Dialogos

War, Inflation, and Lack of Energy Planning

Published March 16, 2026, 08:02
War, Inflation, and Lack of Energy Planning

Cyprus is facing a new energy crisis due to the war and inflation, coupled with a lack of comprehensive energy planning by the Christodoulides government. Scandals surrounding projects such as Vasiliko, Dekeleia, and renewable energy licenses have left the country exposed to price increases. The government terminated the contract for the LNG Terminal in Vasiliko without presenting an alternative solution, while the 'Prometheus' floating unit remains idle. Furthermore, solutions for the arrival of natural gas or the new unit in Dekeleia have not been provided, and there are problems with renewable energy sources due to a lack of storage infrastructure. The Cyprus-Greece electricity interconnection has been postponed, while the government has not presented a clear strategy.