Commissioner Kyriakides to pay an official visit to the United States

Commissioner for Health and Food Safety, Stella Kyriakides, will be in Washington, DC on Wednesday 12 October and Thursday 13 October, the Cyprus News Agency learns.

 

The Commissioner will meet with US government officials and key public health and cancer policy stakeholders.

 

As CNA learns, discussions will mainly focus on the EU-US cooperation on cancer, the next steps regarding the management of the COVID-19 pandemic and the strengthening of global prevention, preparedness and response to the pandemic.

 

On Wednesday, Commissioner Kyriakides will meet with Chief Medical Advisor to President Biden Anthony Fauci, White House COVID-19 Response Coordinator Ashish K. Jha, and the leadership of the National Cancer Institute.

 

At the same time, according to the same information, Kyriakides will also meet with Pfizer CEO Albert Bourla. On Thursday, the Commissioner will hold a meeting with Xavier Becerra, US Secretary of Health and Human Services.

 

Commissioner Kyriakides told CNA ahead of the visit that “the US represents a key strategic partner for the EU in the area of health, from tackling COVID-19 to our shared efforts to beat cancer and strengthening global health architecture.”

 

“The last three years have shown the depth and breadth of our cooperation in the area of health, and reminded us how much we can achieve for our citizens when we work together. Tackling cancer and strengthening global health security are prime examples, on which we will focus our discussions with the US leadership” she concluded.

 

Source: Cyprus News Agency

 

Greek Deputy Foreign Minister to visit Cyprus on Tuesday

Greek Deputy Foreign Minister for Economic Diplomacy and Openness, Kostas Fragogiannis , will pay a working visit to Cyprus on Tuesday, October 11.

 

During his visit, Kostas Fragogiannis will meet with the Minister of Foreign Affairs of the Republic of Cyprus, Ioannis Kasoulides.

 

He will also attend as a keynote speaker an event and award ceremony for young entrepreneurs, organized by the Cyprus Chamber of Commerce and Industry.

 

Greek Deputy Foreign Minister will also hold meetings with Cypriot businessmen.

 

Source: Cyprus News Agency

Αttorney General travels to the Hague for EuroMed Forum of Prosecutors General and Eurojust Consultative Forum

Cyprus Attorney General George Savvides departs for the Hague on Tuesday to participate in the 4th EuroMed Forum of Prosecutors General and the Eurojust Consultative Forum which take place 12-13 and 13-14 October.

 

A press release by the Law Office says that the EuroMed Forum will discuss the progress in the strategy and 2022-2025 Action Plan on human trafficking and migrant smuggling in the Mediterranean as well as the confiscation of proceeds of crime and asset recovery.

 

The participants will then debate on the Ukrainian crisis and the criminal dimension during the Eurojust Consultative Forum.

 

Source: Cyprus News Agency

Lodbrok Publishes Letter to REC Silicon’s Board of Directors

Lodbrok Capital LLP, in its capacity as one of the largest shareholders in REC Silicon ASA, recently sent the letter below to the company’s Board:

 

REC Silicon ASA (“REC”)

 

Fornebuveien 84

 

PO Box 63

 

1324 Lysaker

 

Norway

 

Attn: The Directors of the Board

 

GOVERNANCE CONCERNS RELATED TO REC SILICON

 

10 October 2022

 

Dear directors,

 

Certain funds and accounts managed or advised by Lodbrok Capital LLP (“Lodbrok”) own 5.2 million shares in REC (OSE:RECSI), making Lodbrok one of the largest shareholders in the company, and hold close to 20% of the 2023 senior secured bond. Lodbrok has been invested in REC continuously since our inception in 2017, and we have supported the company through difficult times, including by anchoring the bond refinancing in 2018 and by supporting the equity raise in 2019.

 

Lodbrok believes REC is significantly undervalued considering its two highly strategic assets in rapidly expanding industries, which benefit from political tailwinds and potentially strong profitability outlook, and we would recommend that:

 

REC immediately postpones its EGM scheduled for 21 October 2022 and seeks to identify and consider additional board candidates, with the aim of having a board with a majority of directors being unrelated to Hanwha;

 

Hanwha either accepts having a minority of the directors and appropriate oversight for any contract negotiations or increases its equity stake in REC;

 

Absent an ownership increase by Hanwha, an independent board hires advisors to explore and evaluate strategic and commercial interests in REC, in light of recent positive market developments, to ensure any large contracts signed with Hanwha are balanced against alternative opportunities from the perspective of all stakeholders; and

 

The board of directors observes the Norwegian statutory rules prescribed for transactions with related parties, including the approval of any off-take agreement with Hanwha at a validly constituted shareholder meeting.

 

In the absence of appropriate responses to the recommended actions set out above, Lodbrok will vote to reject all proposals on the EGM scheduled for 21 October 2022.

 

Value potential

 

We have been believers in the potential of REC for more than half a decade, and we are highly encouraged by recent developments in both the political and the industrial landscape. In our opinion, REC has an exceptional platform from which to capitalise on the accelerated push towards sustainable energy and the electrification of the auto industry.

 

The Butte plant is the world’s largest supplier of silane gas, with a very substantial market share, meaningful barriers to entry, and a fairly stable level of profitability, which we believe could easily attract strategic interest in a valuation range of $300-400 million. On current share prices, we estimate this would imply a $320-420 million valuation of Moses Lake, which corresponds to 19-25% of the reported c. $1.7 billion invested in the plant – all the while REC is negotiating offtake contracts with Hanwha Corporation and Hanwha Solutions (“Hanwha”) for 100% of the plant’s capacity, with potential for additional demand from battery anode producers going forward.

 

With polysilicon spot prices close to $40 per kg, we estimate that Moses Lake, with its 18,000MT capacity, alone could generate close to half a billion dollars in annual EBITDA if it could sell 100% of its capacity in the open market. When factoring in the required reactivation capex, we estimate this would imply a <2x EV/EBITDA on the current market value of REC. Even in a scenario where polysilicon prices were to drop as much as 40%, to around $22 per kg, by our estimates, REC could still generate more than $200 million in annual EBITDA, which would imply around 4x EV/EBITDA on the current market valuation (incl. required capex). Alternatively, if Butte could be sold for $300-400 million, and the Moses Lake plant could sell 100% of its volume at a price that is 40% below current spot prices, the current valuation of REC would imply that Moses Lake would be valued at around 3x EV/EBITDA. For a business with strategic products for the US solar industry and the lithium-ion battery markets, and the know-how and experience to consider avenues for deeper expansion into these rapidly growing industries, we believe REC could have potential to command much higher EBITDA multiples.

 

While we recognise the expected supply growth from Chinese producers in the coming years and its potential impact on polysilicon prices, we believe that the energy markets in general – and the solar market in particular – will become increasingly bifurcated between Western and Eastern producers, from which REC should stand to benefit. We believe the incumbent US producers in the solar value chain, such as REC, will continue to enjoy political support for the development of a domestic value chain and be able to command a materially higher margin than what a global supply curve would suggest. A range of new government initiatives from the last year should drive investments in US based solar and battery supply chains, increase demand for semiconductor grade polysilicon and silicon gases, and more broadly drive adoption of clean energy technologies.

 

Moreover, Lodbrok has spent a significant amount of resources on other investment opportunities in the battery industry, and from our considerable time spent with experts on the benefits of distributing silicon on anodes by way of silane gas, as well as analysing the potential cost efficiencies for the battery producers and car manufacturers, we believe REC has the potential to command a very large premium on selling silane gas to anode producers rather than current end markets. From the recent investment behaviour of several anode producers, we consider it obvious how strategically important REC’s silane gas is, but we believe the market may underestimate the ability REC could have to extract premium pricing on its product. While we appreciate that the adoption of silane gas in anode production could be a slow process, we have been a patient investor to date, and we are encouraged by the pace of recent developments.

 

Finally, over the last 18 months we have submitted a proposal to anchor a refinancing of the expensive bonds and continuously displayed a willingness to be part of a refinancing solution for the very expensive senior secured bond. We are hopeful that the company’s lack of engagement on this reflects confidence in being able to source attractive bank financing that can minimize any potential future equity raise required to ramp up Moses Lake, and the positive developments in recent quarters have given us greater confidence that this should be attainable.

 

In short, we believe REC is uniquely positioned with two highly strategic assets in rapidly expanding industries that should benefit from lasting political tailwinds, strong profitability outlook and attractive funding opportunities.

 

Governance concerns

 

Despite what we consider very important positive developments and an attractive long-term outlook, the share price has largely gone sideways during the last 18 months. We believe part of this share price development is potentially attributable to concerns around poor corporate governance protocols, as recently illustrated by the very negative market reaction to the replacement of the interim CEO during a crucial time for the company.

 

In the last year, Hanwha has replaced Aker Horizon as the leading shareholder and acquired 1/3 of REC’s shares. During that period, the company has witnessed the departure of its long-serving CEO, Tore Torvund, and now recently the departure of its interim CEO and long-serving CFO, James May. Meanwhile the new board of directors saw the sudden and unexplained departure of one of its two independent directors, Heike Heiligtag, which left Hanwha with two out of three remaining board seats, with the top two executives at REC having been replaced.

 

Against this backdrop, REC has reported that it has executed an MOU with Hanwha Solutions for polysilicon, with negotiations underway to complete the supply contract and Hanwha having proposed an offtake contract for 100% of the production at Moses Lake. Furthermore, REC has reported that discussions are ongoing with Hanwha Corporation for REC’s silane gas, which we believe will be a highly strategic product for anode manufacturers going forward.

 

While we welcome and understand Hanwha’s interest in REC’s products, we believe the situation potentially gives rise to material conflicts of interests. Lodbrok has repeatedly flagged concerns directly to the REC management team about the importance of arm’s length negotiations between REC and Hanwha. We are deeply troubled by the departure and replacement of REC’s two leading executives during this crucial time, coupled with the sudden departure of one of two independent board members, leaving the board now controlled by a shareholder that holds a minority of the equity, at a time when that shareholder is potentially looking to acquire the vast majority of the company’s future production. Having been invested in REC for more than half a decade, we are highly concerned that a new executive team, which we have never had an opportunity to meet and which has effectively been selected by a Hanwha-controlled board, will lead the company through the finalisation of a potentially company-defining contract with Hanwha.

 

We believe any offtake contract directly entered into between Hanwha and REC will be a related party agreement under the Norwegian Public Limited Liability Companies Act, rendering adoption by a shareholder meeting required, at which Hanwha should be excluded from voting. Moreover, we believe Hanwha board representatives should be disqualified from participating in the board considerations of any agreements or corporate reorganization related to a Hanwha entity or contract, and we do not believe that the remaining two board members – as implied under the currently proposed board composition – constitute an appropriate quorum for such considerations.

 

We also note with concern that the nomination committee, made up by Junghey Chae (chair and employee of Hanwha), Sungchoon Kang and Jieun Lee, have found it reasonable in its EGM proposal to let Hanwha obtain half of the board seats, including the chair and deputy chair, despite Hanwha only holding 1/3 of the shares and being in negotiations with REC for very large contracts.

 

We want to ensure that non-Hanwha shareholders in REC – who hold the majority of the shares – are given due consideration as governed by Oslo Stock Exchange regulations and the Norwegian Securities Trading Act regarding equal treatment of shareholders, and in our opinion a minority shareholder should at best have minority representation on the board. Under the proposed corporate governance model, Lodbrok will push for a full independent investigation of any potential offtake contracts signed between REC and Hanwha.

 

Lodbrok intends to reject the current proposals on the EGM scheduled for 21 October 2022.

 

Recommended actions

 

Lodbrok believes REC should immediately postpone its EGM scheduled for 21 October to provide more time for additional board candidates to be identified and considered. We believe appropriate governance would dictate that any minority shareholder should only have minority representation at the board. Moreover, given the negotiations with Hanwha, we think REC could benefit from a non-Hanwha shareholder being represented on the board.

 

If Hanwha wants to effectively control the board, while potentially signing offtake agreements for the majority of REC’s production, we believe Hanwha must increase its equity stake in the company. If Hanwha intends to put in place large offtake contracts at prices consistent with arm’s length negotiations, we believe substantial and attractively priced debt should be available for REC, which could finance a substantial portion of an acquisition of the remaining 2/3 of the equity (and refinancing of the $12m of net debt). Any potential divestment of Butte could further contribute to minimize the required funding for Hanwha to implement such a transaction.

 

Absent such an ownership increase, it is our opinion that the board, made up by a majority of directors unrelated to Hanwha, should hire an M&A advisor to evaluate strategic interest in REC and a commercial advisor that ensures all other potential counterparties are given fair consideration to maximise value for all stakeholders in REC. While such a process may have been pursued while Aker Horizon was the largest shareholder, we believe the landscape for energy security has dramatically changed since that time, and there is now much greater certainty on the political dynamics related to the US solar and battery value chains. We believe these forces leave REC with substantially improved prospects of attracting acquisition interest and commercial relationships.

 

In summary, Lodbrok believes REC is significantly undervalued considering its two highly strategic assets in rapidly expanding industries, which benefit from political tailwinds and potentially strong profitability outlook, and we would recommend that:

 

REC immediately postpones its EGM scheduled for 21 October 2022 and seeks to identify and consider additional board candidates, with the aim of having a board with a majority of directors being unrelated to Hanwha;

 

Hanwha either accepts having a minority of the directors and appropriate oversight for any contract negotiations or increases its equity stake in REC;

 

Absent an ownership increase by Hanwha, an independent board hires advisors to explore and evaluate strategic and commercial interests in REC, in light of recent positive market developments, to ensure any large contracts signed with Hanwha are balanced against alternative opportunities from the perspective of all stakeholders; and

 

The board of directors observes the Norwegian statutory rules prescribed for transactions with related parties, including the approval of any off-take agreement with Hanwha at a validly constituted shareholder meeting.

 

Hanwha has the potential to be a great strategic shareholder for REC, but if Hanwha will remain a 1/3 shareholder with contracts for the majority of REC’s production, it is essential that the company maintains the right governance model and independent management team to ensure all other shareholders will be able to participate fairly in the great value potential we see for the business.

 

Source: Cyprus News Agency

Europa Donna march sends message cancer survivors have the “Right to be Forgotten”

Europa Donna Cyprus’s 18th march sent the message that all those who have experienced cancer in their lives have the right to live without discrimination.

 

In a press release the NGO said that the 18th Europa Donna Cyprus march was held on Sunday in Nicosia under the auspices of Health and Food Safety Commissioner Stella Kyriakides.

 

This year coincides with the 20th anniversary of the founding of Europa Donna Cyprus. President of the Board of Directors Mary Perdiou, said this year Europa Donna Cyprus is celebrating its 20th anniversary and honours its members who “with commitment, bravery and determination contributed to the achievement of the goals of the association”.

 

Referring to the “Right to be Forgotten”, Perdiou said “it is the first time we want our medical history to be forgotten and to have the same and equal access to insurance policies like our other fellow human beings”.

 

Executive Director, Marios Charalambides said the march is the starting point to demand the right to be forgotten for all people who had a cancer experience. He assured that “we will work to achieve this”. It is our promise, he added, to all for a life without discrimination, being stigmatised.

 

The march was attended by thousands of citizens who united their voices to demand ‘The Right to be Forgotten’, supporting all people who had a cancer experience to have the right to continue with their lives, having access to insurance cover and financial facilities.

 

Politicians also attended the march, assuring that they are standing by Europa Donna and the “Right to be Forgotten” cause.

 

Bearing 610 pink figures which symbolise the number of new breast cancer incidents in 2021 as well as three blue figures to show breast cancer incidents in males on the island in the last year, there were also 55 purple figures representing the number of new ovarian cancer cases and 123 white figures for those who lost their lives.

 

The march was also attended by Minister of Health Michalis Hadjipantela and other officials.

 

Source: Cyprus News Agency

Cyprus is in a privileged position on the world’s shipping map, President says at “Maritime Cyprus 2022” Conference

Cyprus is in a privileged position on the world’s shipping map, President of Cyprus Nicos Anastasiades said Monday addressing the “Maritime Cyprus 2022” Conference that takes place in Limassol.

 

“We feel very proud of our achievements which have placed our small country in a privileged position on the world’s shipping map” he said, adding that “we have established a competitive and modern international shipping center, ranked highly globally both as regards ship registries and third-party ship-management”.

 

In parallel, the President noted, around 300 shipping companies are based in Cyprus covering the full range of shipping – related activities, whilst in the past decade we have witnessed a three-fold increase in the number of companies registered under our tonnage tax system, namely: from 95 to 285 at present.

 

The President noted that despite its impressive achievements, Cyprus Shipping’ would have held an even higher international ranking if the illegal restrictive measures imposed by Turkey since 1987 were abolished and explained that the said restrictive measures, not only adversely affect our interests, but those of the European Union as well, since they prevent the application of fundamental rights and free competition in maritime trade with the European Union.

 

He recalled that the government launched last October a new long-term strategy for shipping, with the vision for Cyprus to further advance its role in the international shipping environment, enhance our attractiveness as a maritime center of sustainable growth and excellence, strengthen safety and security levels on Cyprus’ flag ships, provide rewards and incentives for “Greening” investments, intensify the presence of the Maritime Offices network of the Republic of Cyprus abroad, especially in the Far East and to upgrade the services provided by the Maritime Administration, so as to be able to provide a more flexible, effective and customer-oriented service.

 

To this end, he continued, we are in the process of establishing a one-stop-shipping centre framework, through the establishment of the legal framework of the Maritime Entity and the digital transformation of the Shipping Deputy Ministry, which will optimize the Ministry’s business processes and maximize its operational efficiency.

 

Noting that the policies are not only limited to strengthening the attractiveness of the Cyprus’ Registry and its relevant services, but are extended to a comprehensive and holistic development of our shipping cluster, he said that in this regard recently we established an autonomous Admiralty Court, while we are in the process to finalising the legal and procedural framework for arbitration and mediation on maritime disputes.

 

In addition, he said that “we are providing green tax incentives to shipowners and operators, encouraging and supporting ships registered under the Cyprus registry to use alternative fuels, such as biofuels and hydrogen and we are also offering funding tools and programs to encourage research and innovation, supporting the shipping industry to effectively respond to the digital and green transformation challenge”.

 

Referring to Russia’s invasion of Ukraine, he said that “being also victims of the Turkish invasion, we immediately and without hesitation agreed to the adoption of targeted sanctions vis-à-vis Russia in an effort to reverse its actions and return to dialogue.”

 

Referring to the targeted sanctions, he said that on the one hand their impact should not become greater on EU member-states on specific vital sectors of our economies, rather than on Russia against which they are directed; and on the other hand, they should exclude the possibility of establishing conditions of unfair competition between EU member-states and third countries which could exploit gaps, inconsistencies or misinterpretations in specific provisions of the sanctions.

 

“And these principles should be applied in all adopted sanctions, including, of course, European shipping which has a decisive role to play as regards the connection and seamless trade supply, not only of the European Union itself but globally. That is why we remain firm in our position that maintaining to the maximum extent possible the competitiveness of European shipping flags remains of utmost importance,” President Anastasiades noted.

 

Cyprus, he added, as a maritime nation, we are fully aware that we are much stronger not on our own, but as part of dynamic and forward-looking collaborations, noting that “that is why, asides being grateful to all of you for your presence, we fully appreciate the excellent co-operation we have established with the International Maritime Organisation, as well as with the EU, and we are honoured to have the IMO’s Secretary – General and the EU Commissioner for Transport with us today”.

 

“In this respect, I wish to assure you Mr. Lim that Cyprus will continue to actively and constructively participate in the future evolution of the Organisation, including on implementing new strategies, such as improving maritime safety and environmental protection. As I also wish to assure you Mrs. Valean that Cyprus will continue its positive contribution in the formulation of the EU legislative framework in order to ensure that shipping is safe, environmentally sustainable, competitive, as well as an integral part to our efforts of achieving energy independence and carbon neutral economy,” he concluded.

 

Source: Cyprus News Agency

EU should have concrete sanctions in place for those instrumentalizing migrants, Interior Minister tells CNA

The EU should have concrete sanctions in place when there is proof that migrants are being instrumentalized, as in the case of Cyprus, Interior Minister Nicos Nouris said. In an interview with the Cyprus News Agency, the Minister also referred to the results of the MED5 Summit, in Paphos, that brought together his counterparts from the Mediterranean member states, responsible for migration and asylum, noting that they maintained a “coherent front” ahead of the upcoming Home Affairs Council, in Luxembourg, set to discuss migration.

 

Nouris also referred to the need to exercise more effective control in the Green Line to contain irregular migration. Checking airplanes that fly from Istanbul to the northern, Turkish-occupied part of Cyprus, carrying nationals from sub-Saharan countries requires cooperation on the part of the Turkish government, which, according to Nouris “is not the case.”

 

The Minister also said that people from countries deemed to be unsafe may lose their subsidiary protection status if proven to misuse the asylum system, and added that his Ministry considers re-examining files of various nationals, including from Syria.

 

The MED5 Summit was particularly successful in every aspect, especially for Cyprus, as we managed to attain some very concrete goals, the Minister said evaluating the Ministerial gathering of the five Mediterranean EU member states, that took place on October 7-8.

 

The first goal was to continue and maintain a coherent front among MED5 countries while projecting our common positions and the common problems we are faced with, Nouris added.

 

He said that for some of these problems, which are of particular concern for Cyprus, it was made possible to include them in the joint statement, the Ministers issued after the Summit’s conclusion.

 

He underlined first and foremost the necessity for “mandatory solidarity” as well as relocation issues between EU member states, which he said is one of the major issues over which there is no unanimity. Nouris said that MED5 countries maintaining their common position was important.

 

Another issue, he went on, concerned the necessity for effective protection of EU external borders, including the Green Line which is not considered an external border, however it requires similar protection in order to limit migrant flows.

 

The instrumentalization of migrants by third countries, which primarily concerns Turkey, was the third issue raised by the Republic of Cyprus, said Nouris, pointing to a reference in the joint statement, calling Europe to undertake particular action against the countries using these tactics.

 

Above all, he went on, Cyprus is the country which is being subjected to these tactics of migrants’ instrumentalization through an influx of migrant flows from sub-Saharan Africa. These flows reach the island after being accommodated by Turkey to reach Cyprus’ Turkish-occupied areas, he underlined.

 

Nouris highlighted another recommendation put forward by Cyprus, concerning the need to reassess third countries deemed to be unsafe. These countries supply the majority of migrant flows to Europe and among them is Syria, said the Minister. “The Summit was able to ascertain, also through evidence provided by the Republic of Cyprus, that the system is misused by certain countries, which may be categorised as unsafe, but at the same time it seems they are not unsafe, or at least they are not completely unsafe” the Minister explained.

 

As a result, asylum systems are subjected to exploitation by migrants from these countries who are afforded a complementary form of protection but in reality, are able to return to their country any time they want, he went on.

 

The Minister of Interior appeared certain that once this review is launched, some people will have to return. The Republic of Cyprus “has done its homework before raising this issue” he said and noted that a significant number of cases of people with international protection were re-examined. “We found out that hundreds of them safely returned – some of them by airplane – to a specific country, deemed today as unsafe and later came back to Cyprus” he added. “Apparently, there is no danger if they are able to fly and then return to the Republic of Cyprus” said Nouris.

 

The EU was notified that Cyprus considers re-examining these files and if the case is substantiated, then these people will lose their subsidiary protection status and will undergo a process of expulsion and will be returned, he added. For the time being, Cyprus focuses on countries with mass influx, and Syria is one of them, but more countries may come under scrutiny, the Minister noted.

 

Asked about a proposal by Cyprus concerning the possibility of modifying the asylum application mechanism so that asylum applications can be filed outside the EU, Nouris said that the issue was discussed during the MED5 Summit and will be raised again before the Home Affairs Council, when Ministers meet in Luxembourg next Friday.

 

We raised this issue ahead of the ominous projections by the EU and Frontex, expecting migrant flows to increase in the future, in order to act proactively, send specific messages and to protect migrants from becoming victims. “We don’t want to see more people drowning in the sea, we don’t want to see more unaccompanied minors being exploited” the Minister said and referred to recent incidents in the Aegean Sea, after boats carrying migrants sunk near the coast of Lesbos and Kythera.

 

These incidents happened because some desperate people were exploited by smugglers and were forwarded to European countries, in this case Greece, the Minister said and noted that “we have to take protection measures for these people.”

 

This is why Cyprus proposes that migrants who wish to file an asylum application, should do so in their country of origin or transit, Nouris explained and said that technicalities should be determined later. According to the proposal, if applicants get the go-ahead, they will be able to safely arrive in the country, without having to illegally cross the Green Line or board a precarious boat or, in the case of unaccompanied minors, have 10- or 11-year-old children fly alone.

 

These people will know in advance that upon arrival they will get recognition as asylum seekers, the Minister of Interior noted. Those with rejected applications will know that there is absolutely no reason to pay smugglers, he went on, while acknowledging that “this is not an easy endeavour” as it requires a series of legislative amendments.

 

The Republic of Cyprus will raise the issue in front of fellow EU Ministers and “my sense is that there will be significant support, while some member states already back [the proposal]. I see this as a trigger for discussion” to start weighing up pros and cons. Any conclusion on the matter I believe will send out a message to smugglers, who make a fortune at the expense of migrants and will result in reducing migrant flows to our countries, Nouris said.

 

Cyprus is not the only EU country burdened with the problem of tactics that instrumentalize migrants, the Minister said in reply to another question, and pointed to the case of Italy. “The EU is called to have concrete sanctions in place when there is proof – as in the case of the Republic of Cyprus – of migration and migrants being instrumentalized” the Minister noted.

 

He said that last April, Cyprus communicated this evidence to EU authorities, including travel documents that show the route these people follow from sub-Saharan Africa to Istanbul, and from there to the illegal airport operating in the Turkish-occupied part of Cyprus. A few hours after their arrival, most people pay smugglers a sum of €200-300 to guide them across the Green Line, interviews with a large number of people coming from these areas revealed, according to the Minister.

 

This issue was also raised during a meeting Nouris had late last month with Jean-Pierre Lacroix, the UN Under-Secretary-General for Peace Operations, and according to the Minister “it is imperative to exercise more effective control in the Green Line” in line with the relevant regulation that allows crossing for people with valid travel documents and for those who entered the Republic through a legal entry point. “Obviously neither is the case for irregular migrants” Nouris went on.

 

Elaborating on discussions in New York concerning the UN peacekeeping force in Cyprus (UNFICYP), Nouris said that managing migration is not part of UNFICYP’s mandate, which is tasked with checking people who enter the buffer zone that divides Cyprus. “The peacekeeping force is serving in the Republic of Cyprus since 1963 and has helped us immensely in maintaining this status, this tranquillity and in avoiding potential clashes” he added.

 

UNFICYP is primarily concerned today with checking Greek Cypriots who are entitled to enter the buffer zone from the government-controlled areas, such as farmers and people staying there “and rightly so” Nouris said, noting that the same should apply for those attempting to enter from the Turkish-occupied areas. I explained that if this becomes possible, it would constitute a very big help in containing migrant flows, he added.

 

“I understand that things are difficult since the mood for cooperation is not positive from the Turkish Cypriot side and Turkey, which controls the situation. Nevertheless, I received assurances that the issue will be discussed, even at the UN Secretary-General’s level, and I hope that there will be developments” he noted.

 

The Minister also said that in the last twelve months, Cyprus received more than 1,000 unaccompanied minors, all of them arriving from sub-Saharan Africa through the Turkish-occupied territories, and urged for action to be taken, to contain this issue. Cyprus proposed the operation of a Frontex office in Istanbul to check flights to the northern, occupied part of Cyprus, but, as Nouris said, this requires cooperation on the part of the Turkish government, which is not the case.

 

Asked if there is room for the EU to apply more pressure, the Minister said that the European Commission, at the highest level, raised this issue with the Turkish government already and “apparently this effort did not bear fruit until now.” This is not due to EU unwillingness, but it is the result of Turkey acting with intent, Nouris underlined.

 

Turkey, who for the past 48 years made sure to settle Cyprus’ occupied areas through a mass transfer of mainland Turks and Islamise the area “now attempts, through this particular way, to change the demographics in the areas under the effective control of the Republic” the Minister said.

 

He noted that the number of asylum seekers per capita reached 6%, when the acceptable EU limit is up to 1.5% and does not exceed 1% in other frontline member states. “It becomes apparent that we entered a stage where our demographics are facing a threat” Nouris underlined.

 

Moreover, he pointed to the financial strain on the state budget. We are grateful to the EU for its contribution of €117 mln in the past four years, at the same time Cyprus spent an additional €188 mln in taxpayers’ money, the Minister noted.

 

“Lately, there is also a third menace that has to do with security” Nouris added, saying that data published by the Cyprus Police show that “in 73% of serious crimes committed in the Republic, there is at least one foreign migrant involved.” These three issues ring the alarm, and this is something we raised openly and hope that something comes out of the pressure we apply, the Minister said.

 

Asked whether relocations need to intensify or if financial assistance by member states is enough to deal with the problem in Cyprus, the Minister of Interior replied that the issue would have been solved by now if it was merely a question of money.

 

He said that in the past two years relocations present a point of friction, as the 27 member states are not unanimously in favour of implementing this in a mandatory manner. “Progress has been made in this regard” he went on, pointing to an initiative by the French EU Presidency, last semester, to engage in voluntary relocations.

 

“Despite the fact that we don’t think that this is going to solve the problem, we gave nevertheless our consent to start with this program” Nouris said, noting that results are “disheartening.” He said, however, that two countries, France and Germany, already sent a delegation to Cyprus and started this process, aiming to relocate 500 migrants to each country by the end of the year, while the number could go up to 1,500 for each country next year.

 

He expressed gratitude to both countries, hoping that this could spark interest among other member states to do the same. Projections for the five frontline EU member states estimate about 160,000 asylum applications by the end of the year, while the best-case scenario for voluntary relocations speaks about 10,000 people, Nouris said. This leaves our countries with an additional burden of 150,000 asylum seekers, he went on, noting that this can not be the solution to the problem.

 

We will discuss this in the upcoming meeting in Luxembourg, in the hope that we will come up with a better solution, the Minister said.

 

Asked if member states are now closer to reaching a deal on the New Pact on Migration and Asylum, the Minister said that “we are certainly closer, but we have not reached the end.”

 

He said that discussions over certain issues reached an impasse, however certain moves happening in parallel could alleviate the burden for frontline member states. One of them is investing in third countries and another is reaching bilateral agreements with third countries, he said.

 

“Some countries today are not cooperating with the European Commission and the EU in the same way others do” therefore the EU should treat them in a different spirit, Nouris noted. According to the Minister, countries refusing to welcome back their own citizens, after their applications were rejected, should not enjoy the same support by the European Commission.

 

Investments should intensify, particularly in Africa, and instead of spending trillions for migrants’ reception we could spend money on infrastructure for people to stay in these countries, he concluded.

 

Source: Cyprus News Agency

A strong shipping ensures an energy independent Europe, Deputy Minister of Shipping says

Deputy Minister of Shipping, Vassilis Demetriades has said that a strong shipping ensures an energy independent Europe.

 

Speaking to the press on the sidelines of the “Maritime Cyprus 2022” Conference that takes place in Limassol, he said that this year’s participation has exceeded previous ones, with more than 900 delegates from 35 countries, adding that delegates have praised Cyprus’s efforts to develop the sector and its positive contribution to global shipping through actions and initiatives and through its national strategy.

 

He welcomed the presence at the conference of the Secretary-General of the International Maritime Organization and the European Transport Commissioner, as well as other important personalities of global shipping, saying that their presence in Cyprus is an indication of the importance of Cypriot shipping.

 

Shipping, he pointed out, must become greener, contribute to addressing climate change, adding that at the same time, regulatory authorities and industry, must work to maintain its competitiveness.

 

Particularly in Europe, he continued, “a strong shipping ensures what we all have to strive for, an energy-independent Europe, with an economy without fossil fuels, a green economy, which will be able to address future challenges.”

 

Cyprus, he pointed out, is the only country that has implemented green tax incentives to enable ship owners and ship operators, through their practices, to reduce emissions of pollutants, and said that in the coming period we will also take initiatives so that to form global solutions in shipping at an international level.

 

Asked whether delegates have expressed concerns about the energy crisis, the Deputy Minister said that there are thoughts as to whether the efforts to decarbonise shipping should be accelerated or slowed down because of the Ukrainian crisis and sanctions.

 

Source: Cyprus News Agency

 

Cyprus secures a total of 20 medals at Malta Invitational Games

Cypriot athletes won on Sunday five more medals, 20 in total, at the Malta Invitational Games organised by the Malta Olympic Committee.

 

In the context of the Games, Malta hosted 180 athletes, representing 10 countries including Andorra, Bulgaria, Cyprus, Faroe Islands, Gibraltar, Iceland, Luxembourg, Montenegro, San Marino and Malta.

 

According to an announcement by the Cyprus Olympic Committee (COE), on Sunday, the last day of the games, Cyprus won one gold, two silver and one bronze medal in the Triathlon and one bronze medal in the Women’s Doubles in Bowling.

 

Cyprus in total won 20 medals in Tae Kwon Do, Triathlon and Bowling and more specifically, 12 gold, three silver and five bronze medals, “a harvest that is the best of all the 10 countries participating in the games,” the COE said.

 

It is noted that the Cypriot team “came very close to winning first place,” in the overall score of all three events of Biathlon, Aquathlon, and Triathlon, after collecting a total of 51 points, one point behind the home team of Malta, winning the silver medal.

 

The COE also said that, in the context of the games, the Head of Mission and Member of the Executive Board, Odysseas Patsalides, met on Sunday morning with a delegation of the team of the Faroe Islands, with the representatives of the Faroes expressing their intention to join the countries of the Games of the Small States of Europe (GSSE).

 

Patsalides also met with the President of the Malta Bowling Association, Edward Mifsud, it adds.

 

Source: Cyprus News Agency

 

Finance Minister travels to US for IMF and World Bank General Assemblies

Minister of Finance Constantinos Petrides departs for the US to take part in the annual general assemblies of the International Monetary Fund and the World Bank as well as Commonwealth Finance Ministers’ meeting from 10-16 October.

 

A Finance Ministry press release said the Minister will also participate in multilateral meetings where the world economy and issues such as poverty eradication will be examined as well as the effectiveness of international financial assistance, the prospects for economic growth, the financial system and other current issues of economic interest.

 

The Minister and the members of his delegation will also hold bilateral meetings with US administration officials, IMF representatives and officials from international monetary organisations.

 

Source: Cyprus News Agency