The End of Net Metering: Cyprus Self-Consumption (Net Billing) in 2026

From 1 January 2026, Cyprus closed net metering and net billing to new applicants and replaced them with a single self-consumption framework. If you're considering solar now, this is the single most important change to understand — it reshapes the economics of the investment.

In one sentence: you no longer net off exported energy 1:1 against imported energy at retail price. You pay the retail rate for whatever you draw from the grid, and you're paid the (lower, variable) market price for any surplus you export. So the value shifts from exporting to self-consumption — using your own generation the moment you produce it.

Net metering vs Net billing vs Self-consumption — the difference

Scheme	How it counts surplus	Export price	Status from 1/1/2026
Net metering	1:1 kWh offset against consumption, annual basis	Retail (de facto)	Closed to new applicants
Net billing	Separate import charge / export credit	Wholesale / market price	Closed to new applicants
Self-consumption (2026)	Emphasis on real-time self-use; surplus is exported	Variable market price	Applies to new installs

In practice the new self-consumption framework behaves like net billing: the energy you sell to the grid earns far less than you pay to buy it back.

I already have solar — am I affected?

Not directly. Anyone with an existing active net-metering or net-billing contract keeps their terms (grandfathering) until the contract expires. The changes apply to new applications from 2026 onward.

What to watch:

When your contract expires. At expiry you'll move to the new self-consumption framework — consider adding a battery before then.
If you filed a DSO connection application by 31/12/2025, you may still fall under prior terms or open grants — confirm with your installer and EAC.

How exported surplus is paid now

Energy you export to the grid is no longer credited at retail. It's paid at the variable market price, which is materially lower than the retail price you pay when buying electricity.

Indicative, not guaranteed: for planning we use a range of ~€0.12–0.18/kWh for exports, variable. The exact figure depends on the prevailing CERA decision and the market price. Always confirm the current rate in CERA announcements and at EAC before deciding.

Compare: a retail price of ~€0.24–0.28/kWh (Tariff 01) that you avoid when you consume your own generation, versus ~€0.12–0.18/kWh that you earn when you export it. Every kWh you self-consume is worth roughly double every kWh you sell.

Curtailment & Cyprus's isolated grid

Cyprus is the only EU member state without an electrical interconnection to another system. When RES generation exceeds demand (typically midday at low consumption), the TSO (ΔΣΜΚ) curtails household solar to keep the system balanced.

What it means for you:

You lose generation during curtailment hours — energy you could have used or exported.
Zero-export mode: you can request operation where the system doesn't feed the grid and uses generation purely for self-consumption — avoiding curtailment, at the cost of the (already small) export payment.
Battery: store the midday surplus and use it in the evening, rather than "spilling" it to curtailment or selling it cheaply.

Why batteries change the equation now

Under old net metering the grid was effectively your "battery": you fed surplus in summer and pulled it back 1:1 in winter. Self-consumption ends that. Now every kWh you don't consume as you generate it is sold cheaply (or lost to curtailment).

A battery:

Raises your self-consumption rate from ~30–40% (solar only) to ~60–80%.
Covers you during curtailment and evening peak hours.
Changes optimal sizing: often a smaller PV array + a battery outperforms a large array with no storage.

For battery cost, sizing and payback, see the batteries guide.

Planning an install in 2026? — What to do

Size to your consumption, not your roof. Under self-consumption an oversized array that exports a lot is less worthwhile. The rule of thumb shifts slightly downward.
Seriously consider a battery or, at minimum, a hybrid inverter so you can add a battery later without swapping equipment.
Check the grants — "Save & Upgrade Homes" (Εξοικονομώ – Αναβαθμίζω) covers PV and storage. See: All 2026 energy grants.
Run the numbers before signing. Use the free estimator to see generation, self-consumption and payback under the new rules, and choose an installer from our curated list.

Common misconceptions

"Solar is dead in Cyprus." No — solar remains one of the shortest-payback investments. What changes is how you capture the value (self-consumption instead of offset).
"They'll pay me what I pay them." No — exports are paid at market price, far below retail.
"A battery is a luxury." Under the new framework, the battery is often what makes the numbers work — not an accessory.

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