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Cyprus solar policy · 2026

Understanding net billing in Cyprus

Cyprus switched from net metering to net billing on 1 January 2026. Exported solar is now worth far less than the power you buy back — so the way you save with solar has fundamentally changed. Here's exactly how it works, and how to make the most of it.

The basics

How net billing works

1

During the day

Your panels power the home directly. Every kWh you use as it's produced avoids buying it from the grid at the full retail rate of about €0.32/kWh.

2

When you export

Surplus solar you don't use flows to the grid. Under net billing it's bought at the wholesale rate — roughly €0.10/kWh, far below what you pay to buy it back.

3

The result

The gap between buy and sell prices makes self-consumption king. Using more of your own solar — ideally with a battery — is now where the real savings come from.

What changed

Net billing vs net metering

The old scheme treated the grid like a free battery. The new one pays wholesale for exports — so where your solar goes now matters.

Net metering

Ended 2026

The old scheme (pre-2026)

  • Exports credited 1:1 at the retail rate (~€0.32/kWh).
  • The grid effectively acted as a free, unlimited battery.
  • Closed to new connections since 1 January 2026.
  • Accumulated credits were cleared by EAC in February 2026.

Net billing

Current scheme

In force since 1 January 2026

  • Open scheme for all new rooftop solar in Cyprus today.
  • Self-consumed solar still offsets the full retail rate.
  • Exports paid only at the wholesale rate (~€0.10/kWh).
  • Without a battery, surplus solar is worth far less than before.

Run the numbers

Net billing savings simulator

Compare the same solar system under the old net-metering scheme, under net billing without a battery, and under net billing with a battery.

Your home

Drag the sliders to match your situation — results update instantly.

Monthly electricity bill150
Solar system size5 kW
Home battery storage

Your estimated annual value

€2,032/ year

5 kW system • ~8,000 kWh generated per year

Battery subsidy: up to €1,500

€375/kW (max €1,500; +50% in mountain areas). A battery is now required to qualify for new-PV state grants.

Annual value by scheme

The same system, valued three ways. Self-consumption is what now makes the difference.

Old net metering

€2,560

1:1 retail credit — ended 1 Jan 2026

Net billing, no battery

€1,416

Exports paid at €0.10/kWh

Net billing + battery

€2,032

+€616 vs no battery

Old net metering€2,560
Net billing, no battery€1,416
Net billing + battery€2,032

The takeaway: a battery recovers roughly 79% of the value the old net-metering scheme used to give you — by keeping cheap solar power in your home instead of selling it back at wholesale.

Estimates only. Assumes ~1,600 kWh/kWp annual yield, €0.32/kWh retail and €0.10/kWh export. Actual savings vary with usage patterns, roof orientation, tariff and consumption timing. Not financial advice.

FAQ

Frequently asked questions

Net metering credited every exported kWh against your bill at the full retail price — a one-to-one swap, so the grid worked like a free battery. Net billing, in force since 1 January 2026, instead pays you the wholesale price (around €0.10/kWh) for exports while you still buy power at the retail price (around €0.32/kWh). The buy/sell gap means the energy you consume directly is now worth far more than the energy you export.

Every kWh you use yourself saves the full €0.32 retail rate, while every kWh you export now earns only about €0.10. A typical home uses 30–40% of its solar directly; the rest is exported at the lower price. Shifting usage into daylight hours — and especially adding a battery — keeps more of your cheap solar at home instead of selling it back at a loss.

A home battery typically lifts self-consumption from around 35% to roughly 70%, recovering most of the value the old net-metering scheme used to provide. Use the simulator above to see the difference for your bill and system size — the gap between the 'no battery' and 'with battery' tiles is what storage is worth to you each year.

The state grant is €375 per kW of battery capacity, capped at €1,500 (4 kW), with a 50% uplift in designated mountain areas. A battery is now mandatory to qualify for new-PV state grants, so storage is both a financial and a regulatory consideration for new installations.

In February 2026 EAC cleared accumulated net-metering credit balances as part of the transition to net billing. If you were relying on banked credits to offset winter bills, that buffer no longer exists, which is another reason self-consumption and on-site storage have become the priority.

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