The Audit Office of Cyprus warned that the nation risks severe water shortages amid climate change pressures. Officials must improve management of the country’s reserves immediately. The Water Development Department (DWD) bears primary responsibility for overseeing supply and ensuring sustainability.
Flawed Monitoring and Billing Systems
Auditors found major gaps in metering, billing, and documentation. Two intake points supplying 64% of Nicosia’s water received irregular inspections. The DWD lacked access to Limassol meters and Larnaca telemetry, leaving invoices uncertain. Officials observed discrepancies but failed to investigate them, and forms remained incomplete. The computerized billing system also exposed weaknesses in access controls and data security.
Financial and Operational Weaknesses
TAY collected €147.7 million, including €69.2 million in overdue payments, mostly from Local Authorities, yet new debts continued to pile up. Officials provided €58.1 million worth of water to Turkish Cypriot consumers without invoicing due to political decisions. Authorities delayed legal action and failed to stop private companies from over-pumping, which threatens regional supplies. Businesses overconsumed water without paying, and key projects in Polis Chrysochous and Tilleria stalled despite a 2022 study.
Urgent Need for Strategic Reforms
The Audit Office recommends stronger oversight, faster decision-making, and long-term planning. Cyprus must implement tighter controls, modernize resource management, and ensure sustainable water policies for the future.
