Cyprus Electricity Market: Monthly Report-March 2026

This report analyzes the performance of the competitive electricity market in Cyprus during March, focusing on price formation in the Day-Ahead Market (DAM) and trading activity in the Forward Market (FM). The average Market Clearing Price (MCP) reached €190.58/MWh, the highest since market launch mainly due to increased fuel costs driven by geopolitical tensions. The results highlight significant price volatility, with zero prices during midday due to high PV generation and price spikes in the evening driven by increased demand and reduced RES availability. Overall, price formation is determined by the interaction between RES generation, residual load, and system flexibility. Furthermore, the methodology developed by the PHAETHON CoE promising results and previously applied to European electricity markets was also implemented in the Cypriot market for DAM forecasting yielding promising results.