The Electricity Authority of Cyprus (EAC) has officially awarded Cyta the contract for a rollout of 400,000 smart electricity meters across the island.
This decision comes as part of Cyprus’ adherence to a regulatory mandate by the Cyprus Energy Regulatory Authority (CERA) and a commitment to the European Union’s Recovery Mechanism.
Despite competition from three bidding companies, with Cyta presenting the priciest bid at nearly 40 million euros, its proposal was deemed the most fitting by the EAC’s Evaluation Committee.
The decision was made not just based on the financial aspect but also considering the comprehensive value Cyta promised to bring to the table.
Competitors Logicom Solutions LTD and NewCytech Business Solution, part of the Logicom group, had submitted lower bids, at approximately 33.7 million euros and 37.6 million euros respectively, but failed to secure the contract.
The award has sparked discussions about the potential for appeals by unsuccessful bidders, reminiscent of delays experienced in previous tenders for smart meters, Phileleftheros reports. These appeals could lead to a review process, potentially impacting the project’s timelines.
The contract signing is anticipated by March 2024, with a phased delivery and installation plan stretching into 2026.
By September 2024, EAC is expected to have received and installed a portion of the meters, with the full complement of 400,000 meters to be installed by June 2026.
Controversy had arisen over Cyta’s eligibility to undertake a project extending beyond its core telecommunications remit.
However, legal consultations affirmed Cyta’s capability to deliver on the project, considering its telecommunications component, thus clearing the path for this ambitious initiative.