Prophetic newsletter EAC, which was issued and distributed in February 2011.
The production of electricity on a small island like Cyprus is de facto more expensive compared to other EU countries, due to objective difficulties such as lack of economies of scale, not interconnected with other countries in e-system mainly because reduced fuel options.
In the above, any comparison of cost electropower (E/P) in Cyprus, where the electricity is actually produced by petroleum (mainly oil), with other countries is inappropriate.
In these adverse conditions that Cyprus should make their own choices in terms of E/P.The effort of the EAC in the late 80s to dependence on oil and its derivatives using carbon in the E/P Station of Vassiliko, which will significantly reduce production costs, collided in the refusal of the state.
The state, in the late 90s he began to study the advent and use of the gas, a fuel-friendly environment, since it has low emission of greenhouse gases and also can reduce production costs. Furthermore, let us not forget that every European country that produces more exhaust than the acceptable limit, and pay the appropriate penalty in return!
For reasons not attributable to the EAC but the state, implementation schedules regarding the arrival of the gas is not yet achieved. The EAC has complied with the timelines, it has invested hundreds of millions of euros and be ready by 2008 to use gas to the E / P, just as requested by the state.
Specifically, the fourth unit in the E/P Station of Vassiliko has been operating since 2008, has been built to use gas. Until the advent of the gas, used refined oil, more expensive as the gas, and the existing use of fuel oil. The same happens with the unit 5, which opened in 2011. It is worth noting that the EAC had repeatedly asked by early 2000 as allowed to import the gas itself would use its own channels, which was rejected by the state.
The maneuvers are the state, the question of the advent and use of coal and the gas to the E/P, resulted in the EAC pay to date the amount of 500,000,000 euros per year, eventually rising from it. This amount, as percentage exceeds 70% of total expenses of the authority, while other E/P services EU this percentage is much lower. It is understood that while delaying the arrival of the gas in Cyprus, it is impossible to stripped the production costs of EAC from oil prices and reduced despite significant reductions in operating costs the EAC has achieved in recent years.
The above are ignored by certain circles who refer the most expensive electricity in Europe. Without making any reference to the above on 'Object adverse conditions and factors, given the level of tariffs of EAC the "monopoly" that supposedly provide the EAC energy market and gas. The electricity market has released since 2004 and although to date there has been a competitor, it probably is because the tariffs of the EAC is so low at all attractive to competitors, given the fuel oil. As regards the claim to a monopoly of EAC market gas is not correct, since the import and sale of the gas is made by the independent Public Gas Corporation (P.G.C.).
Specifically, the fourth unit in the E/P Station of Vassiliko has been operating since 2008, has been built to use gas. Until the advent of the gas, used refined oil, more expensive as the gas, and the existing use of fuel oil. The same happens with the unit 5, which opened in 2011. It is worth noting that the EAC had repeatedly asked by early 2000 as allowed to import the gas itself would use its own channels, which was rejected by the state.
The maneuvers are the state, the question of the advent and use of coal and the gas to the E/P, resulted in the EAC pay to date the amount of 500,000,000 euros per year, eventually rising from it. This amount, as percentage exceeds 70% of total expenses of the authority, while other E/P services EU this percentage is much lower. It is understood that while delaying the arrival of the gas in Cyprus, it is impossible to stripped the production costs of EAC from oil prices and reduced despite significant reductions in operating costs the EAC has achieved in recent years.
The above are ignored by certain circles who refer the most expensive electricity in Europe. Without making any reference to the above on 'Object adverse conditions and factors, given the level of tariffs of EAC the "monopoly" that supposedly provide the EAC energy market and gas. The electricity market has released since 2004 and although to date there has been a competitor, it probably is because the tariffs of the EAC is so low at all attractive to competitors, given the fuel oil. As regards the claim to a monopoly of EAC market gas is not correct, since the import and sale of the gas is made by the independent Public Gas Corporation (P.G.C.).
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