FinMin welcomes €20.9m payment for REPowerEU measures

The Finance Ministry has welcomed the European Commission’s announcement regarding the payment to Cyprus of €20.9 million from the Recovery and Resilience Mechanism, as pre-financing linked to the REPowerEU funds under the Recovery and Resilience Facility.

A press release by the Finance Ministry said that Cyprus has secured €104m for financing the new REPowerEU Chapter within the framework of the national Recovery and Resilience Plan 'Cyprus – Τomorrow', for the implementation of additional reforms as well as new or upgraded incentive plans for energy upgrading as well as for the further promotion of electric mobility, with the implementation horizon being 2026.

It notes that until today, €263 million have been collected from the Recovery and Resilience Mechanism while following the completion of the required checks that are now being carried out by the EU institutions on the application for the payment of the 2nd and 3rd tranches, submitted by the Republic of Cyprus on 15 December 2023, another €152.2 million will be collected.

The total collection (of €415 million) from the Recovery and Resilience Mechanism from 2021 until the first quarter of 2024 are as follows: Firstly, with the submission and approval of the initial Plan in 2021, the pre- payment of €157 million was disbursed. Secondly, it is added, with the achievement of the first 14 milestones, the first tranche was disbursed in 2022, amounting to €85 million. Thirdly, with the approval of the amended Plan and integration of the new REPowerEU Chapter, an additional pre-payment of €21 million was received today and finally, with the completion of the 38 milestones of the 2nd and 3rd tranches and after the EU audits are completed, it is expected that €152.2 million will be disbursed within the first quarter of 2024.

It is noted that this year two payment requests will be submitted for the 4th and 5th installments for the collection of €197 million.

The press release says that the Minister thanks the European Commission for the close cooperation, all partners, as well as the implementing agencies of the national Plan and assures that the government's efforts will continue to achieve all the goals and milestones on time and based on the agreed time frames.