Transport Minister Evi Tsolaki has asked parliament for time until the end of the year to present a comprehensive proposal for developing Larnaca’s port and marina. She reaffirmed the government’s intention to assign the project to the Cyprus Ports Authority (CPA).
The House Transport Committee returned to the issue after its previous session, at which the Law Office of the Republic said the marina and its land area are state property and that a tender is needed to develop them.
Tsolaki told the committee that the President’s commitment for the CPA to carry out the project, based on the agreed roadmap, still stands. “We will come back with a comprehensive package,” she said, if given until the end of the year.
The planned public consultation will last a month, but she intends to ask the cabinet to speed up the process to limit delays, she said. She will also meet the Commissioner for State Aid Control very soon, as any decision will need that office’s approval. She added that she is in daily contact with the Law Office, the CPA and Larnaca Mayor Andreas Vyras.
Possible legal challenge
The session focused on the possibility of fresh legal action that could affect the project. Parliament members and Vyras asked whether a possible appeal by Kition could lead to the port and marina development being suspended.
Kition Ocean Holdings, which did not complete any major port or marina works during its two-year management period, has demanded 37,707,696 euros as a termination payment, claiming the termination of its contract was illegal. The state reportedly does not recognise the claim.
The Law Office’s legal opinion lists a possible appeal among the risks, but does not set out what it would mean for the project. Asked about it, the Law Office said it had not examined that scenario.
Speaking after the session, Tsolaki dismissed talk of possible legal action as speculation, saying neither the government nor the ministry has any evidence so far that such a move is imminent.
Redacted legal opinion
Part of the Law Office’s opinion was sent to parliament with sections redacted. AKEL parliament member Andreas Pasiourtides voiced strong concern that members do not have access to the full opinion, and asked for the redacted sections to be examined behind closed doors.
The Law Office rejected the request, saying the sections are not related to the project’s progress and that disclosing them could put the Republic’s legal position at risk if court proceedings arise.
The 22 October meeting
The Transport Ministry’s director-general, Marina Ioannou Hasapi, faced sharp criticism over a meeting in her office on 22 October with Law Office representative Rena Papaeti, held while the committee was discussing the port and marina. Papaeti, who had been called to attend the session, missed much of it and arrived shortly before it ended.
Hasapi rejected suggestions that the meeting was deliberate or connected to the parliamentary discussion. “It bothers me that people thought I called Ms Papaeti to my office on purpose,” she said, adding that they had discussed an entirely different matter. Each official is responsible for scheduling their own commitments, she said, and the minister had not known about the meeting.
A Law Office representative firmly rejected claims of ulterior motives in its handling of the opinion, saying the service had acted strictly within its remit. “We did not remember, two and a half years later, to block a project,” the representative said.
Larnaca’s response
Despite the outstanding questions, Vyras and Larnaca’s organised bodies appeared willing to give the minister more time, acknowledging that steps had been taken in the right direction. They expressed cautious optimism that there would be substantial progress by the end of the year.
Vyras stressed the need for a clear and realistic timetable, saying the solution chosen must be comprehensive and cover both procedural and legal issues. Larnaca needs to know whether the solutions being considered will allow the project to go ahead as agreed, he said.
The House Transport Committee plans a site visit to Larnaca port, expected between mid-December and early January.
