Cyprus signs first contracts for 120 MW energy storage systems

On 23 June 2026, the Ministry of Energy, Commerce and Industry of the Republic of Cyprus officially signed contracts for the installation of the first centralized industrial electricity storage systems with a total capacity of 120 MW (with a storage capacity of about 400 MWh). The €50 million project is being implemented through the Transmission System Operator of Cyprus (TSOC). Equipment delivery is scheduled for January 2027, and full commissioning of the systems is planned for summer 2027.

Project goals and the solution to renewable energy curtailment:
The main task of the large battery systems is to stabilize the island's power grid and integrate green energy. Cyprus is currently facing a critical overproduction of clean energy that has nowhere to be stored.
— Trends in energy losses. According to the Electricity Authority of Cyprus (EAC), due to grid constraints, the volumes of forced curtailment of solar plants are growing rapidly: if 167 GWh were lost in 2024, this figure reached 306 GWh in 2025. In May 2026, instantaneous peak generation losses on sunny days regularly exceeded 250–320 MW.
— Support for consumers. Energy Minister Michalis Damianos stressed that the state-owned storage systems will make it possible to preserve excess generation and will primarily protect household producers (owners of home solar panels), who are currently suffering the most from forced grid restrictions.

Prospects for sector expansion and investor applications:
The TSOC operator's 120 MW project is a pilot one, while a large market for commercial storage systems is being formed in parallel. In total, 36 applications with a combined capacity of about 925 MW are currently registered in the operator's registry:
— Public sector (EAC). The authority has submitted applications for two large systems with a combined capacity of 180 MW: 80 MW in the Dhekelia area (at the document preparation stage) and 100 MW in the Moni area (at an initial review stage).
— Private investors. The most advanced commercial projects total 151 MW. These include sites in Psifas (59 MW) and Ergatates (32 MW). For another five regional projects (in Arediou, Platanisteia, Ormideia, Alambra and Palaichori), with a combined capacity of 60 MW, the operator has already issued official technical conditions for grid connection.

TSOC Executive Director Stavros Stavrinos confirmed the successful completion of the international tender for the first batch of contracts, noting that from 2027 Cyprus's energy profile will change qualitatively thanks to the emergence of storage infrastructure, which is completely absent today.