Paphos People

Further rise in cost of electricity in the new year, expert predicts

A rise in the cost of electricity is inevitable for Cyprus beginning in early February, due to the country’s reliance on electricity production from diesel, energy expert Charles Ellinas said.

Speaking on CyBC radio on Tuesday morning, Ellinas explained that the EU decision to ban imports of Russian oil products from December 5, will likely result in a shortage of diesel which will significantly drive up its price.

“It is very hard to import diesel from elsewhere,” Ellinas continued, “and diesel supply issues will affect us seriously.”

The cost of non-diesel petrol at the pump will also hit Cypriot drivers as, despite the EU’s recent $60/barrel price cap on Russian oil, the picture will change drastically once China re-enters the economy within the next months, Ellinas said.

Demand from China – the world’s biggest importer and consumer of oil – has been artificially low in recent years, due to its Covid response, Ellinas detailed. Once China’s economy is back in full swing, competition for fuel will drive up prices and it is already starting to do so.

Full story:- https://cyprus-mail.com/2022/12/20/further-rise-in-cost-of-electricity-in-the-new-year-expert-predicts/

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Dave
Moira And Dave

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