Cyprus has recently inaugurated its first significant battery energy storage system (BESS), marking a pivotal step in enhancing the integration of renewable energy sources into the national grid. This development is part of a broader initiative to address the challenges posed by the intermittent nature of solar power and to reduce the reliance on fossil fuels.
Background and Development
In 2018, Germany's Autarsys commissioned a 75 kWh lithium-ion NCM battery system in Nicosia, Cyprus. This pilot project aimed to demonstrate the feasibility of scaling up grid-connected renewable energy through energy storage solutions. The system was designed to interact with homes equipped with 3 kWp rooftop photovoltaic (PV) systems, providing services such as power balancing and frequency support to the distribution network. (bestmag.co.uk)
Recent Advancements
As of early 2024, Cyprus has made significant strides in deploying energy storage solutions. Approximately 25 MW/45 MWh of BESS are operational, primarily in three configurations:
- Utility-Scale Standalone: A 10 MW/20 MWh system operated by the Transmission System Operator (TSO) for frequency regulation and reserve capacity. Commissioned in 2022, this project has demonstrated the technical feasibility of batteries for grid services in the Cypriot context. (lighthief.energy)
- Solar-Plus-Storage: Around 8 MW of batteries co-located with solar facilities, designed to shift production to evening hours and provide firming capabilities.
- Behind-the-Meter Commercial: Approximately 7 MW installed across commercial and industrial facilities, primarily for peak shaving and backup power.
These advancements underscore Cyprus's commitment to integrating renewable energy sources and enhancing grid stability.
Policy and Regulatory Support
The Cypriot government has recognized the importance of energy storage in facilitating the transition to a greener energy mix. In February 2025, the Ministry of Energy, Commerce, and Industry launched a subsidy scheme for energy storage systems paired with existing renewable energy plants. This initiative aims to install approximately 150 MW (350 MWh) of energy storage capacity, with funding from the European Union’s Just Transition Fund. (ess-news.com)
Despite these positive developments, challenges remain. In 2024, Cyprus curtailed 29% of its renewable energy, a record high that signals risks to the island’s energy transition. (pv-magazine.com) To address this, the government is focusing on expanding energy storage capacity and modernizing the grid to accommodate a higher share of renewable energy.
In conclusion, the commissioning of Cyprus's first significant battery energy storage system represents a crucial milestone in the country's renewable energy journey. With continued investment and supportive policies, Cyprus is well-positioned to enhance its energy security, reduce carbon emissions, and lead by example in the Mediterranean region.
