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[PIO] Announcement of the Ministry of Energy, Trade and Industry regarding the announcements of the Trade Unions of AEK

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Instead of agitating for measures that further burden electricity consumers, such as the approval of additional jobs and their exclusion from the new Occupational Pension Benefit Plan, and instead of announcing measures that may cause unnecessary inconvenience to our fellow citizens, should use their experience to work with the Ministry of Energy, Trade and Industry (MoETI) and the Board of Directors (BoD) of the Agency to improve the practices followed in the AEC, to digitise, modernise, increase its productivity and performance, and thus lead it, as soon as possible, towards the new energy era.

The Ministry of Energy has pointed out several times that the continuous creation of new jobs is not the only or ideal answer to the problems related to the workload faced by the Authority, since it does not solve the need to modernise and optimise the Agency's operations, while it also increases its operating costs, having an impact on the prices that consumers have to pay. Among other things, the Ministry therefore recommended the modernisation and redesign of the entire cycle of submission, receipt, assessment, design, costing, implementation and inspection of applications submitted to the Authority. It also recommended the digitalisation and interconnection of these processes, the introduction of automation and intensive training of the Authority's existing staff in new technologies. Actions which should not only have been embraced by the Trade Unions, but should have been proposed and implemented by the Trade Unions themselves for the benefit of the Agency and its customers.

In addition, it is worth noting that while in previous years positions were approved and allocated to AHK for staffing the Agency, so as to strengthen the distribution and transmission activities, in order for AHK to carry out the required network upgrade works, these positions ended up in other activities, leaving the transmission and distribution activities understaffed.

With regard to the allegations of alleged inaction by the Ministry on the Dhekelia power plant issue, the Ministry notes that AEK has full autonomy in making decisions affecting its ability to operate successfully within the competitive electricity market, and that AEK has sole responsibility for the investment decisions it takes. Nevertheless, we have cautioned AHK in various ways that an acceptable degree of dispersion of the country's electricity generation capacity should be ensured and asked it to ensure, through its development programme, that it has sufficient electricity generation capacity, noting the excessive build-up of critical infrastructure in the Vasilikos area.

It may be recalled that AHK decided to install the sixth unit at the Vasilikos Power Station instead of the Dhekelia Power Station, despite our Ministry's urgings in the opposite direction at the time. In any case, the Hellenic Ministry of Electricity not only did not hesitate on the Dhekelia issue, but also held meetings and consultations with all the competent authorities in Cyprus and with the European Commission, with a positive outcome. In addition, the State had secured derogations from the application of European directives by granting free allowances for pollutants to AHK for ten consecutive years in order to give the Agency the necessary time to carry out investments to reduce emissions and replace polluting generators. Therefore, on this issue as well, the positions of the trade unions only damage the whole effort to solve the problem.

With regard to the Agency's involvement in renewable energy sources (RES), the Ministry has supported AHK in this area from the outset. To this end, the Ministry of Energy and the Board of Directors of AHK cooperated and jointly submitted to RAEK a plan for the development of RES systems by AHK. The issue of the gradual withdrawal of obsolete and polluting conventional generation is an obligation not only of AHK, but also of the Republic of Cyprus, vis-à-vis the obligations arising from the European Green Agreement and, of course, should proceed in parallel with AHK's involvement in RES. Moreover, this is why the Ministry of Energy, in repeated contacts with the EAC, has raised the issue of the Authority's consideration of all new technologies, such as energy storage and hydrogen production and storage technologies, and has included the relevant funds in the Fair Transition Fund.

Finally, it is surprising how the AEC Trade Unions have concluded that there is no comprehensive energy policy and technical documentation behind the policies implemented by the Ministry of Energy. Have they never studied the integrated energy strategy summarized in the National Energy and Climate Plan for 2021-2030? A strategy that lists specific targets, policies and measures for electricity, gas, renewable energy (electricity, heating/cooling, transport), energy saving and energy efficiency of buildings. A strategy implemented on the basis of specific and costed measures decided after a number of specific studies, with technical assistance from the European Commission and with a view to maximising the benefits of these measures.

At the moment, our integrated strategy is hindered from being implemented smoothly, due to the lack of action on the part of AHK for many years to upgrade, expand and digitalise the country's electricity grid.

At the moment, our integrated strategy is hindered from being implemented smoothly, due to the lack of action on the part of AHK, for many years, to upgrade, expand and digitalise the country's electricity grid. Since 2014, when the study for the installation of smart meters was prepared by the AEC, the installation work is yet to begin, despite repeated pleas from the Ministry of Electricity over the years for the Agency to proceed immediately with the digitization and modernization of the grid. In fact, in order to support AHK, the MoEEB included in the national Recovery and Resilience Plan 'Cyprus_Tomorrow' and in the Fair Transition Fund, funds for investments needed in the grid to support the green transition.

(GA)
Contents of this article including associated images are owned by PIO
Views & opinions expressed are those of the author and/or PIO

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