The biggest solar rooftop in Cyprus under net billing scheme

• The 2.5-megawatt PV facility will be operating under a program meant to protect grid operators against going bust

The Limmasol-based Muskita Aluminium has launched the biggest rooftop photovoltaic system in the country. The plant will be operating according to Cyprian net billing program. The facility, installed by Lanitis Groups’ subsidiary, is intended to provide one-third of the Muskita’s power demand. It covers a 13.5 thousand sq meter area, and has a capacity of 2.5 megawatts.

The net billing regime was enacted in Cyprus in 2018. It was meant to secure grid operators from outflow of funds to PV plants with a capacity ranging from 10 kilowatts up to 10 megawatts. 

Commercial and residential solar plant owners qualify for the program in case the power supply from their PV facilities does not exceed 80 percent of their yearly electricity demand. However, the capacity can reach 100 percent if the solar plant is equipped with battery storage.

Consumers are billed for electricity from power grid at retail tariff. For the extra power they supply back to electrical grid, they get a credit at the so called ‘avoidance cost’ price. The latter is meant to reflect the economy provided to the state by avoiding the need to produce fossil power. 

The target of net billing is to secure grid operators from financial expenses. In case a solar plant generation exceeds the electricity demand of its owner during 2 months, the credit is prolonged for the following billing period. However, it will be cancelled during the year due to limitations for power generation by eligible solar facilities. If the power injected to electric grid exceeds the amount consumed, this excess doesn’t secure credit. 

Tax is imposed on the energy used by prosumers under billing program. It concerns both the electricity consumed from power grid or self-generated. As well, they are charged for using the network.