FAMAGUSTA GAZETTE – President Christodoulides’ announcement last night of a reduction in the Value Added Tax (VAT) on electricity for domestic consumption from 19% to 9% is a welcome relief for many struggling households.
This decision, effective April 1 for one year, comes at a crucial time when the cost of living continues to rise, and families are feeling the financial strain.
We are all painfully aware that electricity in Cyprus is expensive compared to other countries.
As of June 2024, the residential electricity price in Cyprus was EUR 0.290 per kWh (USD 0.308). This rate is significantly higher than both the world average and the average price in Europe.
The reduction in VAT on electricity is a small step towards alleviating the burden on citizens, especially those who are most vulnerable.
In these challenging times, it is heartening to see the government taking proactive measures to support its citizens.