in-cyprus 14 September 2024
MEP Kostas Mavrides (DIKO – S&D) has questioned the European Commission about the legality of a clause in a 2016 agreement concerning Cyprus’s ports, as emerged on Friday.
The clause, part of a deal for private management of Limassol port, requires state compensation if commercial activities at Larnaca port exceed 900,000 tonnes annually.
Mavrides revealed that in 2023 alone, €3.354 million was paid to the managing company under this provision.
He argued that this arrangement “not only fails to serve the public interest but also restricts the growth of the Larnaca port’s operations.”
The MEP highlighted that Cypriot authorities, including the Audit Office, Law Office, and Commissioner of State Aid Control, had previously expressed reservations about the clause.
He noted that the European Commission was not informed of this provision, as required under EU law.
Mavrides has asked the Commission to clarify whether the clause violates EU state aid and competition laws. He expressed surprise that the EU did not initially evaluate the legality of such a provision.
