Gerald Butt/NICOSIA
The Cyprus Government has for the first time granted licences to private Cypriot carriers to operate scheduled as well as charter flights from the island.
In the first stage of a liberalisation programme designed to enable Cyprus to meet European Union requirements ahead of accession to the union, the government has granted licences to Cyprus Airways' charter arm Eurocypria to operate weekly flights to Rhodes, and to Helios Airways to introduce weekly services to Belfast, Dublin and Sofia. Both operators say they will be inaugurating the new routes before their summer 2001 season begins at the end of this month. A third licence has been issued to Aerotrans, but details about the carrier's plans have not been announced.
Licences for other operators and more destinations are expected to be announced in time for services to begin next year. But there are no signs yet that the national carrier, Cyprus Airways, is about to give up its monopoly on the lucrative scheduled routes between Larnaca and destinations in the UK.
In a further move towards greater liberalisation, the Cyprus Government has invited expressions of interest for the development and operation of Larnaca and Paphos airports at a total cost of around $320 million. As part of the concessions, offered on a build-operate-transfer style contract, the successful bidder will be required to construct passenger terminals at both airports, increasing annual passenger handling capacity at Larnaca from 4.9 million to 7.5 million, and at Paphos from 1.4 million to over 2 million.
Most major European airport operators had shown interest in the projects, prompting the government to establish a prequalification phase closing on 23 March, with a view to awarding tenders at the end of this year.
Source: Flight International
