The budget of the Ministry of Agriculture, Rural Development and Environment for 2026, with an emphasis on water management, was presented to the Parliamentary Finance Committee by the responsible Minister, Maria Panagiotou, noting that 38% of the budget is available for projects to cover water needs, with a program of 28 actions.
The Minister noted that the budget expenditures for 2026 amount to a total of 552.5 million euros, of which 514.5 million come from national resources and the rest from European ones. Development expenditure is set at €110.1 million, compared to €134.2 million for the year 2025, which, Ms. Panagiotou said, is due to the ongoing maturation of necessary projects such as solid waste management.
He also noted that revenues for the year 2026 are budgeted at €239.3 million, compared to €224.3 million in 2025 (an increase of 7%) thanks to the increase in revenues from the auction of greenhouse gas emission rights.
At the core of planning for 2026, as the Minister underlined, is the purchase of water from desalination plants on a permanent basis, unlike previous years when desalination plants operated seasonally to cover shortages, she said. In particular, he said that an amount of approximately 140 million euros will be allocated, which is the largest amount ever approved for the purchase of water from desalination.
The Minister explained that in 2026, in addition to the purchase of water from the five permanent desalination units in Paphos, Episkopi, Vassiliko, Larnaca and Dekelia, the quantities of water will increase, by at least 32%, with at least seven mobile desalination unit projects in Moni, Kissonerga, Garyllis, Limassol Port, Episkopi, Vassiliko and the District Famagusta.
Responding to questions submitted by all MPs without exception during the Committee meeting regarding water management, he noted that this is a plan that will allow the reserves in the dams to be channeled exclusively to meet the needs of farmers.
Mrs. Panagiotou said that a fund of more than 195 million euros is available for projects related to water policy, as, as she noted, Cyprus is going through perhaps the worst prolonged drought it has ever had, while 2025 is recorded as the 8th worst year since 1901. She also noted that in 2026 at least 35 water projects for irrigation or water supply out of 15 are considered large water projects.
Among the projects that are already underway, according to the Minister, is the study to identify water losses in the network, the financing of projects of the Department of Water Development in communities, as well as the sponsorship plan for the installation of small desalination units in hotel units. Studies are also underway for new permanent desalination units in East Limassol and the free Famagusta, as well as for irrigation projects in West Nicosia.
In his intervention at the meeting, DISY Member of Parliament, Charalambos Pazaros, pointed out that the taking of measures was delayed, as from 2022 it seemed that the winters would be dry, as he said. "Due to the reduced production, the prices of local agricultural products will skyrocket, so the delay in taking measures will be paid for by our citizens and producers," he said in statements after the meeting. He reiterated DISY's recommendation "for a holistic solution, for the need to draw up a comprehensive plan to deal with the serious problems plaguing the primary sector".
In the context of the discussion during the meeting, AKEL Member of Parliament, Giannakis Gabriel, pointed out that many communities do not have access to water from desalination, which the Minister confirmed, answering that some communities have always been covered by wells. "It is being examined which communities can enter the desalination system, while 13 drilling projects have been implemented and there is planning for another 11 projects", added the Minister.
However, in his statements after the meeting, Mr. Gabriel said that the Ministry is informing farmers not to proceed with planting this year, saying that this "constitutes an admission of failure." He said that water remained "at the bottom of the priorities" and that today some farmers have no water at all, and that dams are at an all-time low of 10%. "It is indicative that from a list of 60 water projects that were planned 10 years ago, only 14 have been implemented to date", added the AKEL Member of Parliament, accusing the rulers of "inaction".
He also stated that the budget "follows the path of recent years" and that it is "deeply administrative" and does not respond to the problems of the rural world, while he pointed out that there were cuts in development expenses and low rates of implementation of the development budget were presented.
The DIKO Member of Parliament, Christos Orfanidis, also expressed his displeasure, pointing out that, despite the efforts, there are serious gaps. He specifically referred to the fact that the Choirokoitia-Tersefanou pipeline is still in the study stage, which will delay the supply by 3-4 years, as he said. He also emphasized that while there were warnings about the water since 2006, we are still in the stage of drawing up studies.
The Parliamentary Representative of DIPA, Alekos Tryfonidis, also mentioned the shortages in irrigation and water supply, pointing out the many years pending for the network at the Soleas dam. He also noted that the Soleas dam has water, but due to old debts, the water cannot be made available to the farmers for irrigation. In this context, he made the recommendation for field owners who have a meter and are ready to pay off their debt to turn on the water for irrigation. He also asked for the acceleration of the procedures to change the network at the Xyliatou dam, from which there are 40% losses, as he said. Finally, he pointed out that there is a serious problem with the water supply of Byzakia, Potamio, Nikitario, Koutraf and Agios Georgios, where water needs to be transported even by tank.
New OEDA contractors and gradual implementation of "Pay as I Fly" in 2026
The Minister made special reference to the 2026 projects related to waste management, presenting, among other things, the expansion of the green points network, the creation of 20 small green points in mountainous and remote areas, the installation of 23 product reuse shops in the green points, the gradual implementation of 'pay as you fly' and the upgrading of the two units of Integrated Management Facilities Waste Management (OEDA). He also said that the feasibility study for waste management through an integrated infrastructure network is expected to be signed within the first quarter of 2026.
This study, said Ms. Panagiotou, will define the form of the complete upgrade of the existing OEDAs. He noted, moreover, that within 2026 there will be new contractors for the intermediate stage of upgrading the existing infrastructures of OEDA. Answering a question from AKEL Member of Parliament, Andreas Pasiourtidis, about the unit in Kosi, the Minister said that the horizon for the full completion of the works is 2029.
Regarding the implementation of the "Pay As You Fly" (POP) system, he said that it will first start for large producers and businesses and will gradually be extended to households. DISY Member of Parliament, Prodromos Alabritis, pointed out that "it is necessary, as soon as possible, to move from theory to practice, universally applying the 'pay as I fly' payment system throughout Cyprus and upgrading the infrastructure in the OEDAs".
The MP of the Environmental Movement, Charalambos Theopeptou, expressed reservations about the planning of the management of solid waste from constructions, organic waste, but also sewage, with his intervention, noting indicatively that the sewage treatment plant in Vati was damaged, as a result of which the sewage ends up in the Polemidion dam. He also pointed out that there are problems in the matter of recycling and that interventions by the Ministry are required.
Objections and concerns of MPs regarding the transfer of fire fighting equipment to the Ministry. Interior
MPs of DISY, AKEL and DIKO expressed objections and concerns about the transfer of firefighting services from the Department of Forestry to the Ministry of the Interior, with the aim of creating a central crisis management mechanism.
"At DISY, we are also deeply concerned about the decision of the Council of Ministers", said the Member of Parliament, Charalambos Pazaros, adding that "the decision taken should be reviewed, since there is a risk of destroying an integrated forest fire management system". The MP of DIKO, Christos Orfanidis, also expressed his disagreement with this development, while the MPs of AKEL asked whether there was any study to justify this decision.
The Minister mentioned, in the context of the discussion in the Committee, that the decision to move the firefighting unit is correct, in order to strengthen civil protection and assured that there is a team that is already working for the smooth transition of this service to the Ministry of Interior. Answering a question from AKEL Member of Parliament, Valentinos Fakontis, he assured that modern tools are being used in the Department of Forestry to upgrade the forest fire management system, using new technologies.
The Minister also referred to the implementation of projects for the Akamas National Forest Park, following their re-evaluation. "Our goal remains the rational and sustainable development of the Akamas National Forest Park, in a way that combines the protection of the natural environment, with the promotion of the area and the strengthening of local communities," he said. The deadline for the completion of the project, he said, is the end of 2027. He offered to present in detail the planning for the projects that will proceed in 2026 in the Akamas National Forest Park, at a meeting of the competent Parliamentary Committee.
In her statements after the Committee meeting, the Minister also referred to the completion of pending Natura 2000 decrees, the continuation of measures on the issue of landslides in Pissouri and other areas, the preparation of subsidence maps for inclusion in "Tsunami Ready", the initiation of a micro-zonal study in Poli Chrysochous, the control of aid in mining, quarries, explosives warehouses and the tightening of penalties for illegal use of fireworks, in the €5.2 million plan for the utilization of abandoned agricultural land, in the training of professional farmers with a €700,000 fund, in the €1.5 million plan to increase productivity and reduce the seasonality of sheep and goats, etc.
In his statements, the Member of Parliament of ELAM, Sotiris Ioannou, spoke of problems faced by young farmers, due to bureaucracy, increased costs, restrictive criteria and unfair competition with products that, as he said, arrive from Turkey through the green line, in violation of the European regulation. The Minister assured that the necessary controls are being carried out to detect unfair competition and Mr. Ioannou requested that data be submitted in writing for the controls carried out in 2024-2025.
Cyprus Presidency of the Council of the EU
Finally, the Minister said that the Ministry is preparing for the Cyprus Presidency of the Council of the EU, noting that during the period of the first semester the competent Council will meet 10 times and noted that it is available to the Parliament for information after each meeting.
"The Presidency will prioritize strengthening food security, animal health and Europe's green transition. It focuses on strengthening water resilience, promoting the circular economy, climate neutrality and simplifying environmental processes. Emphasis is placed on sustainable agriculture, the reduction of dependence on imports, the protection of biodiversity and the promotion of Unified Health", concluded Mrs. Panagiotou.
