The green economy in Cyprus has great potential.
The level of solar irradiance in Cyprus is one of the highest in Europe. At the same time, the island is highly dependent on imported sources of energy, principally highly polluting oil and oil products. The energy system is isolated with no interconnections with neighbouring countries and renewables still account for just above five per cent of energy supply.
All of this means that a large variety of projects, related not just to renewable power generation but also to energy efficiency and energy security, are currently under consideration by domestic and foreign investors. They would not only be highly desirable, but today they are also financially viable.
Solar projects have top priority, not least because peak electricity demand coincides with peak production. However, the expansion of renewable power generation, both through small-scale dispersed photovoltaic production as well as in larger facilities, will also require the development of the recently discovered offshore natural gas reserves in order to support energy security through diversification.
[Photo by orientalizing | Flickr]