The supplies tender for the Design, Supply, and Installation of a 245kV 1x250MVA Auto-Transformer, alongside 1x120MVAr and 1x240MVAr Variable Shunt Reactors, has now commenced at the BEST manufacturing plant in Turkey. This transition ensures that the essential assets required for the successful operation of the second interconnector remain on track for delivery. 

The €20.2 million contract is being delivered by the local contractor AG Installations, working in close collaboration with their supplier, BEST.  

“We’re pushing forward with the implementation of our energy strategy, delivering projects that matter. We’re making significant investments in our distribution infrastructure, accelerating renewable energy growth, leading the way on battery storage, and progressing on the development of the second interconnector. Together, these initiatives will strengthen our energy security and transform our energy mix by unlocking more renewable energy opportunities.” Minister Dr. Miriam Dalli said.

Inġ. Ismail D’Amato, Chief Executive Officer of Interconnect Malta, emphasized the significance of this phase: “The commencement of manufacturing of the reactors and transformer marks an important milestone in the implementation of IC2. These components are not merely infrastructure; they are the pillars that ensure grid stability and voltage control, without which energy cannot be transmitted through the interconnector. Through its supervision, Interconnect Malta is supporting the delivery of a strategic asset designed to achieve high levels of reliability for the national network. ” 

These specific components, namely, the auto transformer and variable shunt reactors, are required for voltage regulation and reactive power control. Their integration is essential for maintaining the overall stability of the national grid and ensuring the safe, efficient transfer of electricity between Malta and Sicily. 

The Second Interconnector serves as a cornerstone of the Government’s energy strategy, designed to double Malta’s interconnection capacity and significantly enhance security of supply.  

By reducing reliance on local fossil-fuel generation and facilitating the integration of large-scale renewable energy, IC2 is pivotal to the nation’s green transition. This strategic investment is co-financed by the European Union under the European Regional Development Fund (ERDF), reflecting a shared commitment to strengthening Malta’s energy resilience and sustainability within the European market. 

The post Manufacturing commences on critical infrastructure for second Malta–Sicily Interconnector first appeared on The Malta Business Weekly.

The increase reported under Malta Government Stocks (€1,291.4 million) was the main contributor to the rise in debt. Higher debt was also reported under Treasury Bills (€81.7 million), Foreign Loans (€77.7 million) and Euro coins issued in the name of the Treasury (€3.8 million). This increase in debt was partially offset by a drop in the 62+ Malta Government Savings Bond (€38.5 million). Moreover, higher holdings by government funds in Malta Government Stocks resulted in a decrease in debt of €23.5 million.

At the end of the same month, the Government’s Consolidated Fund reported a deficit of €18.0 million.

Between January and July 2025, Recurrent Revenue amounted to €4,103.2 million, €13.7 million higher than the figure reported a year earlier. The largest increases were recorded under Social Security (€98.4 million), Customs and Excise Duties (€33.7 million) and Licenses, Taxes and Fines (€24.7 million). On the other hand, lower revenue was recorded under Grants (€101.2 million), Value Added Tax (€44.3 million) and Income Tax (€21.6 million).

Total expenditure from January to July 2025 stood at €4,621.1 million, €592.0 million higher than the previous year.

During the reference period, Recurrent Expenditure totalled €4,009.3 million, an increase of €472.3 million compared to the €3,537.0 million reported the year prior. The main contributor to this increase was an €218.1 million rise reported under Programmes and Initiatives. Further increases were also recorded under Personal Emoluments (€117.0 million), Contributions to Government Entities (€95.4 million) and Operational and Maintenance Expenses (€41.8 million).

The main developments in the Programmes and Initiatives category involved higher outlays towards Social security benefits (€91.9 million), Church schools (€21.7 million) and Energy support measures (€16.5 million).

The interest component of the public debt servicing costs totalled €168.1 million, an increase of €20.4 million when compared to the previous year.

By the end of July 2025, Government’s capital spending amounted to €443.8 million, €99.3 million higher than the comparative period in 2024. Higher outlay was, among others, reported towards the Development of a second electricity interconnector (€73.5 million), the RePowerEU initiative (€18.7 million) and Investment incentives (€14.9 million).

The difference between total revenue and expenditure resulted in a deficit of €518.0 million being reported in the Government’s Consolidated Fund at the end of July 2025, in comparison to a €60.3 million surplus registered by the close of July 2024. This difference mirrors an increase in total Recurrent Revenue (€13.7 million), coupled with a higher rise in total expenditure, which consists of Recurrent Expenditure (€472.3 million), Interest (€20.4 million) and Capital Expenditure (€99.3 million).

The post Government debt surpasses €11 billion – NSO first appeared on The Malta Business Weekly.

Thanks to the Foundation’s sponsorship, a multi-disciplinary team from Palermo – including archivist Dr Francesca di Pasquale, communications specialist Dr Floriana Giallombardo, and conservator Dr Sophie Bonetti – will travel to Malta to share their knowledge and experience. They will join other professionals who, through their work or research, have explored connections between Malta and Sicily, offering a programme of talks and discussions on archival science, conservation, community engagement, and the cultural and historical ties between the two islands.

“The HSBC Malta Foundation has long supported the preservation and promotion of Malta’s documentary heritage,” said Geoffrey Fichte, Chairperson of the HSBC Malta Foundation. “We are delighted to once again support the Notarial Archives Foundation in its mission to safeguard and share the rich historical records in its care. This symposium marks an important step in building cross-border partnerships that can elevate archival standards on both sides of the channel.”

Dr Joan Abela, President of the Notarial Archives Foundation, expressed gratitude for the continued support. “This symposium would not be possible without the HSBC Malta Foundation, whose ongoing commitment and support has been instrumental in aiding our mission. We are thrilled to welcome our colleagues from Palermo, alongside other professionals with a shared interest in the heritage of Malta and Sicily, to provide a platform for learning and collaboration that is open to a wide audience in the heritage sector.”

The event is expected to welcome over 150 attendees and will be open to the public.

For more information and to book, visit this registration form.

The post HSBC Malta Foundation supports collaborative symposium linking Maltese and Sicilian Archival Communities first appeared on The Malta Business Weekly.

Micaela Catania and Monica Abela are the winners of a 4-night package for two, which includes return flights to Barcelona, 5-star hotel accommodation, and the once-in-a-lifetime premium hospitality experience. The presentation was attended by BOV Chief Personal & Wealth Officer, Simon Azzopardi, Chris Degabriele, Head of BOV eBanking Channels and Daniel Magrin, Head of BOV Marketing & Product Lifecycle Management.

The campaign is part of an ongoing drive from Bank of Valletta to incentivise cashless migration amongst its customers. Earlier this year, another similar campaign to encourage card payments was held during the Carnival weekend, while another initiative is currently underway till the end of June, rewarding 60 customers monthly for withdrawing less than €300 cash in any given month and by making at least one retail transaction using a BOV Debit or Credit Card.

Whilst congratulating the winners, Simon Azzopardi thanked Visa for partnering with the Bank to offer another great opportunity to customers. “Thanks to our ongoing collaboration with Visa we continue to facilitate fast and secure payments through innovative card and digital wallet solutions. Our customers today can use these solutions to help them make payments in the most efficient way possible. This initiative allows us to reward BOV Card users with a unique and thrilling experience, unmatched in the local market. This opportunity to attend one of the most prestigious sporting events in the motorsport international arena is a clear demonstration of BOV’s commitment to the proliferation of digital payments on both local and international level.” Mr Azzopardi concluded by encouraging card users to continue to make use of BOV’s extensive range of payment services and promised more rewarding experiences for BOV clients.

The post Two BOV VISA cardholders make their way to Barcelona first appeared on The Malta Business Weekly.

This marked TradeMalta’s second official trade mission to Saudi Arabia, following a previous visit in 2022. This year’s delegation comprised nine Malta-based enterprises representing a broad range of sectors, including education and training, architectural services, healthcare, manufacturing and ICT, reflecting the breadth and expertise of Malta’s export-oriented business community.

Throughout the week, the delegation participated in a series of high-level engagements including B2B meetings hosted by the Riyadh Chamber of Commerce as well as a market insight session at the Ministry of Investment of Saudi Arabia. The programme also allowed for individual business meetings and follow-ups with prospective clients and partners.

“Saudi Arabia is undergoing an exciting phase of transformation, and this mission provided valuable insight into the real opportunities across sectors aligned with Malta’s strengths. The level of interest shown in Malta-based companies was encouraging, and the visit enabled us to build new relationships and explore potential partnerships in one of the region’s most dynamic markets,” remarked Anton Buttigieg, CEO of TradeMalta.

TradeMalta remains committed to positioning Malta as a credible and capable partner for international business. Through such initiatives, TradeMalta continues to empower Malta-based businesses to internationalise by supporting their pursuit of sustainable international growth and long-term commercial success.

Businesses interested in expanding internationally are encouraged to reach out with their ideas and plans. TradeMalta looks forward to offering the guidance and resources needed to turn those ambitions into successful endeavours.

The post TradeMalta successfully leads a business mission to Saudi Arabia first appeared on The Malta Business Weekly.

The bank’s strong capital generation enables it to recommend a dividend pay-out ratio of 51% of the reported profits for the year ended 31 December 2024. The final gross dividend will be of 12.0 cents per share (7.8cents per share net of tax). This together with an interim dividend of 10.0 cents paid on 17 September 2024, brings the total dividend for 2024 to 22.0 cents (14.3 cents net of tax), representing the highest dividend in the last decade.

Financial Performance 

Profits before tax of €154.5m for the year ended 31 December 2024, an increase of €20.6m or 15% over 2023, the bank said.

Increase in profits driven by revenue growth across all revenue lines mainly due to the higher interest rate environment, increase in customer activity and higher insurance subsidiary results.  The credit quality of the loan portfolio continued to improve resulting in a significant release of expected credit losses. Operating costs increased mainly driven by investment in people, technology and real estate. 

Recommended final gross dividend of 12.0 cents per share (7.8 cents per share net of tax) which brings the total dividend for 2024 to 22.0 cents (14.3 cents net of tax).

Reported profit after tax attributable to shareholders of €100.1m for the year ended 31 December 2024, resulting in earnings per share of 27.8 cents, compared to 24.1 cents in the same period in 2023, the bank said.

Customer deposits increased by €16.8m to €6,158m at 31 December 2024 while net loans and advances to customers decreased by €210.7m to €2,873m compared to 31 December 2023.

HSBC said it delivered exceptional results driven by strong revenue growth across all its businesses and revenue lines. “We experienced continued improvement in the credit quality of the loan portfolio resulting in a significant release of expected credit losses. The reported profit before tax for the year ended 31 December 2024 was €154.5m. This represents an increase of €20.6m or 15% compared to prior year. The reported profits include a notable item of €6.1m relating to the re-assessment of the tax estimate of the with-profit portfolio within the insurance subsidiary,” the bank said. 

Reported profit attributable to shareholders was €100.1m, resulting in earnings per share of 27.8 cents compared to 24.1 cents in the same period in 2023.

Net interest income increased by 5% to €206.1m compared to prior year due to the higher interest rate environment. While the ECB started to lower rates in June 2024, the average prevailing interest rates in 2024 were still higher than 2023.  The increase in net interest income is largely driven by higher interest on placement of excess liquidity, due to higher interest rates as well as higher average deposits balances held throughout the year. 

Net fee income increased by €1.4m to €20.9m compared to 2023. This was driven by an increase in lending and commitment fees as well as higher returns from our asset management subsidiary. We have reported growth in transaction banking and higher volumes of international payments.

Net trading income increased by 27% to €9.7m. As the leading international bank in the market, we grew volume of transactions and helped more clients to manage foreign exchange and interest rate risks. 

Operating costs for the year increased by 10% and amounted to €112.8m, the bank said. The increase in expenses was mainly attributable to our investment in people, the IT infrastructure and real estate.  In 2024, we signed an ambitious and ground-breaking three-year collective agreement to energise our talent on customer service excellence. During the year, we also implemented a new mortgage system, made good progress on the roll-out of new ATMs and inaugurated our new headquarters, HSBC Hub, in Qormi. 

During the year, HSBC Malta said it reported a release of expected credit losses (‘ECLs’) of €14.6m, compared to a release of €4.6m in 2023. The 2024 release is across retail and commercial banking.  It is mainly driven by the recovery on wholesale non- performing loans, a release of retail provisions held for inflationary pressures which did not materialise, general improvement in the credit quality of the book as well as improved forward economic outlook.  “We also saw an increase in recoveries of amounts written off in prior years, as we progressed claims and recoveries in a diligent manner,” the bank said. 

The effective tax rate was 35.2%. This translated into a tax expense of €54.4m, €7.3m higher than the expense for 2023. The increase in tax expense resulted mainly from increased profits.

HSBC Life Assurance (Malta) Ltd reported a profit before tax of €14.4m compared to a profit of €6.2m in 2023. The positive variance in profitability of €8.2m is mainly attributable to a re-assessment of the tax obligation estimate on the with-profit run off portfolio, which resulted in a one-off expense release of €6.1m. 2024 profits also include a reversal of losses on onerous insurance contracts of €1.3m booked in 2023. In 2023, a proportion of insurance contracts were loss making leading to the booking of losses on onerous contracts.  These losses were reversed in 2024 as the contracts became profitable mainly as a result of positive market movements. 

Financial Position and Capital

Net loans and advances to customers decreased by €210.7m to €2,873m. We continued to improve asset quality by reducing non-performing loans by 35% while retaining a prudent credit policy.

Customer deposits increased by €16.8m to €6,158m, the bank said.  The increase was predominantly driven by an increase in retail deposits. While commercial deposits as at 31 December 2024 were at the same level as those reported as at 31 December 2023, we saw an increase in the average level of commercial deposits held throughout the year. The liquidity ratios remained well in excess of regulatory requirements.

The financial investments portfolio increased by 74% to €2,291m. In 2024, the bank continued to increase the size and duration of the structural hedges to reduce the sensitivity of banking net interest income to interest rate movement and stabilise future earnings. As a result, we managed to reduce the one-year interest sensitivity relating to a 100bps negative movement in rates from €24.5m to €18.1m.

The bank’s common equity tier 1 capital was 22.6% at 31 December 2024, compared to 20.6% at the end of 2023. The total capital ratio increased to 25.6% compared to 23.5% at 31 December 2023. The improvement in the capital ratios was driven by increased profits, higher revaluation reserves on our Hold-to-Collect and Sell investment portfolio and lower capital deductions for non-performing loans as a result of the improvement in credit quality. The bank maintained a strong capital base and is well in excess of the regulatory capital requirements.

The bank said it is determined to continue maintaining a strong capital base, whilst at the same time recognising the importance of dividends to our shareholders. In view of the strong results, the Board has recommended a dividend pay-out ratio of 51% on reported profits. The final proposed gross dividend will be 12.0 cents per share (7.8 cents per share net of tax) which brings the total dividend for 2024 to 22.0 cents (14.3 cents net of tax).  This is the highest annual dividend paid in the last decade. The final proposed dividend will be paid on 20 May 2025 to shareholders who are on the bank’s register of shareholders on 13 April 2025, subject to approval at the Annual General Meeting scheduled for 13 May 2025.

 “I’m proud to report record 2024 annual results for HSBC Bank Malta p.l.c., representing the highest levels of revenue, profit, returns, dividends and investment in over a decade.  All of our business lines reported growth in revenues and customers in 2024,” Geoffrey Fichte, Chief Executive Officer at HSBC Bank Malta p.l.c., said. 

“Thanks to the collaboration across all areas of our bank, we have introduced a range of innovative solutions for our customers, including a new mortgage system, upgrades to our card offerings, the launch of group life insurance policies for company employees and improvements to our digital platforms for both individuals and companies. We are replacing our entire ATM network, with half of ATMs already replaced to-date and the remainder set for completion by the end of 2025,” he said.

“We are proud to have been recognised as the Market Leader and Best Service Provider for Trade Finance in Malta, further demonstrating our strength and competitive advantage.  This award is a testament to the dedication and professionalism of our employees.

“Looking ahead, we remain focused on growing and improving our business to support the dynamic needs of our customers and the community, while delivering strong returns to shareholders.  We continue to invest in continuous improvements to make banking easier and simpler for our customers.

“I would like to take this opportunity to thank the Board of Directors and my colleagues for their dedication, whose hard work throughout 2024 helped us deliver record results, improved customer service and generate market-leading returns for our shareholders.  It is an honour for me to lead this successful company, and I would like to thank our customers for their business, trust and confidence.”

The post HSBC Malta posts record 2024 results, dividend to be highest in the last decade first appeared on The Malta Business Weekly.

It continued that a total of 453 permits were issued during Q2 2024, which is a decrease of 8.3% compared to Q2 2023. It said that building permits are authorisations to initiate new building projects and that the objective of these statistics is to indicate the future development of construction activity in terms of the number of approved new dwellings. The cut-off date for these statistics was 30th June 2024.

With that in mind, the NSO said that there was an average of 4.7 approved new dwellings per building permit for Q2 2024.

Breaking down the types of 2,118 approved new dwellings, the NSO said that the majority of these were apartments with 1,491 (70.4%). After apartments, it was penthouses with 333 (15.7%), maisonettes with 205 (9.7%), terraced houses with 66 (3.1%), and other residential units with 23 (1.1%). The term ‘other residential units’ includes buildings such as bungalows, farmhouses, and villas.

Comparing these statistics to Q2 2023 and looking at the Malta area and the Gozo-Comino areas separately, the NSO said that the number of approved new dwellings in Malta decreased by 17.5% while in Gozo and Comino, it actually increased by 8.4%. These statistics together result in the aforementioned total 13.7% decrease.

In terms of localities, the highest number of approved new dwellings was issued in St Paul’s Bay with 130. This was followed by Zabbar with 128, Mosta with 124, Birkirkara with 114, and Sannat with 111.

A number of localities had no new approved dwellings, those being St Lucia, Mtarfa, Mdina, Ghasri, Fontana, Birgu, Lija, Kirkop, and Gharghur. These were followed by Marsa with two new approved dwellings.

By district, the NSO said that the Northern Harbour District had the most with 542, while the Western District had the least with 191, which was still notably a 25.7% increase from the same quarter last year. Gozo and Comino had 388 approved new dwellings.

The NSO said that this data was sourced from the Maltese Planning Authority and that building permits for dwelling extensions, restorations, alterations, or demolitions “that have no effect on the number of new dwellings” were not included.

The post Decrease in approved new dwellings and issued permits compared to last year – NSO first appeared on The Malta Business Weekly.

The project, totalling an investment of around €33 million, was co-financed by the European Union’s Connecting Europe Facility.

The project, which underwent a trial phase prior to its launch, was lauded by Abela as a project which will significantly contribute to a reduction in emissions and an improvement in air quality for local families. The government said that this project will result in an improvement in air quality for around 17,000 families in the area of the Grand Harbour.

The government said that this new technology will ultimately lead to a reduction of over 90% in emissions from cruise liners in the port of Valletta, as well as a reduction in 40% of CO2 from cruise liners. Additionally, it said that there will also be a reduction of over 90% in substances originating from cruise liners which dirty or harm the Grand Harbour.

Transport Minister Chris Bonett said that this is the first project of its kind in the Mediterranean Sea. He added that Malta needs to be a leader in this sector and that projects such as this are of significant importance to the maritime sector.

Bonett remarked that through this project, the decarbonisation of Malta’s maritime sector will begin. He added that the project is aimed at improving the quality of life for people living in the south of Malta.

Abela said that this occasion should be remembered as one of the most important in the country’s environmental process and that this project keeps moving forward in the direction of a more sustainable Malta.

The Prime Minister remarked that Malta is one of the global leaders in maritime sector and that this project is an example of the country going in the direction of major projects that contribute to Malta’s progress.

He said that the opportunities created by the country’s ports are big, but that the ports also bring their challenges. He continued that when facing these challenges, the choice is to either strengthen these projects or pull backwards and reduce the strength of the economy. “The choice was clear,” he commented. He added that there is a need to keep moving forward with the principles of ambition and optimism in mind.

The government said that there are also plans for the implementation of a similar project to be used by Birzebbuga’s Freeport.

The post €33 million investment onshore power supply project inaugurated at Grand Harbour first appeared on The Malta Business Weekly.

A fourth of its kind, the Well-being at the Workplace survey was published byMisco, with the first study conducted in 2020, just before the onset of the Covid-19 pandemic.

According to the findings, 86% of respondents stated that they have experienced poor mental wellness related to work, including stress and anxiety.

“As research continued to confirm the relationship between well-being and job satisfaction and job performance, misco embarked on this annual study to specifically analyse employee well-being in the workplace,” explained Nadine Cilia and Iona Cassar, who led the research project from Misco.

Through this ongoing research, employers gain valuable insights into how employees perceive their well-being at work. Armed with this understanding, organisations can introduce suitable measures to enhance both employee engagement and well-being within the workplace.

“Wellness is a crucial component of overall well-being, so, understanding how individuals perceive this can provide valuable insights into their holistic state of health and happiness. This report helps us understand better the implications of poor mental well-being for organisational success,” added Cilia.

Perceived mental wellness reveals an individual’s subjective evaluation of their emotional state, stress levels, coping mechanisms and overall satisfaction with their mental well-being. Cilia mentions that it is interesting to note that in 2021 when employees should have been more stressed and anxious due to the pandemic, only 63% had reported experiencing poor mental wellness due to work.

“These results become more significant when we consider them in the context of the results obtained in previous years. In fact, whereas in 2021, ‘only’ 63% had reported experiencing poor mental wellness due to work, the growth in prevalence was again confirmed in 2022 with 79% of respondents reporting poor mental wellness, followed by 77% in last year’s report.”

Respondents who have experienced poor mental wellness during their working life were also asked if they have felt that they have experienced poor mental wellness at work in the last 12 months. This year, 69% of respondents confirmed such occurrences, showing an increase when compared to last year’s 64%.

“When such findings are compared to 2022 (68%) and 2021 (62%), the trend reveals a consistent increase in reported poor mental wellness at the workplace,” added Cassar.

Stress, however, remains a prevalent issue among respondents, with a concerning consistent increase over the years. This year, more respondents (52%)  stated that their stress level is poor to very poor, a slight increase when compared to the 49% obtained in 2023, confirming an overall increasing trend over the years with 47% recorded in 2022 and 45% in 2021.

So, with all the active interest and initiatives by companies to ensure their employees enjoy a healthier work-life balance, including hybrid working arrangements and more investment in training and wellbeing events, why are the statistics going higher rather than lower?

“The answer to this question could be in the statistics we compiled for this report. For example, we found that 60% of employees who experience stress and anxiety still do not dedicate time to unwind from work and when asked why this is the case, 71% stated that they do not see the need for it.”

“This is contradictory as access to vacation leave remains a non-issue. In fact, only 5% of respondents reported they had their vacation leave refused,” added Cilia.

The data suggests a potential association between mental well-being at the workplace and the number of working hours. In the current survey, 52% of respondents reported working more than 40 hours a week, a slight increase from the 49% reported in the previous year.

“But then again, 73% of respondents claimed that their energy levels are “Very Good or Good” and 36% stated that their sense of optimism is “Poor or Very poor” which is less than the 40% reported in 2023.”

In terms of how employers are perceived to deal with the mental health and wellness of their employees, 90% of respondents confirm that they feel that it is the employer’s role to do something about the mental well-being of their employees. At the same time, 73% of respondents believe their colleagues would be supportive if they were struggling with mental health.

Additionally, 49% of respondents expressed uncertainty about whom to turn to in the office if they were experiencing mental health issues.

On a more positive note, Cassar noted that more companies seem to be fostering open dialogue about mental health concerns.

“This year’s findings show that 47% of companies are fostering more open dialogue about mental health which contrasts with lower figures in 2023 (42%) and 2022 (38%). Moreover, 48% indicated that their organisation offers work-life balance initiatives such as flexible hours and the mention of Employee Assistance Programmes/therapy provided by employers.”

For further information about the latest Well-being At The Workplace Report 2024 and details on how to implement a Well-Being assessment at your company, contact Nadine Cilia on ncilia@miscomalta.com

The post Misco publishes Well-being at the Workplace report first appeared on The Malta Business Weekly.

Over the past months, ATTO, the Malta Chamber, the Malta Business Bureau, together with the Irish Road Haulage Association (IRHA) and the Cyprus Chamber of Commerce and Industry have been preparing an important advocacy campaign urging the European institutions to revise existing road transport legislation in view of the distorted competition that exists between countries on mainland Europe and disadvantaged island operators.

“Notwithstanding Malta, Cyprus and Ireland being three fully-fledged island member states of the European Union, EU policies related to maritime and road transport are usually not considering our inherent specificities and disadvantages, particularly our insularity and other geographical realities,” said ATTO chairman Joseph Bugeja.

Bugeja explained how the campaign targets in particular a revision of the EU’s Combined Transport Directive which is impacting the three countries’ logistics and supply chains.

The main objective of the Island Nations Advocacy Group formed by road haulage representatives is that transport operations between island nations and mainland EU should automatically be considered as combined transport. This will give them access to useful incentives such as driving on weekends, fiscal rebates, or the possibility to do more than 3 cabotage operations in 7 days.

We have partially succeeded in convincing the European Commission to take our specificities into account in its legislative proposal of November 2023. However, further improvements are necessary to get the automatic benefit of the Combined Transport status for island national operators.

“In the spirit of more sustainable operations, many hauliers are opting for longer sea legs. By opting for these more sustainable routes, they are contributing to less traffic and more fuel savings, especially in the context of the current energy crisis. Their efforts are also supporting two important European priorities: the Green Deal and the energy sobriety. For these efforts, hauliers must be encouraged with the right support and incentives and not penalised further,” explains Joseph Bugeja.

Currently, Maltese hauliers are choosing to utilise the Malta to Genoa route entirely by sea instead of driving from Pozzallo in Sicily to Genoa. This is leading to considerable savings in Co2 emissions of up to 70% when compared to the road link from Pozzallo to Genoa.

The request to undo the disadvantages of the current Combined Transport regime for Island nations will also be reflected in the upcoming position paper of the International Road Union, the world’s largest organisation representing road transport operators.

“The fact that we are addressing these important issues with the support of the IRU should help us put even more pressure on the EU to consider our proposals. A successful outcome is imperative if we want to safeguard the sustainability and continuity of our crucial supply chain,” concluded Joseph Bugeja.

The post Maltese hauliers on Malta to Genoa sea-route already saving 70% in Co2 emissions first appeared on The Malta Business Weekly.