THE GOVERNMENT may yesterday have relaunched its strategic plan for tourism, but one of the least successful proposals from the original plan – the creation of a network of marinas – is still up in the air.
Earlier this year, the government received only three tenders for the construction and operation of five new marinas after inviting international operators to bid under the Build Operate Transfer (BOT) method.
Under the terms and conditions, successful bidders would undertake the development, operation and management of the marinas for up to 48 years, after which they would be returned to the state along with all installations. In addition to basic port facilities, the marinas were to include commercial and entertainment buildings.
The projects were due to be well underway by now, but several postponements have frustrated boats owners and the government.
Reports yesterday said that one company with 300 shareholders had offered to take on the Larnaca project. But a source close to the marinas issue told the Cyprus Mail that the story was designed to soften the impact if the government went ahead and gave the project to one company without competition.
“This is to show that maybe it’s not typically right to give it to one tenderer and since this one is made up of a lot of shareholders it’s a way of letting the public know, so they will not accuse us of giving the contract to just one bidder,” the source said. “And I think this is what the government is planning to do.”
The source said the terms of reference laid down by the previous government had been drawn up by “people totally ignorant of marina operations”.
He said the simple reason why there had been no interest from investors lay in the need to create breakwaters for the five marinas.
“Breakwaters are very expensive and Cyprus is a unique case because it is without any natural shelters,” he said. “The then government was insisting the private sector were lunatics willing to pour three million pounds into the sea.”
The source said the government had boasted that 60 companies were very interested in the project.
“But the very interested became very disinterested as soon as they heard about the breakwaters and so only three Cypriot groups followed through, one for Limassol, one for Larnaca and one for Ayia Napa. Paphos is not going to materialise because the government is not going to do it.”
The source said that in other countries it was the government that spent money on the breakwaters, “because in any case it’s going to remain to the country”.
An official at the Commerce, Industry and Tourism Ministry said yesterday that no decision had yet been taken on the single tender and that it was being evaluated by technical experts.
