Cyprus Employers and Industrialists Federation announces energy and environment developments in 2025

On the occasion of the Annual General Meeting of the Cyprus Employers & Industrialists Federation (OEB) scheduled for Tuesday, April 28, 2026, and addressed by the President of Cyprus, Mr. Nicos Christodoulides, OEB issued a communiqué.

The federation highlighted its ongoing role in shaping policies related to energy, the environment, and sustainable development to enhance business competitiveness and support a fair green transition.

Key developments in 2025 included the full operation of the competitive electricity market, promoting competition and efficient pricing. The promotion of electricity storage projects was also emphasized as vital for system flexibility and increased renewable energy integration.

The Great Sea Interconnector project remained central to public debate due to its strategic importance and uncertainties. OEB called for transparency, cost-benefit assessments, and exploration of alternative energy options to maintain competitiveness.

In natural gas, developments around the FSRU “Prometheus” confirmed its role as a transitional fuel, emphasizing the need for infrastructure completion for its integration into the energy mix. The federation also stressed the importance of green hydrogen and the implementation of stricter European directives on building energy performance.

Energy costs remain a significant challenge; OEB submitted proposals aimed at reducing costs and improving market operation. Regarding environmental issues, the water crisis was identified as a major challenge, prompting calls for structural solutions and water resource management investments. The update of the National Strategy for Climate Change Adaptation was completed, enhancing resilience planning until 2050.

Businesses were encouraged to adapt to new European sustainability reporting requirements, with simplifications for small and medium-sized enterprises. OEB contributed to the Social Climate Plan debate with targeted proposals for a just transition.

During 2025, OEB focused on revising the National Energy and Climate Plan, transitioning self-consumption frameworks, addressing renewable energy cuts, and promoting energy storage systems. It also recommended sustainable management of the RES & ESE Fund, adjusted pricing strategies, and participation in European and national strategies like the Clean Industrial Deal.

OEB submitted proposals for environmental and waste management legislation and participated in the European “TRIERES” program to develop green hydrogen valleys. It continued actions under the circular economy initiative in tourism, aligned with the National Recovery and Resilience Plan.

Finally, Cyprus’s assumption of the Presidency of the EU Council in the first half of 2026 presents an opportunity to influence a more competitive, green, and fair European energy policy. OEB supports this role by submitting strategic positions for the benefit of the economy and entrepreneurship.