, from the earlier maximum 4.16kW.

PV and insulation

The scheme’s categories are as follows:

A1: Photovoltaics – General, offers a grant of €375 per kW and a maximum grant of €1,500 (4kW), with a 50% increase for homes in mountainous areas.
A2: Photovoltaics – Vulnerable households, provides a grant of €1,250 per kW and a maximum grant of €6,250 (5kW).
A3: Photovoltaics for All, a grant of €250 per kW and a maximum grant of €1,000 (4kW). Additionally, citizens without the initial capital can benefit from this category, with an extra aid of €4,000 for a PV system at a maximum cost of €5,000. The additional aid will need to be paid back to the government.
B1: Roof insulation – General, includes a 50% grant and a maximum grant of €2,500 and/or €25 per sq.m. This grant sees a 50% increase for homes located in mountainous regions.
B2: Roof insulation – Vulnerable households, presents a 75% grant and a maximum grant of €3,750 or €37.50 per sq.m.

Changes

Compared to the previous 2022–2023 grant scheme, the new initiative incorporates some changes:

The introduction of Category A3: Photovoltaics For All, allowing citizens without initial capital to install a PV system.
Applicants approved under the “Photovoltaics for All” category by the RES and Energy Fund can proceed with installation without initial capital, and the repayment of the system, with monthly instalments of €150, which will commence from the first day of connection, payable through the EAC electricity bill. The subsidised cost is set at a €1,000 grant and aid of €4,000 for a PV system at a maximum cost of €5,000.
The creation of a new special Category B2: Roof insulation for vulnerable households with increased subsidy.
Provision for a one-off bonus of €750 if both PV and roof insulation investments are implemented in the same house.
Modification of the implementation and application procedure, transitioning to electronic processing to streamline the application process and expedite grant payments.
Installation tasks will be entrusted to contractors registered in the “Participating Traders” list, offering applicants a seven-year commercial guarantee, thereby enhancing the investment’s viability.
All potential beneficiaries will undergo pre-approval before the investment implementation, ensuring applicants of grant eligibility and providing promoters with enhanced control, significantly expediting grant payments. This procedural change aims to reduce bureaucracy for applicants and enhance the efficiency of the overall scheme.

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