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Energy Minister Endorses Party’s Continued Role In Government Amid Political Tumult

Strong Support for Government Coalition

In a recent interview with Alpha TV, Energy Minister and Vice President of the Democratic Party (DK) Michalis Damianous made his position unmistakably clear: the party must remain in the government and coalition. His remarks came during an interview with Nikos Neokleous, amidst an environment charged by political controversies.

Political Challenges and Emerging Allegations

Notably, the interview was conducted prior to the unfolding political upheaval surrounding a discredited video and allegations of undisclosed financial contributions from businessmen alleged to benefit either the government or the state. These developments have cast a shadow of uncertainty over the current administration’s handling of complex issues.

Responding to Criticism

When pressed about the recent critical statements made by DK President regarding the management of the electrical interconnection—criticism documented in recent reports—Damianous reaffirmed his stance. He asserted that, as long as the agreed governmental program is on track, the DK must maintain its role in the coalition, a position further supported by the administration’s strategy as detailed in official communications.

Collective Decision-Making and Party Discipline

When asked about the potential scenario in which the DK might oppose his view, Damianous stressed that any decision regarding government participation will be determined collectively by the party’s governing bodies. He emphasized his commitment to upholding these collective decisions, while personally advocating for the party’s continued inclusion in the coalition. His pledge is clear: should the party resolve to exit the government following the controversies, he will adhere to the collective mandate.

Reevaluating Cost Projections

During the interview, Damianous also called for updated financial analyses concerning the electrical interconnection project—a proposal previously contested by Nikolas Papadopoulos, who cited remarks from European Commissioner Jörgensen. According to Damianous, the economic parameters used in earlier cost estimates are outdated, highlighting the necessity for a revised review as the project progresses over the years.

The interview underscores the delicate balance between maintaining political alliances and addressing accountability in the midst of evolving fiscal and governance challenges.

Cyprus Introduces €200 Million Support Measures To Cut Energy And Food Costs

Comprehensive Relief Measures For A Resilient Economy

The government of Cyprus introduced support measures exceeding €200 million to reduce household expenses and support key sectors. The package targets energy costs, food prices, tourism and agriculture. Measures come in response to rising costs and supply pressures. Implementation begins in April and May 2026.

Energy And Fiscal Reforms

The government will reduce VAT on electricity for households to 5% from May 1, 2026, to March 31, 2027. The measure is expected to lower energy bills. Special consumption tax on transport fuels will decrease by 8.33 cents per liter between April and June 2026. Policy targets fuel-related costs.

Broadening The Zero VAT Initiative

Authorities will expand the list of products with zero VAT. Meat, poultry and fish will be included from April 1 to September 30, 2026. Existing zero-VAT categories already include fruits and vegetables. The government also decided not to introduce a green tax on fuels, avoiding an additional cost of about 9 cents per liter.

Sector-Specific Supports

The package includes a 30% wage subsidy for hotel employees for April 2026. Measure supports tourism businesses during the early season. Support for airlines aims to maintain connectivity with key destinations. The agriculture sector will receive subsidies covering 15% of costs for fertilizers and supplies in April and May.

Economic Stability, National Security

President Nikos Christodoulidis said economic stability remains a priority for the government. He noted that growth, fiscal balance and inflation trends support current policy decisions. Statement links economic policy with broader national priorities. The government continues to monitor external risks.

Ensuring Consumer Protection

Furthermore, the government has mandated rigorous market oversight and intensified inspections to prevent exploitative pricing during this period of economic intervention. This proactive stance ensures that the benefits of the measures directly serve the citizens without unintended inflationary impacts.

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