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Cyprus Commits To Comprehensive Waste Site Rehabilitation Amid EU Pressure

Turning a New Page in Waste Management

Cyprus is embarking on a definitive turnaround in its waste management practices, with the government prioritizing complete adherence to EU legislation after years of deviation. Following the successful restoration of 52 uncontrolled waste disposal sites in Paphos, Larnaca, and Ammohostos, the focus now shifts to ongoing challenges in Nicosia and Limassol.

Restoration Progress and Persistent Issues

Before 2013, 123 such sites were identified, all of which were decommissioned except for two: Kotsiati (Nicosia) and Vati (Limassol). Both sites ceased accepting waste in 2019. While the restoration of the 52 sites in Paphos, Larnaca, and Ammohostos is completed, procedures are underway for an additional 71 sites—24 in Nicosia and 47 in Limassol.

EU Enforcement Measures and National Commitments

Despite discontinuing operations at these sites, full rehabilitation has not yet been achieved. As a result, the European Commission has escalated the issue by referring Cyprus to the Court of Justice of the European Union, threatening financial penalties for failing to implement the Court’s 2013 directive on the Health and Landfill Waste Directive. The Commission stresses that repeated delays in meeting compliance deadlines continue to jeopardize public health and the environment.

Strategic Blueprint and Budget Allocation

According to plans approved by the Ministry of Agriculture, Rural Development, and Environment, the country is set to rehabilitate 71 sites in Nicosia and Limassol with an allocated budget of approximately €70.8 million. The pace of restoration varies with the complexity of each site. In Nicosia, the largest site at Kotsiati is already underway with a target completion of February 2026, while the remaining 23 sites are slated for completion by April 2026.

Complexities in Limassol and Extended Timelines

Limassol presents the most challenging segment, with 47 sites requiring extensive work. For 19 of these locations, project initiation is expected in early 2026, aiming for summer 2027 completion following delays chiefly due to refugee-related setbacks. The Vati site, along with 27 smaller sites, faces additional complications stemming from the necessity of constructing new infrastructure, including sludge tanks, pump stations, and systems for recovered water utilization. The full suite of projects, including supporting irrigation and storage systems, is projected to conclude by June 2029.

Detailed Contractual Timelines and Future Milestones

The restoration work in Nicosia involves contracts awarded under the supervision of the Technical and Administrative Unit (TAU). The contract for the Kotsiati site was tendered in September 2021, awarded in June 2022, and commenced in August 2022 with a 24-month completion period, aside from ancillary bioenergy projects. For the additional 23 sites in Nicosia, the contract awarded in December 2023 is now expected to finish by April 2026, following a minor extension.

In Limassol, the restoration of 19 sites will progress following the resolution of an appeal process regarding the tender, with operations estimated to begin in early 2026 and completion set for mid-2027. The contract for the Vati site will occupy a prolonged timeline, with final milestones for waste transfer and auxiliary infrastructure anticipated by February 2028 and full completion by June 2029.

Government Assurance and EU Compliance

Despite facing significant technical challenges—especially at Vati—Cyprus remains steadfast in its commitment to laying out a rigorous plan to resolve long-standing issues. This includes addressing legacy delays due to unforeseen complications involving existing sludge storage tanks near the Vati site, which required additional engineering studies and adjustments.

The government emphasizes that meeting these deadlines is critical to avoid further EU sanctions and to end its negative record in waste management. Funded through the Cohesion Policy Programme THALEIA, the projects reflect Cyprus’s commitment to environmental sustainability and responsible waste management.

Regular updates have been provided to the European Commission, detailing the comprehensive action plan and progress measures to ensure that the revised timeline is strictly met, with a key milestone for compliance with Directive 1999/31/EC at February 2028.

Cyprus Economy Outperforms EU Benchmarks With 4.5% Quarterly Growth

The Cypriot economy recorded an impressive 4.5% year-on-year growth in the fourth quarter of 2025, according to preliminary estimates from the Statistical Service. This performance represents a notable acceleration, with a seasonally adjusted quarterly increase of 1.4% compared to the previous period.

Quarterly Performance Surpasses Expectations

Based on Eurostat data, Cyprus has significantly outpaced its European counterparts. While the Eurozone achieved an average growth rate of 1.3% and the European Union registered 1.5%, Cyprus clearly outperformed both. Such robust quarterly performance underlines the nation’s strategic economic positioning amid global market uncertainties.

Full-Year Projections And Fiscal Discipline

For the entire year 2025, growth is forecasted at 3.75%, exceeding earlier predictions from the Ministry of Finance and several domestic and international agencies, which had estimated an increase between 2.9% and 3.5%. This optimistic projection is supported by a low inflation environment and conditions of near-full employment.

Sustainable Growth Amid Global Uncertainty

Despite increased international volatility, Cyprus continues to demonstrate a resilient economic dynamic. Experts assert that a commitment to prudent and disciplined fiscal policies will bolster the nation’s ability to maintain medium-term growth rates above 3%. This strategic approach offers a strong competitive edge, much like other success stories in high-growth markets where sound economic management has proven vital.

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