The cabinet on Wednesday approved relief measures worth €100 million to support victims of wildfires that devastated mountainous areas of the Limassol district, destroying homes and livelihoods built over decades.
The comprehensive package aims to provide immediate relief to affected residents and help them rebuild their professional activities following the destructive blazes.
The measures include one-off financial support for urgent needs, rental subsidies for temporary accommodation until permanent homes become habitable again, damage restoration funding, and three-month wage subsidies.
Cyprus will approach the European Commission within the next 24 hours to explore funding possibilities for damage restoration through various European funds and programmes. The Commission can provide financial assistance to member states for natural disaster damage restoration, though this typically requires damages exceeding €170 million. Given Cyprus’s size and unique circumstances compared to other European states, the Cypriot request may be assessed under different criteria.
Affected areas and damage assessment
The government measures will cover 23 villages: Omodos, Arsos, Koilani, Vasa Koilanou, Vouni, Sylikou, Malia, Laneia, Lofou, Agios Therapon, Agios Amvrosios, Kissousa, Pachna, Kato Kivides, Pano Kivides, Souni-Zanakia, Alassa, Monagri, Pera Pedi, Kouka, Potamiou, Sotira and Ypsonas.
The largest portion of funding will cover restoration of affected residents’ permanent homes. A total of 440 homes sustained damage, with 211 completely destroyed. Additionally, 81 storage facilities, 19 commercial properties and 101 vehicles were affected.
Officials conducted extensive planning exercises and calculated costs based on worst-case scenarios.
Detailed relief measures
The approved measures include:
Immediate support: One-off payments to wildfire victims permanently residing in affected areas to cover basic needs, estimated at €3.5 million under the worst-case scenario.
Housing assistance: Rental subsidies covering accommodation costs for affected residents until their homes are repaired or rebuilt, estimated at €5 million.
Property restoration: Full damage restoration for partially or completely destroyed homes, with assessments based on current market prices. For insured properties, deductible amounts will be covered. Initial estimates put costs at €65 million.
Tax relief: Exemption from community fees and taxes for 2025 for permanent residents and businesses operating in affected areas, with the state compensating community councils for lost revenue.
Agricultural support: Twelve-month exemption from rent payments on Turkish Cypriot properties leased for agricultural and livestock purposes, effective from 1 August for one year
Documentation: Free reissuance of travel documents, including identity cards, passports and birth certificates.
Primary sector recovery: Four schemes from the Agriculture Ministry totalling €25 million for primary sector restoration and support for producers and farmers, covering compensation for reactivation, replacement of agricultural equipment, and restoration of water supply and flood protection works.
Employment support: Three-month financial support for workers unable to work due to workplace damage or destruction of professional equipment, estimated at €1.3 million. Payments will be made at the end of August.
Business assistance: Two support schemes from the Energy Ministry for business reactivation, estimated at €700,000.
Utilities: Subsidy for the next electricity bill from the Electricity Authority of Cyprus up to €500.
Tourism: Support measures for agrotourism businesses.
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