EU ministers reached agreement on the Council's general approach on a legislative proposal on transport as part of the "Fit for 55" package at the EU Transport Council meeting held on Thursday in Luxembourg.
In a statement on Friday, Transport Minister Yannis Karousosos spoke of a "historic moment" as the package includes the development of alternative fuel infrastructure, noting that Cyprus' initiatives and proposals have been adopted and included in the legislative texts under discussion, such as the SAF subsidy mechanism and the specific exemption for Cyprus regarding alternative fuel infrastructure.
"Although as a country we will have the most significant impact on the economy and air transport," he noted, recalling that the package includes the development of alternative fuel infrastructure.
In particular, according to a statement transmitted by the GTI, the Transport Ministers reached a general approach on the Proposals for a Regulation on Alternative Fuel Infrastructure (AFIR) and on the "ReFuel EU Aviation" initiative, which aims to ensure a level playing field for sustainable air transport, and exchanged views on the EU guidelines for the development of the trans-European transport network.
In his intervention on the AFIR, Mr Karousosos referred to the national action plan for electromobility adopted by Cyprus, adding that the target remains that by 2035 100% of new vehicle registrations will be electrified.
In his intervention in the discussion on "ReFuel EU Aviation", Mr Karousosos referred to the evaluation of the economics of the proposals in Cyprus, which was done through a tool now used by IATA, airlines in Europe, Airport Council International and some member states.
He said the cumulative impact on Cyprus' gross domestic product is expected to be eight times higher than the EU average, causing a 40% to 50% increase in air ticket prices, a 15% to 20% reduction in tourism revenue and a 1.75% reduction in GDP, as well as the loss of up to 10,000 jobs, 2.5% of jobs in Cyprus. The measures, he said, will also affect European competitiveness, and recalled that Turkey bans overflights to Cypriot airlines.
He welcomed the extension of the definition of sustainable aviation fuel (SAF) and synthetic fuels, the exemptions for aircraft refuelling and the extension of the transition period, but noted that the changes would affect the competitiveness of some regional airports and create an uneven playing field.
According to a statement, the French Presidency acknowledged the specificities of regional and island EU member states, and said that these specificities should be taken into account.
In the context of the afternoon debate on trans-European transport networks, Mr Karousos said that the extension of corridors to neighbouring or third countries should take into account the clear distinction in terms of transport policy between these countries and EU member states. Noting that the deadline for the completion of the Central Network by 2030 is considered ambitious, the Transport Minister stressed that it should be taken into account that Cyprus' economic potential is limited.
At the working lunch, the ministers discussed the impact of the Russian invasion of Ukraine on infrastructure and transport, with Karousos recalling that from the beginning Cyprus condemned the invasion and joined the other partners.
Source: CNA
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