PEC to invest €200 million in Cyprus energy market

The construction of the first private conventional power station by Power Energy Cyprus (PEC) is already underway and going according to schedule.

The company has ordered three SGT-800 gas turbines from Siemens which will be installed at the station.

According to the CEO George Chrysochos, this project is one of the biggest of its kind in Cyprus and is expected to contribute significantly to the further development of the country. The station will operate with modern combined cycle technology with three gas turbines that will use natural gas.

At the moment, he added, the contracts have been signed for the start of construction and installation of the machines that will have a productivity of 60 per cent, something that is expected to significantly reduce the energy costs of Cyprus. Based on current data and consumption needs, this station is expected to cover one third of Cyprus’ electricity demands.

PEC has also signed and accepted the network administrator’s preliminary connection terms for connecting to the national grid.

Regarding the progress of the works of the project so far, Chrysochos emphasised that all the earthworks have been completed on time, while the following have already been constructed:

• Fire protection tanks
• A storage tank for deionised and drinking water
• The pumping station at sea
• The management building
• Various warehouses

The design for the installation of the submarine, kilometre-long pipe that will transport water to the station has also been completed.

The plant is expected to be operational in the early part of 2023 and the cost of the investment will be covered by equity and lending by Cypriot banks to the amount of €200 million.

The company aims to use natural gas for electricity generation. The Natural Gas Public Company (DEFA) will need 24 months from the start of operations for the arrival of natural gas.