Filenews 8 February 2026 - by Christakis Hatzilaou
The recent "European Electricity Review 2026" report, by "Think Tank Ember", reveals the huge gap that exists between the European Union (EU) and Cyprus, in terms of the electricity mix for 2025.
While the EU is making impressive progress with the increasing participation of Renewable Energy Sources (RES) and the significant independence from the use of fossil fuels, Cyprus remains trapped in an excessively expensive and polluting electricity system, mainly based on fossil fuels (74%).
Despite Cyprus' impressive progress in solar energy penetration by 2025 (21%), the lack of long-term strategic planning for electricity generation has caused serious problems in the management of the electricity system, making the country lag behind in terms of cheap electricity.
This article examines the central trends and critical differences in the electricity mix in the EU and Cyprus for 2025, highlighting the challenges faced by Cyprus and the strategies needed for the strategic reconstruction of the electricity sector.
Electricity mix in the EU in 2025
The EU continues to make progress in the field of RES penetration. The table below lists the data on the electricity mix in the EU for 2025:
| Technology/Source | Percentage (%) | Remarks |
| Wind | 16,9 | Steady increase since 2015 |
| Solar | 13,2 | Rapid growth in recent years |
| Wind + Solar | 30,1 | They surpassed fossil fuels (29%) |
| Hydroelectric | 17,6 | Decreased due to water scarcity |
| Total RES | 47,7 | Significant support to the green transition |
| Coal | 9,2 | Drastically reduced, on the verge of extinction |
| Natural Gas | 16,7 | Gradual decrease, with the exception of 2025, due to a decrease in hydroelectric production |
| Other Minerals | 3,1 | Gradual reduction |
| Total Minerals | 29,0 | Significant reduction |
| Nuclear | 23,3 | Steady Participation |
The EU has managed to significantly reduce the use of fossil fuels, with RES production accounting for 47.7% of the electricity mix. Wind and solar electricity continue to grow rapidly and the sum of the energy percentages of these technologies has exceeded the share of fossil fuel energy for the first time (30.1% vs. 29%), which is considered a milestone for the green transition in the EU.
Electricity mix in Cyprus in 2025
In contrast, in Cyprus the dependence on fossil fuels remains dominant (74%) and the course of solar penetration is impressive, but ineffective, without the necessary support networks and strategic planning. The table below records the distribution of the electricity mix in Cyprus for 2025:
| Power Source | Percentage (%) | Remarks |
| Oil/Fuel Oil | 74 | EAC conventional units, dominance of fossil fuels |
| Solar | 21 | Uncontrolled development of photovoltaics, without storage |
| Wind | 4 | Small contribution |
| Other RES (Biomass) | 1 | Limited development |
| Total RES | 26 | Slight increase from 2024, with room for growth |
Cyprus ranks among the first countries in the EU in solar energy penetration (between Hungary and Greece). However, this development is not accompanied by the necessary storage infrastructure to manage excess RES production and for the proper functioning of the electricity system. This fact has led to situations of marginal and uneconomic operation of the system and the execution of RES production cuts of 22% for 2025 (corresponding to approximately 6-7% of the annual demand for electricity).
Impact on the price of electricity
Inefficient management of RES penetration and lack of supporting grid infrastructure, combined with reliance on fossil fuels, have led Cyprus to a significant increase in the price of electricity:
- Despite the subsidy with the temporary reduction of VAT by 10% until 2027, the price of a kilowatt hour for 2025 is recorded quite high, at 31 cents/kWh, significantly above the European average of 24.6 cents/kWh.
- The increased price of electricity puts pressure on the purchasing power of citizens and makes Cyprus more expensive and uncompetitive, intensifying the social and economic problems of citizens.
Conclusions and proposals
To reduce the huge gap that exists between Cyprus and the EU regarding the penetration of RES and the independence from fossil fuels, Cyprus must take immediate action which, among other things, should include:
- Establishment of an independent coordination body: An independent body should be created, with the task of coordinating the relevant services to reduce the price of electricity and enhance the security of electricity supply.
- Strategic planning for electricity production: Cyprus needs to develop a long-term strategic plan for electricity production, which will promote the rational development of RES, in balance with conventional production, while ensuring the storage and optimal management of the energy produced.
- Prioritising central storage and absorption of surplus energy: In the context of strategic planning, the installation of central energy storage and the strengthening of supporting networks should be considered as a priority to ensure the stability and adequacy of the electricity system and the absorption of excess RES production.
Cyprus must take action, with the priority of achieving cheap electricity and avoid as much as possible actions that could further burden the price of electricity.
The electricity sector in Cyprus, as we have mentioned in previous articles through "Fileleftheros", needs strategic reconstruction.
* Electrical engineer, with many years of experience in the operation of the Electrical System
