Wednesday 05.02.2025 ΚΕΡΚΥΡΑ

Central Corfu Mayor: The truth about the Municipal Cleaning Service tax

municipal tax
04 Feb 2025 / 13:40

CORFU. "The data from our Municipality΄s Financial Service, concerning the annual deficit it presents, the waste management... and the numbers speak for themselves!"

(Central Corfu Municipality) Residents and professionals of Corfu are rightfully asking to know the reasons behind the significant increase in Municipal Cleaning and Lighting Tax.

The data from our Municipality's Financial Service, concerning the annual deficit, the waste management (collection, transfer, transportation, processing at the Ioannina and Kozani plants, and finally, the sanitary residue landfill), and the numbers speak for themselves!

Year 2022:

  • Invoiced expenses: €16,868,351
  • Collected revenue: €11,477,129
  • Revenue-expense difference: -€5,391,221

Year 2023:

  • Invoiced expenses: €20,824,886
  • Collected revenue: €12,189,554
  • Revenue-expense difference: -€8,635,331

Year 2024:

  • Invoiced expenses: €22,674,578
  • Collected revenue: €11,434,058
  • Revenue-expense difference: -€11,240,520

Note: The increased expenses for 2024 are due to the transfer of unpaid invoices from 2023, amounting to a total of €1,478,031.

 

At this point, the question arises: Which organisation or business at a local level could survive with an annual deficit of over €11 million? A deficit caused by the yearly transfer of 46,000 tons of waste to Ioannina and Kozani and the management of another 7,000 tons of recyclables, bulky waste, etc., on the island.

CAN THE STATE COVER PART OF OUR WASTE MANAGEMENT COSTS?

Some representatives of local organisations, as well as individual citizens, propose that we request the state to cover the deficit (the revenue-expense gap) in the Cleaning Services. However, it has been known since 2019, when the waste transfer to mainland facilities was approved, that:

"The transfer of waste does not create an expense for the state budget but instead results in a cost for the serviced Municipality, which will be covered by municipal service fees." (Government Gazette, Issue B’ 4751/23.12.2019).

 

This solution was initially given by the Ministry of Environment as a temporary measure, meant to last until 2022, by which time the construction of Corfu's own waste processing plant was expected to be completed.

However, the significant delays in the construction of Corfu’s Integrated Waste Management Facility have resulted in the continued transfer of waste, leading to an unsustainable financial burden that the Municipality cannot sustain with its existing revenue from taxes.

To illustrate the financial strain, it should be noted that the failure to pay for the waste transfer to Ioannina and Kozani in 2023 led to legal action from the processing plants to recover the owed amounts.

 

As things stand, there is a real risk that these two facilities could refuse to accept our waste, bringing Corfu back to the nightmare of uncollected rubbish, unless we secure the necessary revenue to meet our obligations.

In light of this situation, our Municipal Council had to make the difficult and undesirable, yet necessary decision to adjust the municipal taxes, which had remained unchanged since 2007 for the town and 1999 for rural areas—back when Greece still used the drachma.

IS THE DISTRIBUTION OF MUNICIPAL TAXES UNFAIR?

Some residents feel that the way municipal taxes have been structured is unfair. To address this concern, we have requested that the opposition parties in the Municipal Council—particularly the majority opposition, which governed the Municipality from September 2019 to December 2023—submit an alternative proposal that would generate €23 million in revenue, which we would gladly discuss immediately.

We have made the same request to the Corfu Chamber of Commerce, which is a legally recognised advisor to the government and has the responsibility to propose comprehensive solutions on important issues, such as the allocation of the high cost of waste management.

 

 

OUR GREATEST HOPE: THE WASTE MANAGEMENT FACILITY IN CORFU

Our greatest hope lies in the immediate construction of Corfu’s own Integrated Waste Management Facility, which is progressing decisively under the management of the Solid Waste Management Organisation (FODSA), led by the Regional Governor of the Ionian Islands.

With this facility, Corfu will be able to:

  • Separate and process larger quantities of recyclable and biodegradable waste,
  • Reduce the volume of mixed waste, and
  • Eliminate costly long-distance transfers, significantly lowering overall expenses.

 

In any case, now more than ever, it is imperative to sort waste at the source (where it is produced) with everyone’s participation—both through the better operation of the Municipality's services and through the active engagement of residents and businesses.

Once the Waste Facility is built and waste sorting at the source is fully implemented, a reduction in municipal taxes will naturally follow.

As a first step in this direction, a small Green Recycling Point is currently under construction and will begin operation in March on Eptanison Street (Tria Gefyria).

By the end of 2025, when we review the year’s progress, we must have made the necessary strides to ensure a more optimistic future for our island.

United, the people of Corfu can achieve anything! Corfu deserves it!