The approval follows an agreement signed on December 23, 2024, extending Hermes Airports’ management until 2033, a move that paved the way for major infrastructure upgrades. The deal resolved long-standing financial disputes and facilitated the launch of Phase 2 construction projects.

With an investment of €170 million, these expansions are designed to elevate Cyprus’ aviation capabilities to accommodate up to 17 million passengers annually, marking a significant boost from the current capacity.

The expansion at Larnaca international airport, with an allocated budget of €95 million, aims to increase its capacity to 12 million passengers per year. This development will extend the terminal both eastward and westward, incorporating advanced passport control, heightened security operations, and additional commercial spaces. The introduction of new departure gates on the west side will provide direct ground-level access, facilitating smoother passenger transitions.

Furthermore, the baggage handling area will be significantly enhanced with the addition of two new conveyor belts to expand service and reduce waiting times. Similarly, Paphos international airport will undergo a €75 million expansion to handle an annual throughput of 5 million passengers. 

This project includes the construction of a new supplementary runway and the expansion of the existing terminal to include a new section for the Aliens Department and additional baggage claims, with the potential to accommodate up to four units. The design also allows for the expansion of security and immigration areas to support increased screening capacities. Both projects will incorporate robust ecological assessments and community feedback mechanisms to ensure environmental conservation and address local concerns such as noise and air pollution. Notably, Larnaca’s expansion plans include environmental protection measures like the installation of an oil separator to prevent pollution at the nearby Natura 2000 site, Larnaca salt flats. The agreement also includes a compensation payment and a government loan to facilitate immediate commencement of the projects, underlining a mutual commitment to enhancing the country’s airport infrastructure. Expected to be completed within the strategic timelines set by the management, these expansions are projected to significantly enhance the passenger experience, increase commercial activity, and boost overall capacity.

At the time of the original announcement, Transport Minister Alexis Vafeades highlighted the urgency of these upgrades. “The sharp increase in passenger traffic achieved through our joint efforts with Hermes Airports, the Deputy Ministry of Tourism, and our tourism sector partners has made the expansion of the two airports essential,” the minister said.

The agreement included a €30 million compensation payment and a €20 million government loan, ensuring that the projects could begin without delay.

Finally, Christophe Petit, chair of the board at Hermes Airports, noted that “with the agreed projects, the airports will be even better equipped to meet the demands of the new era, extending well beyond the current concession agreement”.

Source: Cyprus Mail