Hotels and tourist accommodation operating without a licence could get more time to comply with the law, as the House Commerce Committee discussed on Tuesday another extension of the transitional period they were granted. MPs who oppose the move said parliament has already given four extensions and had committed not to grant another, while state services told the committee that very few operators have come forward.
Committee chair cites support for tourism
House Commerce Committee chairman and DISY MP Nikos Georgiou said after the session that extending the licensing deadlines for hotel units is a necessary and substantive intervention to support tourism, which he described as a key pillar of the Cypriot economy.
“The aim is to allow reasonable time, as part of a final effort, for completing the legal licensing procedures for hotels and tourist accommodation, without penalising businesses for delays and bureaucratic obstacles that are not solely of their own making,” he said.
“The negligence and inadequacy of state services over decades have created distortions and accumulated backlogs, which businesses are now called upon to deal with. The extension, however, cannot serve as an excuse for perpetuating the problem. It must be used as a genuine opportunity for a definitive resolution of the outstanding issues, with specific timetables, effective coordination of the competent services and a clear obligation to comply,” he noted.
“We support entrepreneurship and the competitiveness of our tourism product, with the self-evident precondition of compliance with the law and ensuring the safety of visitors and workers. We need a state that facilitates legal entrepreneurship, takes on its responsibilities and provides solutions, not one that reproduces the problems it allowed to accumulate,” he stressed.
Charalambidou points to fire service and ETEK findings
ALMA MP Irene Charalambidou said it was unthinkable that, after parliament had already granted four extensions and committed not to give another, there are still accommodations that are dangerous for both tourists and Cypriot citizens.
“The Fire Service cannot come and tell us that only 12 accommodations have submitted applications. The Cyprus Scientific and Technical Chamber (ETEK) cannot come and tell us that 54 rooms must be demolished and that staircases have been built on beaches, and that for this reason they are not submitting an application,” she said.
Concerns over Legal Service consultation and pending Supreme Court referral
Charalambidou also criticised how the matter reached parliament. “Worst of all, the ministry cannot, in order to get out of a difficult position, shift the issue onto the House, with colleagues preparing a proposal, while the Deputy Ministry distances itself from safety issues and tells us it is not taking responsibility and that we MPs should carry it instead,” she said.
She added that the Legal Service indicated it had not been consulted at all, given that there is also a referral by the President of the Republic to the Supreme Court, due to be heard on 11 November, concerning exactly the same issues.
“Is it possible that we are playing with people’s safety, that we are continuing a dangerous situation, that we have given four extensions and want a fifth? Where is the state, where are the state’s institutions to enforce the framework for protection? The Fire Service was clear, and ETEK’s positions were clear. There cannot be illegal and legal operators, with unfair competition between the illegal and the legal ones.
“They had a great many years to fix the situation, and they did not. Parliament will not carry the burden in the event of an accident, with everyone pointing the finger at parliament while the government keeps itself out of it. We understand that there are elections, we understand that it is very important to be on good terms with everyone, but this matter is the responsibility of the government, not of parliament,” she stressed.
Laouris questions decades of reliance on extensions
Direct Democracy MP Yiannis Laouris said it is unacceptable that, in his words, eight out of 10 hotels in Cyprus have been operating illegally for decades, while this is regarded as the island’s main source of income. He warned that a single accident could see the country referred to an international court and its entire economy collapse.
“It is not possible that all hoteliers, whether they have a minor or a major irregularity, have not tried to resolve the problem for decades, relying on the tolerance of the state and parliament that they will be given an extension. Today we are discussing the fifth extension they are asking for in order to apply to become legal, and from the last extension until today only 12 of the 700 illegal ones have done so,” he said.
“These temporary solutions are wrong and Cyprus must understand that we have to stop turning a blind eye. Cyprus cannot be held captive. Cyprus must take off, and those who are ready should take off with the Cyprus of the future, while those who are not ready should close down. Hoteliers must also finally understand that there are the serious, legal operators, and there are the others, who are stowaways. We must open our eyes and put an end to this tolerance,” he said.
