Five employees at the Electricity Authority of Cyprus (EAC) are being investigated for spending an incredible 10 million Euros on rotting electricity poles in a probe spanning three different countries, according to statements from the EAC and Green Party Cyprus.

The police have been criticised for the slow pace of their investigation, which was triggered by the Green Party at the beginning of the year. Various allegations are floating around in the media, including one that the minister of justice has a conflict of interest in the matter.

Minister Ionas Nicolaou answered the rumours, saying that he was the lawyer for VEX, the Greek company under investigation, in 2004 when he had no involvement in the government. He denied being involved in the tender process, or the decision to award the EAC contract to a particular company. Nicolaou said that the attempts to link him to the scandal were a ‘malicious witch hunt’.

The police said the investigation was almost finished and would be going to the attorney-general’s office soon.

Electricity prices have been held so unreasonably high in Cyprus that this issue is probably the tip of the rotting electricity pole. Whether they are a result of inefficiency and corruption adding to the EAC’s costs being passed onto the consumer, or due to indirect tax collection by the state, which has an effective monopoly over electricity supply to the mass market, the prices were around double the EU average between 2007-2015. When vulnerable groups get a ‘discount’ on their bills, ironically, they are just paying the EU average for electricity, which can’t be termed a good deal for people who struggle to have a normal life.

There are so many issues to deal with; non-transparent billing with confusing multiple tiers; 19% VAT (the full whack); unhelpful service; no viable choices; a slow-to-crawling pace of reform; and constant profit taking from the market. Complaints about the EAC range from having to borrow money to pay the electricity bill, to receiving unbelievably high bills for no good reason.

It is all taking its toll on the economy, with businesses often struggling with the electricity bill overheads impacting profits and cash flow.

And now, there’s an expected cost of replacing the damaged poles of 24.5 million Euros.

When will the EAC be run in a competent and business-like way with the consumer front-of-mind?