A new Audit Office report has delivered scathing criticism of the Department of Forests’ procedures and handling of four contracts for projects implemented under the Sustainable Development Plan for Akamas National Forest Park.
The report reveals a concerning picture of cost overruns, unjustified delays, legal violations and complete absence of proper administration. Despite the project being co-financed with European resources from the “THALIA 2021-2027” Programme worth €16.5 million, the Department of Forests’ management constitutes an example to avoid, according to auditors.
“The audit findings highlight shortcomings and omissions by the Department of Forests that led to delays, additional costs, and failure to safeguard the public interest,” the report states.
The first phase concerning infrastructure management for the park’s 14 nodes exemplifies the failures. Initial costs were estimated at €2.8 million but have soared to €6.589 million, an increase of 135.3%. This phase remains incomplete.
Despite the contractor’s evident failures to meet contractual obligations, the Department of Forests did not proceed with timely contract termination, allowing accumulation of additional claims worth approximately €500,000. It also lost the opportunity to liquidate guarantees worth €1 million, causing direct damage to public finances.
Illegal practices and legal violations
The Audit Office identified numerous legal and administrative irregularities. In many cases, study assignments and supervision procedures violated legislation through negotiations without prior publication and without necessary prerequisites.
The department directly assigned project supervision to the same consultant who prepared the study, without open tender and without ensuring economy and transparency.
Infrastructure nodes without environmental assessment
Confusion continues regarding construction of the park’s 14 infrastructure nodes. The department announced contracts before securing necessary Environmental Assessment, causing drastic post-hoc study changes resulting in cost increases and significant delays (nearly 90% beyond contractual duration).
These changes brought additional expenses that were not competitively tendered, violating equal treatment principles and depriving the state of securing more favourable pricing.
Management incompetence
The Department of Forests is further accused of failing to submit critical documents to the Central Committee for Changes and Claims in timely fashion, with delays exceeding two years. This resulted in administrative costs, repeated postponements and complete dysfunction in contract handling.
The Audit Office found numerous erroneous decisions and absence of substantiated recommendations from the department, noting violations of critical legislative provisions that caused direct and indirect damage to the state.
Work at the National Forest Park has been suspended by Cabinet decision, confirming the project’s failure. The report concludes the Department of Forests failed to manage Akamas National Forest Park projects with transparency, legality and effectiveness, with serious economic, administrative and potentially environmental consequences requiring immediate institutional intervention.
