Electricity prices are expected to drop further in the first half of 2014, EAC spokesman Costas Gavrielides said.
Commenting on recent Eurostat statistics which showed that the price of electricity in Cyprus marked the highest drop in the EU from the second half of 2012 to the second half of 2013 by 15%, Gavrielides noted that additional reductions can be anticipated.
The Electricity Authority representative said that the decrease in the price of electricity resulted from the drop in the price of raw materials (liquid fuel), which had affected price fluctuations in the past.
The full re-operation of the power plant in Vasilikos following the devastating blast in July 2011 also played a role in the drop in prices, he added.
Meanwhile, Gavrielides said that the EAC is prisoner to oil due to the state’s wrong decisions over time and that for further reductions in the price of electricity to occur, dependence on liquid fuel must stop.
“I should say that the next Eurostat figures regarding the first half of 2014 will be even more improved than the second half of 2013,” Gavrielides said.
The figures show that Cyprus electricity is not particularly higher than the EU average, although in the second half of 2013 it appears as the third most expensive country in the EU.
According to Gavrielides, this is due to the fact that other countries use cheaper raw materials to produce electric power, while Cyprus is not connected to other countries’ systems, which increases the cost.
“Taking into consideration all these factors, I would say that EAC rates are not high. It must be stressed that in recent years the EAC has also significantly reduced other expenses beyond the cost of fuel which can be seen in the budgets that are submitted to the House,” Gavrielides said.