As water scarcity becomes an urgent concern across the Mediterranean, Cyprus is intensifying its efforts to safeguard its water resources through significant desalination expansions. The government has unveiled ambitious plans focused on Limassol, Larnaca, and Famagusta districts in response to worrying drought projections expected to peak by 2026.
The Water Development Department (WDD) is spearheading multiple projects, including three mobile desalination units slated for Episkopi, Vasilikos, and Ayia Napa. Additionally, they’re developing a permanent desalination plant in eastern Limassol while planning to replace the aging facility in Dhekelia. These initiatives aim for uninterrupted water supply across all districts and improved resilience against climate variability.
Moreover, certain hotels have proposed installing smaller desalination systems, potentially providing up to 1,500 cubic meters daily, further easing local water demand.
Current dam levels highlight the critical scenario — total capacity now rests at just 10.8%, a sharp decline from last year’s 25.9%. The Kouris Dam, Cyprus’ largest reservoir, is alarmingly low at 9.8%. These metrics underline the pressing need for desalination to supplement natural water supplies.
Strict penalties have been implemented for water wastage, ranging from severe fines to possible criminal charges, emphasizing conservation alongside new infrastructure.
Today, Cyprus operates five permanent desalination plants located in Paphos, Episkopi, Vasilikos, Larnaca, and Dhekelia, collectively producing 235,000 cubic meters per day. Additional mobile units in Moni, Kissonerga, Garyllis, and Limassol Port are either functioning or nearing completion, adding about 47,000 cubic meters daily by early 2026.
Each mobile unit boasts a capacity of 10,000 cubic meters per day, with an estimated annual operational cost around €3 million.
The permanent plant in eastern Limassol is designed to serve the expanding urban areas with a 60,000 to 80,000 cubic meter daily capacity. After assessing multiple sites, the WDD selected a location adjacent to the Limassol Sewerage Board facility, aiming for completion within five years.
In Dhekelia, the replacement plant will increase capacity to between 80,000 and 100,000 cubic meters daily, servicing both Famagusta and portions of Larnaca. Construction will be on-site to expedite the transition as the existing contract ends in 2027.
Recognizing the urgency, the Ministry of Agriculture has fast-tracked these projects by granting environmental and planning exemptions alongside proposed changes to allow the use of coastal forest areas.
The 2026 budget reveals a substantial 23% hike in water procurement expenses, reflecting prolonged drought conditions and escalated costs associated with desalination and recycling. Allocations rise to €142.1 million from €116 million in 2025.
Forecasts indicate continued declines in water reserves, especially across Nicosia, Limassol, Larnaca, and Famagusta, signaling likely irrigation restrictions. Conversely, Paphos is expected to avoid shortages due to its robust desalination framework.
For real estate investors and homebuyers eyeing the Cyprus market, these developments are crucial. Water availability plays a vital role in property values and livability, particularly in expanding urban hubs like Limassol and popular areas such as Famagusta. Explore our listings for Cheap Houses and Villas for Sale Cyprus or check out Affordable Apartments across the island to find your ideal property aligned with this evolving landscape.
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