The state’s losses from the non-payment of mooring fees are estimated at over €5 million, Members of Parliament reported to the Parliamentary Audit Committee, where they reviewed the relevant report by the Audit Office, referring to it as a “major scandal.”
In presenting the report, Audit Office official Haris Georgiou stated that the mooring areas are part of a private initiative, are smaller than marinas, have a capacity of up to 150 recreational vessels, and do not constitute official points of entry into the Republic. In 2018, by decision of the Council of Ministers, six mooring areas were granted in Pegeia, Alaminou, Ha Potami, Pachyammos, and Sofades, subject to the payment of annual fees ranging from €75,000 to €262,000.
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However, the economic operators who had been approved to develop the mooring areas requested a suspension of the fee payment until the necessary permits were issued.
The Deputy Ministry of Tourism sought an opinion from the Legal Service, which in 2021 ruled that the management license takes effect after the necessary permits have been secured, stating that the payment of the fee is an unconstitutional measure and proposing an amendment to the law.
“While the state does not collect a fee and is deprived of the ability to utilize the land, the applicant acquires related rights with economic value, adds value to their land, and obtains an object of economic transaction,” said the representative of the Audit Office.
Expressing reservations about the legality of not paying the fee, the Audit Office again consulted the Legal Service, which reiterated the same position, adding that the measure is “onerous and unconstitutional.”
A key finding of the Audit Office was administrative inaction regarding the effective licensing of mooring areas, the delay in legislative amendments, and the inadequate monitoring of economic operators’ obligations—all of which led to a loss of revenue for the state and resulted in the berthing areas remaining reserved, without being put to use.
Its recommendation was to amend the legislation to impose a differentiated, lower annual fee that reflects the economic value of the land being reserved and serves as a disincentive for economic operators to delay fulfilling their obligations.
Furthermore, it recommends that the competent authority propose to the Council of Ministers the revocation of berthing spaces that do not comply with their obligations and that there be a maximum time limit on how long an area may remain reserved without being utilized.
Furthermore, they noted that they had identified weaknesses in the draft amendment bill submitted for consultation on the matter in July 2026, noting that it proposes a flat annual fee of €10,000 for all spaces, until licenses are secured, with the Audit Office noting that this does not reflect the objective value of the properties, nor does it serve as a disincentive for economic operators.
On behalf of the Deputy Ministry of Tourism, Olga Theocharous stated that to date, no mooring facility has been operational, and she noted that current legislation does not allow the Deputy Ministry to take measures or to declare mooring areas off-limits.
He noted that in July 2026, the amendment bill was released for public comment, a process that will continue until September 15.
Responding to questions from Members of Parliament, he said that there are no contracts for the concession of mooring areas, only the decision of the Council of Ministers and a “draft management license, subject to terms and conditions,” pending the securing of the necessary permits.
A representative of the Land Registry stated that the amounts set as annual fees were determined by the Land Registry and pertain to the use of the land and the fill material. He noted, however, that these figures relate to earlier periods, while current values are even higher. He also informed the Members of Parliament that the Land Registry was not consulted regarding the setting of a flat annual fee of €10,000, as proposed in the proposed amendment bill.
A representative of the Legal Service stated that the Audit Office’s report considers the Legal Service’s opinion to be correct, noting that the Audit Office’s recommendations are also consistent with the opinion issued regarding the need to amend the law.
The Committee Chair, DIKO MP Zacharias Koulias, said in remarks following the committee meeting that this is a “huge scandal that does no credit to anyone in our country.” As he noted, maritime space is a valuable resource, and he pointed out that the mooring areas were granted under “vague and unclear terms.”
“They should have secured permits,” he added, noting that while they obtained the concession, they never paid for it. “We are in the early stages of this scandal. We have requested further information,” he said, noting that the discussion will continue at a future session.
DISY MP George Pamporidis, criticized the “inaction” shown by the Deputy Ministry of Tourism, noting that the need to amend the legislation was identified in 2023, the amendment was decided in 2024, the bill was finalized in 2025, and it was put out for public comment in 2026. “This is a complete failure on the part of the public administration to address these issues,” he said.
Furthermore, he noted that the Legal Service serves only as a legal advisor, and it is up to the Deputy Ministry to act as it sees fit. “The Legal Service’s position is treated as definitive. It is not. The responsibility remains with the principal,” he said, commenting that the beneficiaries are taking possession of state property without paying anything, “having secured a right of expectation for themselves.”
AKEL MP Christos Christofides, both during the Committee hearing and in subsequent statements, stated that this is “yet another major scandal in the making, indicative of the nature and conduct of the Anastasiades administration, as well as its successor, the Christodoulides administration.”
He added that many of the private individuals to whom the mooring spaces were granted “appear to have been in cahoots with the government in power at the time,” noting that the concession decision yielded significant financial benefits, particularly from the opportunity they were given—despite the ownership status remaining undefined to this day— “to transfer this national wealth that they acquired overnight through a political decision.”
Mr. Christofides said that the state has lost several million in revenue. “We have requested—and it has been unanimously decided—that the discussion continue. We have requested additional information regarding the decisions, as well as data from the Land Registry on how the land surrounding these mooring areas was transferred, shortly before and after the Cabinet’s decision, because we need to know whether, in addition to the land-grabbing scheme involving mooring permits, there was another scheme involving the purchase of land for investment purposes around these areas by people who may have known about these decisions in advance.”
He also added that throughout the entire process, the Office of the Attorney General played a “gray” role, which the Committee will attempt to clarify. He spoke of “unforgivable negligence” that deprives citizens and the nation and benefits “the few and the privileged.”
Responding to a question, he said that, in addition to the €5 million lost in fees that should have been paid, the losses to the tourism sector must also be taken into account, stemming from the fact that the mooring facilities have not been operational to date.
AKEL MP Nikos Kettiros, speaking before the Committee, stated that this constitutes “scandalous preferential treatment by the entire network of collusion, for the benefit of specific businesspeople, who were allowed to transfer and acquire wealth out of thin air.”
He noted that the areas where the mooring spaces were granted were remote areas consisting solely of farmland, which “obviously gained value.” He also pointed out that when refugees are given half a plot of land, if they do not put it to use within a certain period of time, it is taken back from them. “It’s been eight years since they laid a single stone at the settlement sites, secured the necessary permits, or even lifted a finger,” he said.
DIKO MP Chrysanthos Savvides said that most of the beneficiaries have built infrastructure on the water without undergoing environmental or urban planning reviews. He also noted that citizens are barred from accessing coastal areas within the mooring zones, as “these areas are considered their private property.”
The President of the Alma Movement, Odysseas Michaelides, referred to the relationships between the beneficiaries and officials. As he stated, in 2019 the Audit Committee had examined the exchange of a “hole”—a private plot of very low value—for a “prime state-owned property.” As he noted, the exchange was made possible based on an opinion issued by a specific prosecutor of the Republic, “who appears to have had a special relationship with that particular company and with a specific law firm.”
According to Mr. Michaelides, the same company is currently benefiting from an opinion issued by the same public prosecutor, along with five other companies, “and the state appears to have lost more than €5 million to date, due to a legal opinion that ruled—without consulting the Land Registry—that the concession of marine resources has zero value, and that imposing a rent would be destructive.”
During the Committee meeting, Mr. Michaelides also referred to the owner of another company among the six, who, he said, is “a close friend of the Attorney General.”
The discussion on this issue will continue, following the submission of the information requested by the Members of Parliament from the Deputy Ministry of Tourism and the Land Registry.
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Source: CNA
