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Factsheet for measure CY-2022-12/3021 – measures in Cyprus

Grant for energy upgrading for local authorities and public sector bodies

Παροχή χορηγιών για ενθάρρυνση της ενεργειακής αναβάθμισης από Αρχές Τοπικής Αυτοδιοίκησης και από φορείς του ευρύτερου δημόσιου τομέα

Country Cyprus , applies nationwide
Time period Temporary, 16 March 2022 – 31 December 2023
Context Green Transition, European Semester
Type Legislations or other statutory regulations
Category Promoting the economic, labour market and social recovery into a green future
– Support for spending, stimulus packages
Author Loucas Antoniou (INEK) and Eurofound
Measure added 31 January 2023 (updated 21 March 2023)

Background information

The aim of the Grant provides financial incentives, in the form on non-repayable financial aid, to encourage implementation of energy upgrading investments by local authorities and public sector bodies. In particular, the aim is the extensive energy efficiency of building infrastructures of local authorities and public sector bodies that will contribute to the achievement of the national Renewable Energy targets and energy savings. Legal base of the Grant is the Law for the Promotion and Encouragement of Renewable Energy (N112(I)/2013) and the decision of the Cabinet of 16 March 2022. The Grant is also included among the measures of the Cyprus’ Recovery and Resilience Plan.

Content of measure

Beneficiaries of the Grant are local authorities, partnerships of local authorities and legal persons governed by public law. Entities involved in economic activity and/or investments implemented in infrastructure used in the context of an economic activity are excluded from the list of beneficiaries.

The ultimate aim that should be achieved is the converting of buildings into 'buildings with almost zero energy consumption', with a minimum of 30% reduction, that comply with the criteria set out in the relevant Decree issued by the Ministry of Energy, Trade and Industry. The building’s energy performance certificate before the upgrading shall be submitted along with the recommendations of an independent expert in the field. Upon the final payment request, the energy performance certificate after the upgrade shall be submitted anew documented by the expected annual percentage reduction of primary energy and the expected results of energy savings of final use in kWhr.

The amount of the grant covers 100% of the eligible costs of the investment excluding VAT. Proposals should involve investments of a minimum total amount of €10,000. The total maximum "Final Sponsorship Amount" is €700,000 per application. The "Final Sponsorship Amount" in total cannot exceed the 110% of the "Approved Proposal Amount".

The budget of the Grant is €9 million that may be increased by the resources of the Renewable Energy Fund. The amount of €3 million is committed exclusively for use by the Commune Councils.

Use of measure

Not available.

Target groups

Workers Businesses Citizens
Does not apply to workers Sector specific set of companies
Does not apply to citizens

Actors and funding

Actors Funding
National government
European Funds
National funds
National Recovery and Resilience Facility

Social partners

Social partners' role in designing the measure and form of involvement:

Trade unions Employers' organisations
Role No involvement No involvement
Form Not applicable Not applicable

Social partners' role in the implementation, monitoring and assessment phase:

  • No involvement
  • Main level of involvement: N/A


The designing of the grant scheme has been performed by the Ministry of Energy, Trade and Industry and upon the decision of the members of the Cabinet; no social partner or political party has been invited to participate in any kind of consultation. Similarly, social partners and political parties have no involvement in the implementation of the grant. The Coordination agency responsible for the implementation of the grant is the Directory of Recovery and Resilience of the Ministry of Finance.

Views and reactions

No particular reactions have been recorded by social partners or political parties in regards to the issuing of the Grant and/or the content.

Sectors and occupations

    • Economic area Sector (NACE level 2)
      O - Public Administration And Defence; Compulsory Social Security O84 Public administration and defence; compulsory social security

This case is not occupation-specific.


  • 16 March 2022: Σχέδιο χορηγιών για ενθάρρυνση της ενεργειακής αναβάθμισης από τις αρχές τοπικής αυτοδιοίκησης και φορείς ευρύτερου δημόσιου τομέα (


Eurofound (2023), Grant for energy upgrading for local authorities and public sector bodies, measure CY-2022-12/3021 (measures in Cyprus), EU PolicyWatch, Dublin,


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Disclaimer: This information has not been subject to the full Eurofound evaluation, editorial and publication process.