Hermes Airports upgrades Larnaca and Paphos Airports

Larnaca and Paphos airports

The operator of the two airports of Cyprus, Larnaca and Paphos, Hermes Airports and the ministry of transport, communications and works are considering plans to expand their infrastructure.

In order to be able to respond to the growing passenger movement due to tourism period, Larnaca and Paphos airports have to expand their infrastructure according to the Transport Minister in a statement on Thursday to the Press and Information Office website.

Marios Demetriades, the Transport Minister, says that should it be deemed necessary all steps to extend infrastructures will be taken even if Larnaca and Paphos airports are at present still in position to service travellers.

Government signed a new agreement with Hermes Airports for the regulating incentives offered to airlines. Marios Demetriades said that the government’s revenue from the operation of the two airports, Larnaca and Paphos, has been rising every year mainly on increased traffic.

According to Mr. Marios, the incentive scheme aiming at attracting airlines to the two airports, Larnaca and Paphos, had been particularly successful and led to an increase in traffic which in turn helped the economy.

Cypriot Tourism

Tourism accounts for roughly a quarter of the Cypriot economy which emerged in 2015 from a prolonged recession and expanded last year 2.8 per cent.

Arrivals rose:

  • last year (2016), 20% to 3.186.531 which was an all-time high
  • this year (2017), with arrivals rising 15% in the first seven months of the year to 1,994,236.

The increase in passenger traffic at both airports create traffic jams, caused by cars delivering to or picking up passengers from the airport. Hermes advise travelers during the summer holidays, in which traveler traffic peaks, to show up at the airport at least 2 hours ahead of scheduled departure to avoid overcrowding.

The government signed a build-operate-transfer agreement with Hermes in 2006 for the construction of new airport facilities in Larnaca and Paphos and the overall benefit exceeds one billion euros, which includes also the cost of constructing the new airport facilities. The construction of the new Larnaca airport in 2009 completed by Hermes, a year after doing so in Paphos.

Limassol port

The goverment’s single success story, the commercialisation of the Limassol port, which agreed with international creditors in 2013 the privatisation programme in exchange for a bailout proved that this type of agreements is of benefit for the state, says the Transport Minister referring to the agreement with Hermes Airports.

As Mr. Marios says “Limassol port saw its productivity increase 50 per cent in the first six months of its operation under the new status, under consortiums led by EuroGate and Dubai Ports. The benefit for the state and the island’s economy is guaranteed,when you assign projects to companies and organisations of major outreach such as Hermes Airports and the companies offering services at the Limassol port”.

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Published on: 08/09/17