Global warming and the change in the global patterns of rainfall have added the risk of desertification in Cyprus. This, combined with a substantial demand, creates a water stress situation, expected to become even more acute in the future. While the abovementioned factors increase the uncertainty about future water availability, at the same time the desire in improving the urban water environment, through a sustainable integrated urban water management is growing and the need for a paradigm shift is becoming more evident.
The project aims to support the Ministry of Finance in the addressing existing challenges for water reforms moving towards sustainable water management: focusing on supply and demand management, modernizing the financial and institutional framework, achieving compliance with the EU Water related Directives, and defining a viable strategy for irrigated agriculture in line with sustainable aquifer management.
To serve the above scope, the subject of this project includes the following tasks:
- Analysis of the current relevant legal and institutional framework, incl. assessment of compliance by existing management and operational entities/authorities
- Analysis of the current operational and financial performance and position of existing management and operational entities/authorities
- Analysis of the industry trends and key developments relevant to the Project, in particular those observed in Europe, Middle East, Africa
- Analysis of the Water Supply and Sewerage Services’ sector in the EU, with particular reference to the countries having similar characteristics with Cyprus.
- Analysis of possible actions to be undertaken by the Government for effectively alleviating the obligation, at minimal cost, of purchasing water from private desalination plants.
- Recommendation of alternative ways of supplying water (including alternative water sources) to high water consuming areas or important areas, such as tourist areas.
- Recommendation of methods to improve efficiency of water allocation to specific uses, such as agriculture and husbandry.
- Identification, analysis and assessment of measures aiming to improve the operational and the financial performance of the Water Supply and Sewerage Services in Cyprus
- Identification, analysis and assessment of measures aiming to bring the Water Supply and Sewerage Services in Cyprus in a position that will sustainably comply with relevant laws and relevant operational requirements
- Conduct of meetings with stakeholders and evaluation of their views and suggestions regarding the Performance Improvement Measures and the Compliance Measures being analysed.
- Recommendation of specific Performance Improvement Measures and Compliance Measures
- Analysis of the structuring options regarding a possible investment by/ cooperation with a strategic partner/investor
- Submission of a duly substantiated recommendation of the most beneficial Structure Method for the Government.
- Identification and commenting of the risk factors relating to the implementation of the recommended Structure Method, and preparation of suggestions for their mitigation.
Cyprus Ministry of Finance