Smart Meters Project Advances with New Legislation
In a decisive move, the Cyprus Telecommunications Authority (CyTA) has been granted the opportunity to contribute to the nation’s energy infrastructure through a recent law enactment. The House of Representatives has expedited the legislative process, allowing CyTA to secure a contract for the provision and installation of 400,000 smart meters across the country.
The urgency of the matter was underscored by the government’s request for swift parliamentary action. Lawmakers responded promptly, with the bill being discussed and passed on the same day, just before the House adjourned for the upcoming elections. This timely decision ensures that CyTA can fulfill its commitment to the Electricity Authority of Cyprus (EAC), aligning with Cyprus’ obligations to the European Commission under the Recovery and Resilience Facility.
The contract, pivotal for the installation of smart meters, was previously in jeopardy following a ruling by the administrative court on March 26. The court deemed CyTA’s initial tender win invalid, citing that the provision of such equipment was beyond its legal business scope. This not only threatened CyTA’s involvement but also put at risk a significant €35 million EU grant.
To resolve this legal hurdle, the government proposed an amendment to the telecommunications law. The new legislation now permits CyTA to undertake projects that utilize its assets and expertise, provided they are considered necessary and advantageous for the organization. This broadens CyTA’s permissible business activities, paving the way for smart meter implementation.
The journey towards integrating smart meters into Cyprus’ energy grid has been fraught with challenges since 2018. The energy regulator’s initial call for installations in 2020 faced multiple setbacks, with tender decisions being annulled by various authorities. The latest twist occurred in August 2023 when a delay in tender processing led to the unavailability of the chosen smart meter model from the manufacturer.
With this legislative breakthrough, CyTA is now poised to play a crucial role in modernizing Cyprus’ energy management systems. The installation of smart meters is not only a step towards fulfilling European commitments but also a stride towards a more efficient and responsive energy network for Cyprus.
