With a request to the EU to review the package of 133 reform and investment measures, which include 2 71 milestones, and are prerequisites for Cyprus to receive the €1.2 billion from the Recovery and Resilience Mechanism, Cyprus is proceeding. In particular, as conveyed to the Brief by the General Directorate for Development, approximately 50 of these 133 measures will be amended., as the new conditions that were formed brought new data and objective difficulties for all the member states in terms of their implementation related both to the effects of the war and the energy crisis, as well as to new additional grants decided by the EU. Furthermore, this need was recognized by the EU which in January 2023 through a new regulation informed the member states how they can review the Recovery and Resilience Plans they drew up so that amendments to be made to them to deal with the new conditions arising from the energy crisis in Europe due to the war that broke out in Ukraine after the end of the pandemic.
An example of the above, the delays that inevitably arose in the implementation of the 18 total milestones for the disbursement of the second tranche amounting to €85 million, but also in the 30 milestones for the 3rd tranche, as the applications had to be submitted until December 2022 and until June 2023, respectively. Delays observed in, if not all, several other member states. As we are informedsome of the delayed milestones will be transferred to another tranche in order to release the sponsorship of the 2nd and 3rd tranches, with the deposit for their disbursement planned before the end of 2023.
At the same time, it should be noted that the goal of the modifications being made is so that Cyprus does not lose even one euro (which the President of the Republic himself requested)by the Recovery and Resiliency Mechanism, while the revision of the bill is expected to be sent to the Cabinet for approval soon. As we are informed, the draft plan has already been prepared.
These amendments include new energy projects amounting to €104 million, while at the same time it is proposed to remove €90 million of problematic projects that are experiencing delays. For all the rest andfor about 50 meters the General Directorate of Development proposed changes to the timetablesso that the Plan is more feasible in terms of achieving the milestones and so that no amount is lost. Essentially, based on the above Cyprus will finally receive an additional €14 million from the revision of the Plan
More specifically, Cyprus will be given an additional €104 million through a new additional sponsorship. €52 million through the RePower EU tool and another €52 million that will be used by transfer from the Brexit Adjustment Reserve.
source: Brief/Zakos Charalambos
