Amidst the evolving landscape of the maritime industry, Cyprus remains steadfast as an admirable example of maritime excellence.
With a robust ship registry and a vibrant maritime cluster, Cyprus has firmly established itself as a premier maritime hub.
In the past year, the Shipping Deputy Ministry has spearheaded various strategic initiatives, showcasing a firm dedication to excellence and innovation. Central to Cyprus's maritime success story is its commitment to providing top-notch services while prioritizing maritime safety and security. Supported by the wealth of expertise within its workforce, Cyprus has earned recognition as one of the most reliable and competitive maritime flags globally.
Over the last six months, Cyprus has seen a notable increase in registered tonnage—a clear sign of continued support from shipowners worldwide and growing interest from new partners. This surge, alongside increasing interest in registering vessels with the Cyprus Ship Registry, points toward a promising future for Cyprus's maritime sector. With a renewed focus on elevating quality and safety standards, Cyprus is poised to expand its fleet and enhance its global standing further.
The Cyprus Tonnage Tax System remains a cornerstone of growth, attracting a growing number of companies. With 420 companies now benefiting from this system—a 14% increase over the past year—shipping continues to play a crucial role in Cyprus's economy. The overarching goal remains unwavering: to continually bolster the competitiveness of the Cyprus flag and the maritime sector.
To reinforce its competitiveness, Cyprus has established two advisory committees dedicated to enhancing the quality and competitiveness of its flag and maritime cluster. These committees are set to play a pivotal role in offering consultation and fostering collaboration within the maritime community.
Embracing the transition to sustainability, Cyprus aims to fully digitize the Shipping Deputy Ministry by 2024, increasing efficiency and supporting the shipping industry's competitiveness. Technology serves as a powerful tool in offering innovative solutions to pressing challenges, and Cyprus has made significant strides in simplifying procedures, reducing bureaucracy, and embracing a paperless Maritime Administration.
The One-Stop Shipping Centre has begun operations, providing services and addressing requests from shipping companies and related entities, streamlining processes across government authorities to support the Shipping Deputy Ministry's collaborators. This marks the beginning of a comprehensive plan to centralize all shipping-related services from other governmental departments and ministries, aiming to provide efficient service promptly.
Cyprus also acknowledges the importance of maintaining the quality of its fleet, consistently achieving "White List" status in the Paris and Tokyo MoUs on Port State Control. The nation's top priority remains maintaining and improving the exceptional quality for which the Cyprus flag is renowned. Cyprus's rise in the Paris MoU's White List ranking reflects its steadfast focus on maritime safety and security standards, further reinforced by legislative measures to enhance these standards and protect the marine environment.
Decarbonizing shipping is also one of the most significant challenges faced by the shipping sector. The urgent need to address climate change has placed a spotlight on the maritime industry's carbon footprint. As a leading advocate for sustainable shipping, Cyprus believes that comprehensive and diverse measures are necessary at both global and regional levels to achieve emissions reduction targets and ensure a sustainable future for the industry. Cyprus actively participates in the IMO and EU deliberations to formulate a broad and diverse set of actions to achieve emissions reduction targets. However, it is crucial to incentivize shipowners for their investments in sustainable practices to accelerate widespread adoption. Thus Cyprus supports the shipping industry to achieve its decarbonization goals and in this respect provides green tax incentives to shipowners and operators, encouraging and supporting ships registered under the Cyprus flag to use alternative fuels. Whilst such incentives were introduced from the fiscal year 2021, these have recently been revised and new incentives have been approved to reward vessels demonstrating effective emission reductions with a 30% reduction in annual tonnage taxes for compliant vessels.
As Cyprus commemorates the 60th anniversary of its Ship Registry, it reflects on a remarkable journey of maritime excellence while charting a course for even greater success in the future. With a clear vision, extensive experience, and unwavering commitment, Cyprus aims to lead its shipping industry toward greater prominence on the global maritime stage.
In conclusion, Cyprus's maritime achievements and aspirations demonstrate its dedication, innovation, and resilience in navigating evolving challenges and opportunities. As the nation continues its voyage of progress, its commitment to excellence and sustainability ensures a promising journey ahead.