Licensing of activities related to electricity is regulated by the Electricity Market Regulation Laws and Licensed Regulations. This law and regulation can be found in the Legislation section.

According to paragraph (1) of article 34 of the Electricity Market Law, any person to carry out any of the following activities related to electricity must be first licensed by the Cyprus Energy Regulatory Authority (CERA) :
 
  • Construct a power station or generate electricity
  • To supply electricity to eligible customers
  • To supply electricity to non-eligible customers
  • To carry out any of the responsibilities of the Transmission System Operator in accordance with Article 60
  • Perform any of the responsibilities of the Distribution System Operator in accordance with Article 53
  • Perform any of the functions of the Transmission System Owner in accordance with Article 46; or
  • Perform any of the responsibilities of the Distribution System Owner in accordance with Article 51.

According to paragraph (2) of Article 35, CERA may grant an Exemption from License for the activities referred to in paragraphs (a) and (b) of subsection (1) of Article 34, under such terms and conditions determined by CERA. An exception may be granted for:
 
  • Production of electricity for own use up to 1MW
  • Production of electricity from renewable energy sources up to 5MW, or
  • Electricity supply by a specific person, the total power of which does not exceed 0,5MW for each plant.
According to paragraph (1) of Article 37, any Application for Submission shall be submitted to CERA in accordance with the rules provided in the Licensing Regulations.