The Cyprus Presidency has placed the strengthening of the Single Market at the core of its work, said on Friday the Minister of Energy, Commerce and Industry, Michael Damianos, in his keynote speech at the “Shaping Europe’s Growth and Competitiveness” conference, organized by ICAEW and ICPAC in Nicosia.
According to the Energy Minister, Europe today stands at a decisive crossroads.
“We are operating in an environment shaped by geopolitical instability, technological disruption, the climate transition, energy uncertainty, and increasingly intense global competition. Yet, despite these challenges, Europe possesses extraordinary strengths”, he continued.
“We have the world’s largest integrated market, strong institutions, leading research capabilities, world-class talent and businesses that continue to innovate and adapt. In this context, the question is no longer whether Europe has the potential to remain globally competitive. The real question is: how do we unlock that potential faster, with greater effectiveness and through stronger collective action?”, he noted.
Tackling administrative burdens
This is precisely the spirit guiding the Cyprus Presidency of the Council of the European Union, continued Damianos, adding that the Cyprus Presidency is, in fact, built around one central ambition, “to strengthen Europe’s competitiveness by making our economy more innovative, more productive, more resilient and better connected”.
He added that this ambition is not only reflected in its political messaging, but is already being translated into concrete legislative work.
“The Single Market remains Europe’s greatest economic achievement. Yet businesses – especially SMEs and scale-ups – still face fragmented rules, duplicated procedures and administrative burdens when trying to operate across borders. This is why the Cyprus Presidency has placed the strengthening of the Single Market at the core of its work””, he stressed.
'Terrible Ten'
According to the Minister, during its Presidency, Cyprus has actively advanced discussions on the Commission’s “Terrible Ten” initiative, aimed at removing the most persistent barriers undermining cross-border business activity in Europe, including complex establishment procedures, inconsistent application of EU rules and fragmented national regulatory approaches.
He added that at the same time, the Presidency is preparing the ground for discussions on the 28th Regime initiative, highlighted in both the Mario Draghi and Enrico Letta reports as a major opportunity to deepen economic integration, simplify business expansion across borders and close Europe’s innovation gap.
“For Cyprus, a stronger Single Market is not about deregulation. It is about better regulation. It is about giving businesses more space and time to innovate, while also reducing the bureaucratic obstacles they face when operating across borders. This matters because Europe cannot compete globally on labour costs alone”, he noted.
“Europe must compete through innovation, advanced manufacturing, clean technologies and industrial excellence. That is why Cyprus has prioritised files that directly support Europe’s industrial future”, continued the Energy Minister.
Inviting investment
He explained that the Cyprus Presidency is advancing work on the proposed European Competitiveness Fund, with the objective of reaching a partial agreement or, more formally, a partial General Approach in June. “This initiative aims to consolidate financing instruments, reduce administrative burdens, accelerate decision-making and help close Europe’s investment gap in strategic industrial sectors”, he said.
He added that at the same time, Cyprus is pushing forward discussions on the Industrial Accelerator Act, which will play a critical role in helping Europe decarbonise energy-intensive industries, while maintaining industrial competitiveness, while is also continues to work on practical solutions for businesses through initiatives such as eDeclaration, which aims to simplify cross-border service provision by reducing administrative burdens for companies posting workers across the Union.
“These are not technical exercises, they are reforms that directly affect whether European companies choose to invest, innovate and grow here in Europe. Of course, no discussion about competitiveness today can ignore energy. Affordable, secure and sustainable energy has become one of the defining economic issues for Europe”, he commented.
“Cyprus has, therefore, made energy one of the flagship pillars of its Presidency. Currently, we are leading negotiations on the EU Grids Package, with the aim of reaching a General Approach during the Energy Council in June”, the Minister stressed.
'Bridge for EU solutions'
He added that the proposed package is essential for strengthening cross-border electricity interconnections, increasing grid efficiency and ensuring that energy can flow where it is most needed across Europe. “Because competitiveness depends on one fundamental reality: European industries cannot remain globally competitive if energy remains structurally more expensive than in competing regions”, he added.
“Energy security today is economic security and economic security is competitiveness. Cyprus stands at the crossroads of Europe, the Middle East and Asia. Historically, we have been a bridge between continents, markets and cultures. Today, through our Presidency, we aim to become something more: A bridge for ideas, a bridge for cooperation, a bridge for practical European solutions. Whether through trade connectivity, digital transformation, energy interconnections, shipping, financial services or innovation ecosystems, Cyprus is committed to helping Europe turn strategic ambition into measurable results”, he underlined.
“Competitiveness is no longer just an economic objective. It is about prosperity and resilience, it is about strategic autonomy, and, ultimately, it is about preserving Europe’s way of life. As Presidency, Cyprus is committed not simply to managing legislative files, but to building consensus and driving reform. More importantly, we are committed to helping Europe act with greater ambition, greater speed, and greater unity. Because Europe’s future competitiveness will not be defined by what we discuss – it will be defined by what we deliver, and Cyprus is proud to play its part”, he concluded.
CNA
