Cyprus' air connectivity remains strong despite the European Union's ongoing review of state aid rules for the aviation sector, according to the Ministry of Transport, Communications and Works.
The ministry said the Republic has actively participated in consultations on the European Commission's proposed revision of its State Aid Aviation Guidelines and has submitted six recommendations aimed at protecting the interests of island member states.
Officials stressed that the incentives offered by Cyprus, in cooperation with the operator of Larnaca and Paphos airports, do not constitute state aid because they are granted on market terms and generate additional revenue for both the state and the airport operator.
As a result, the ministry said, the incentives that have helped strengthen the country's air links in recent years will not be affected by the changes under discussion.
The government's proposals include recognising Cyprus' airports as infrastructure essential for territorial cohesion, similar to motorway networks in other EU countries, maintaining targeted incentives for new air routes, introducing a "passengers per capita" criterion when assessing airport size, and extending transitional state aid measures for island states until 2035.
Cyprus has also requested an exemption from EU "proximity" rules that assess competition between neighbouring airports, arguing that the concept is not relevant for an island state with no road or rail connections to other member states.
In addition, the government is seeking greater flexibility to support air fares for students, employees and professionals travelling between Cyprus and the rest of Europe.
"Air connectivity is not a luxury for Cyprus. It is the functional equivalent of the road and rail networks that connect other member states with the rest of Europe," the ministry said.
The European Commission's review is aimed at updating aviation state aid rules to reflect changes in the sector, including environmental requirements and developments in the European aviation market.
Source: CNA
