AKEL: Price Hike Crisis Looming in Cyprus, Urgent Measures Proposed

Vakis Charalambous, head of the energy department and AKEL party candidate in Nicosia, spoke on Astra radio's morning broadcast about the risk of a price hike crisis in Cyprus and the government's lack of an action plan.

According to him, the current situation affects not only energy but the entire supply chain, and it is expected to worsen due to the consequences of the war. Charalambous emphasized Cyprus's high economic dependence on oil and the need for urgent measures to prevent the deterioration of citizens' incomes.

AKEL proposes a series of measures: the abolition or mitigation of "green" taxes, reducing VAT on electricity to a permanent level of 5%, expanding the automatic inclusion of all eligible recipients in the EAC (Electricity Authority of Cyprus) special tariff grid, and the gradual abolition of double taxation on fuel. He also insists on audits and increased transparency in fuel pricing.

Additionally, Charalambous recommended a tourism promotion campaign and support for domestic tourism, as well as the preparation of assistance scenarios for small and medium-sized businesses and borrowers. Funding is suggested through emission auctions, windfall profit taxation, the introduction of a solidarity levy for banks and RES companies, and European Union funds.