EAC drops 25 per cent tariff hike bid

The Electricity Authority of Cyprus (EAC) has decided not to pursue its request for a 25 per cent hike in their tariff, following a meeting with Energy Minister George Papanastasiou.

Reports on Tuesday evening said EAC had backed down from its request, with the authority chairman Giorgos Petrou telling Politis that circumstances changed and there is no longer a need for a tariff hike.

EAC had requested a 25 per cent hike in their tariff, which the Cyprus Energy Regulatory Authority (CERA) rejected. The EAC in turn however, appealed the decision in court.

During a meeting on Tuesday between EAC’s board of directors and Papastasiou, the minister raised the idea of withdrawing EAC’s case against CERA in the administrative court.

EAC ultimately decided to withdraw the appeal.

“We urged them to reconsider the 25 per cent hike in their tariff. The ball is now in their court,” the minister said earlier in the day.

The 25 per cent increase in the kilowatt-hour tariff, however, would have not translated into an equivalent 25 per cent rise on electricity bills if implemented, Papanastasiou explained.

As for this year’s request for a six per cent hike, this will be examined by EAC’s board of directors on Thursday.