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"Golden" chaos in beach concessions

01 April 2015 / 20:04:24  GRReporter
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Many consider the "chair-umbrella-beach restaurant" combination as a sufficient reason to avoid beaches. However, letting out beaches brings a decent revenue to municipalities and the state every year. The problem is that, like everything else in the country, this market every year is organised at the last minute or even after the tourist season has started. Furthermore, control is rarely exercised, usually after a warning or an accident. This year is no exception, as the relevant ministries have significantly delayed the issuance of the required resolution. However, the situation is further compounded by the decision of Chamber E of the Council of State (the Supreme Administrative Court of Greece), which declares unconstitutional the procedure by which the state grants to the municipalities the right to let out beaches.

The story goes like this: the beaches in the country belong to the state that, in each separate case, decides on the activities that will be carried out on them (e.g. port activities) or on their long-term concession (e.g. to a hotel). Letting out beaches for "common use", i.e. for the purpose of entertainment, with umbrellas, chairs and other necessary temporary objects is an exception. Each year the state grants to the municipalities the right to dispose of the beaches based on certain rules (keeping their public nature, minimum distances, etc.). Municipalities in turn offer to individuals the beaches for concession and pay the state 20% of revenue.

This year, the problem is that the issuance of the relevant resolution is delayed. "It was supposed to be issued as early as February!", Lefkada Mayor Kostas Drakondaidis is indignant. "Dozens of requests from different hotels, cafes and other individuals have already been received. Signing the contracts, however, requires a procedure that takes time. There have been years when tenants informally begin to exploit the beach in June and the contract is signed in August. Of course, no rent may be requested for the period before signing the contract. Hence, both the state and the municipalities lose revenue. Furthermore, the delay often results in squatting, i.e. some "cowboys" squat on the beach and nobody can drive them out."

The procedure by which the state entitles the municipalities to let out the beaches has certain advantages, but only if it is triggered in time. Following a complaint by the Athens Bar, Chamber E of the Council of State considers that there are serious problems in connection with the procedure (Decision № 646/2015). According to the Supreme Administrative Court, the collective concession of all beaches "does not ensure the protection of coastal ecosystems that are threatened by overexploitation, nor does it preserve their common use." Because of the significance of this issue, the case has been transferred to the seven-member composition of Chamber E, the meeting of which is scheduled for 3 June 2015.

The decision of the Supreme Administrative Court reflects a reality, namely the unacceptable condition of the beaches, especially in tourist areas and even in strictly protected areas. On the other hand, control is minimal to non-existent. "If you ask who is in charge of controls - the municipality, cadastre office, port authorities or the police - no one can answer you", says the Mayor of Lefkada.

In 2013, the Ministry of Finance decided to define the local cadastral offices as jointly responsible for concessions. The reason was the belief that the amount paid by the municipalities to the state was insignificant compared to their actual revenue, most of which was obtained under the counter. Indeed, revenue immediately increased but the functioning of the cadastre offices was literally paralyzed. "A service with one or two employees who are responsible for 50 beaches or 10 islands is unable to carry out inspections. Let us not forget that the cadastre offices have many other obligations, such as the demarcation of beaches, letting out public buildings, etc., which they perform with a small staff, " the head of an office located on an island, who wished to remain anonymous, told the newspaper Kathimerini.

"So, we just sit and watch what happens. If there had been five teams of officials to go round the islands in the summer and check the concessions of the beaches, the state would have had much more revenue and the beaches would have surely been in a better condition than today's chaos."

Tags: Beach concessionsProblemsRevenueState Councils of GreeceDecision
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