Economy

Transport Minister Announces Taxi Reforms and National Platform

photo Transport minister announces taxi reforms and national platform

Taxi driver reforms are set for the first half of 2026, said Minister of Transport, Communications, and Works, Alexis Vafeadis. This announcement came after talks with the Parliamentary Committee on Transport, Communications, and Works on Thursday.

During the meeting, Committee President Alekos Tryfonidis asked about measures against taxi piracy. Mr. Vafeadis replied that taxis are a big concern for the Government. He noted that the Licensing Authority has started a study and will consult with stakeholders before proposing new laws to Parliament. “Reforming the profession is key to tackling piracy,” he added.

Despina Amerikanou, President of the Licensing Authority, shared that a study looked into the current taxi service system. The findings show that 60% of people in Cyprus don’t use taxis because they are too expensive and hard to find during busy times. Also, 52% of taxi drivers do not own their cars. This creates a serious need for regulation, she explained. Ms. Amerikanou also mentioned that 53% of drivers feel taxis don’t meet demand. “We have too many taxis in rural areas and not enough in central areas during peak times,” she added.

On the topic of piracy, Ms. Amerikanou pointed out that other countries facing similar issues have a single platform for all taxis, which allows authorities to manage them better. The Licensing Authority also proposed flexible licensing with specific criteria.

Ms. Amerikanou stressed that solutions are needed. New licenses are essential but not under the current system. “We need to regulate the sector first,” she said. She expects a legislative proposal to be presented to Parliament in early 2026.

When asked by Committee President Alekos Tryfonidis about expected measures, Ms. Amerikanou suggested one solution: creating a national platform. This would allow for necessary taxi checks, digital meters, incentives for using low-emission vehicles, and generally “entering a new era,” as she put it.

For rural taxis, the Licensing Authority recommends using a model similar to what municipalities do, expanding rural taxis into local communities.

In response to a question from the Committee President about tackling piracy before full reform, Ms. Amerikanou proposed increasing administrative fines and seizing vehicles when possible.

The Minister supported increasing fines, noting that 70% of piracy cases involve professional drivers. “Professionals themselves break the law meant to protect them,” he added.

After discussions with the Committee wrapped up, Mr. Vafeadis emphasized the importance of improving service quality. The Ministry will focus on ongoing training for all drivers and renewing fleets.

AKEL MP Valentinos Fakontis also spoke up, mentioning information from the head of the Licensing Authority about upcoming legislation that will create a new operational framework for all taxis in Cyprus. He stated that MPs are waiting for this new regulation and new taxi licenses will be issued if needed.