The package on offer has a fixed rate of 3.99% per annum for the whole duration of the loan. Those who apply during the months of October and November 2019 can make the most of a special discounted fixed rate of 3.8% per annum.

HSBC Malta explains that the Annual Percentage Rate of Charge (APRC) on a Green Loan of €10,000, repayable over seven years at a fixed borrowing rate of 3.8% per annum, will be 3.9%. “No processing fee is applicable for Green Loan applications. The loan will be repayable in 83 equal monthly instalments of €136.02 and one final instalment of €136.95. The total amount paid after seven years will be €11,426.61,” the press statement says.

HSBC has increased the cap of its Green Loans to a maximum of €50,000, which can be used for the purchase of electric cars, hybrid cars, solar panels, thermal insulation and other eco-friendly products.

Additionally, the bank has simplified its approval process: customers only need to provide an order form confirming that a deposit has been paid with the eventual loan then being credited to their respective bank account.

“The environment and its protection have always been priorities for HSBC Malta and are an integral part of how we run our business. This new offering is aimed at positioning HSBC Malta as the bank of choice for those sustainable-conscious persons who are interested in reducing their carbon footprint and transitioning to more environmentally sustainable practices,” said Gregory Inglott, Deputy Head Retail Banking and Wealth Management at HSBC Malta.

The post Hoping to support sustainability, HSBC Malta launches green loans first appeared on The Malta Business Weekly.

GoTo was launched at the beginning of November 2018 after winning a public tender issued by Transport Malta seeking a car-sharing service provider to reduce dependency on owning cars in the island nation. The Israeli firm has ten years of car-sharing experience and uses its in-house technology that they also provide to other companies.

“The principle is that instead of owning a car, multiple people can use the same car through different times of the day. Therefore the number of cars on the roads and in parking places can be reduced,” Ms Jasenaite says. GoTo’s car-sharing concept comes on time, as roads in Malta have seen an increasing grade of congestion.

For the time being, Malta is the only country in the world where GoTo operates by only using electric vehicles. GoTo uses its own infrastructure; they have built the charging stations they use, and they see further expansion in this regard.

“We brought the service of car-sharing to Malta, and we are also building electric charging stations. Our goal is to build a total of 225 charging stations. Currently, we have 450 designated parking spots in Malta, but not all of them have charging stations, as we have 60 chargers, for now. Our goal is to add charging stations to all our parking spots,” the commercial chief says.

The charging stations and parking spots are exclusive to GoTo cars at the moment; however, the company is planning to open up their parking spots and charging stations for the public once they reached their 225 charger goal.

Gradually growing market

At the moment the firm is trying to understand the demand of the Maltese market before they would start planning expansion. GoTo Malta records 460 one-way trips per day on average, numbers upping to an average 600 per day on Fridays and Saturdays. As the service is growing in user numbers, and fuelled by this increasing demand, GoTo Malta can easily imagine growing further. “If we are going with the same level of growth, we will be introducing new cars,” Ms Jasenaite says.

In terms of car usage, the most popular area for car-sharing is the Great Northern Harbour. There are multiple reasons for this tendency, but one of the major drivers is that the area is the most active from an economic perspective, and it is where most of the expats live.

“There are three main groups of our customers. The first is expats who live in Malta for a few years only, who do not intend to buy own cars. The second group comprise of environmentally-conscious people who opt for our service in making efforts for protecting the environment. The third group of people uses our services for easier parking, especially in the heavily congested areas, using our designated parking spots. They might own cars, but it is much easier to drive into the busiest towns knowing that they will surely have parking spots,” the chief says.

Another exciting characteristic of GoTo users is that they are not exclusive to car-sharing; instead, they would use all other means of transportation. “What we see is that our customers usually are not exclusive to car sharing; they use several other forms like public transport, riding taxis, walking, riding bikes or driving their own cars,” Ms Jasenaite says.

Looking into the future, she believes once people realise how comfortable electric vehicles are, the shift toward EV will happen swiftly. “The Renault ZOEs that we use can go close to 270 kilometres with one two-and-half-hour charging stop,” she points out, adding that the charging costs are also lower than paying for fuel.

The post GoTo Malta’s growing user base can fuel further growth first appeared on The Malta Business Weekly.

Malta has been positioning itself as one of the most progressive countries in Europe — if not the whole world — related to technological development. After passing what is often tagged as the “three landmark bills” in November last year, the country has become internationally renowned as the “blockchain island”. However, innovative progress in Malta is not only about distributed ledger technologies (DLTs); the government’s vision goes beyond that.

Very recently the island sent currents by announcing the possibility of turning into a zero-emission country, starting by planning a pilot of introducing an only electric vehicle zone in Gozo. Malta is also shooting for the moon with its latest vision of taking a giant leap into space. At the same time, this month means the public consultation about its recently-launched AI policy as the first step of establishing a national strategy. Such a tiny island, yet so much to do.

However, why bother with a public consultation? “We have the team, we have the brain, and we have the skills to come up with a national strategy, but since we understand that AI is a general-purpose technology — and like electricity, computers or the internet it will impact both the society and economy — we wanted to make sure it is inclusive and that nobody is left behind,” Mr Grixti tells BM in justification for turning to the public before establishing a strategy.

Hence, the Malta.AI Taskforce, an organisation assembled by the government to cater for setting up the AI environment in the country, very recently came out with an AI policy, and put it on the table of the public, opening the floor for input and feedback in the framework of public consultation.

Labour shortage increases challenges

Despite precautionary measures such as opening a public dialogue and securing a strong technical background and skillset, challenges can always arise, and Mr Grixti’s operations appear to be conscious about that. “I think one of the biggest challenges regarding AI progress in the country will be talent. Not because we don’t have high-level talent in Malta, because the talent we have is of a very high level, but rather the shortage of it,” Mr Grixti forecasts. Labour shortage has been an issue not only in Malta that boasts of rapid economic growth and plummeting unemployment figures, but also Europe-wide.

“Demand has been higher than the local supply. According to a Jobsplus [Malta’s national public employment service] report, last year — forecasting that given the GDP keeps growing at the current pace — approximately 10,000-13,000 jobs will be needed, while our local supply is about 3,000. There will be a labour shortage of around 7,000-10,000,” according to the AI task force chairman. Although the lack of skilled labour is an issue, the government seems to have an answer for tackling the difficulties.

“You can bring talent from abroad, but for that you need to create policy measures, to attract that talent. We are also investigating how to use AI to fill in certain gaps. Including upscaling and reskilling of the workforce, for example. So the main challenge I see in here is human resources and talent,” Mr Grixti underscores.

Finding niches at the forefront

Once the talent is fully working on the Maltese progress, Malta needs to David up and fight the Goliaths. The task force seems to have its strategy for that as well. “Another challenge, seeing ourselves, is competing with China and the United States in terms of AI. As we said at the launch, we are not positioning ourselves as the competitors of these countries on all fronts. We are working on finding our niches, and we believe we can be leaders in those niches,” Mr Grixti says, clearly signalling how Malta wants to join the giants at the forefront of this particular space of innovation.

“For instance, as we earlier said it, we would like to become the ‘Ultimate Launchpad for AI’, where we can create incentives, policies and the environment for companies — micro, SMEs and large enterprises — to set up shop in Malta, and let them build, test and implement their products in here and then springboard them to the world. I believe in this aspect we can be leaders,” the chairman adds. In fact, one of the main messages of the AI policy that hit the stalls recently is to set up a safe and welcoming environment on the lands of the archipelago for AI businesses and start-ups to come in here and develop their ideas into fully-functional products and services before they upscale them to international markets.

The so-called “three landmark bills” passed last year aspire to create a regulatory environment in Malta that does not only make it possible for tech businesses to develop their solutions here but can also be easily adjusted to further development if the latest changing trends increase the demand. “Last year, we enacted three laws, entitled the MDIA Act, ITAS Act and VFA Act” Mr Grixti reflects upon the progress.

Technology agnostic legal framework

“When we articulated the legal framework at the time, we were conscious that more emerging technologies would be coming forward. We then created a legal framework that is technology agnostic. If you look at the Innovative Technology Arrangements and Services Act, it is technology agnostic. In fact, we have come up with the term ‘innovative technology arrangement’ (ITA). Currently, these ITAs comprise of DLT platforms and smart contract solutions proposals that we are receiving, however, later we will expand this also to include AI,” the chief says.

At this point, the regulatory framework chiefly attracted the attention of blockchain-based solutions. While the blockchain, experts and developers claim, can go far beyond cryptocurrency-related solutions; still the vertical is mainly dominated by ventures trying to generate money through initial coin offerings (ICOs). With the quickly popping up ICOs, the number of scams has also been on the rise. Such a practice undermines trust in the digital space globally.

However, Maltese legislators appear to be aware of the dangers and step up proactively. “We have the foundations and building blocks to make sure that the projects that come here are sincere and will not scam investors. The current legal frameworks for virtual financial assets (VFA) and innovative technology arrangements (ITA), accompanied by the respective guidelines, provide legal certainty and user protection,” Mr Grixti says.

Framework for providing safety

“For example, when certifying an ITA, the first stage is due diligence of the people and businesses applying for the certification to ensure that they are fit and proper. The second stage is that we start looking at ITAs from a technological perspective. The authority has service providers — that are carefully selected — who carry out such audits. The auditors investigate three main aspects: management, security and functional correctness,” the chief describes the process.

“We want to protect users. One of our main objectives is to protect users,” Mr Grixti takes a firm stance on their operations. “Over and above that, once the certification is there, we have what we call a technical administrator (TA), who will ensure that the product — technology or software — runs with what we certified.”

“In case of any breach, the TAs must notify the authority and the users so duly measures can be taken; such as intervening if it is technically feasible. Any technical limitations are recorded black and white in the certificate, so we can keep the users up to date. This way, users have full control and knowledge over the matters,” the chairman winds up.

The post Malta ready to lead in AI amid challenges first appeared on The Malta Business Weekly.

“Seeing the news about the plans of the Maltese government once again shows the importance of electromobility [eMobility] and its demand in the markets,” Porsche AG tells Business Malta when asked how they feel about Malta’s recent EV buzz.

Prime Minister Joseph Muscat announced during the first eMobility Summit in Malta that the government nurtures unique plans for getting rid of traditional cars in the future. The prime minister mentioned the possibility of running a pilot on the sister island Gozo, turning it into a completely electric vehicle zone, and trying to replicate the project in Malta to set an example for countries worldwide.

For Porsche, electrification and hybridisation play an essential role in the product portfolio, and they systematically expand their offering in this field, BM learns from the car manufacturer. “If the markets continue to develop as they have been doing, then up to 50% of the entire Porsche product range could be available as electric or partly electric petrol hybrids by 2025,” the manufacturer says about its global plans.

Hybrid models already account for over 60% of vehicles from the Panamera range sold in Europe, while the first fully-electric sports car — the Taycan — will roll out onto the markets at the end of 2019, possibly reaching Malta by 2020. This would be followed by its first derivative: the Taycan Cross Turismo, Porsche AG says.

“By 2022 we will have invested more than €6bn in electromobility, focusing on both plug-in hybrids and purely electric vehicles. Once again a clear signal that we will continue pursuing this technology,” Porsche tells the BM when looking into their near future.

The cover image shows the Mission E concept car; the starting point of the first fully-electric sports car Porsche Taycan, which will be available in Malta in 2020. (source: Porsche AG Media)

The post Porsche aligns with Malta’s electric vehicle vision first appeared on The Malta Business Weekly.

“The future of mobility is stimulating,” MEP Ms Dalli said, emphasising it must rely on ecological and environmental sustainability. “This is a new era; globalisation and climate change necessitate traditional economic models to change for more sustainable ones,” Ms Dalli underlined.

She said that climate change is one of the significant challenges that we are facing and if no action is taken severe consequences might be sparked in economic and political stability. “Industry 4.0 is about digitisation, but it should also take a look at the ecological aspects and sustainability … Mobility and transport will be in the focus of the fourth industrial revolution.

The MEP said that the upcoming years will need to be about turning to zero- and low-emission mobility and that the regulatory framework needs to follow these efforts. She added that for such progress, a mix of EU and national legislation could be beneficial.

“We need a culture and mentality shift” in this regard, Ms Dalli said. She added believes industry players now understand the technologies that are needed to meet the EU’s targets related to lowering CO2 emissions.

She also said that cleaner energy and mobility pilots are needed, for which Gozo could be a “testbed”, further confirming PM Joseph Muscat’s announcement of considering Gozo as a location of carrying out a zero-emission zone pilot.

eMobility to revolutionise transportation

Transport plays a significant role in every society, and transportation has arrived at a crossroads, Jose A. Herrera, Minister for the Environment, Sustainable Development and Climate Change, said taking the podium after Ms Dalli. Mr Herrera said he believes eMobility will revolutionise how we think about transportation and working as well.

He mentioned that Maltese private individuals are highly dependent on cars, which has dire implications on the environment as well as on people. “We are striving for a cleaner environment,” minister Herrera said, adding that considering the future of infrastructure in Malta, commitment to electric vehicles is indispensable.

“We owe it to our future generations, and it is our duty to offer a better life in the near future,” the environment minister said. He said everybody needs to team up to discuss what can be done for a better future, including policymakers, authorities, manufacturers and market players.

“If we know our systems are failing our environment we need the courage to change,” he concluded.

The post Maltese gov’t promises to push pedal to metal on eMobility first appeared on The Malta Business Weekly.

The first international eMobilty summit could not have come at a better time, according to the prime minister. Malta has experienced unprecedented economic growth in the past six years; the landscape is transforming, so are businesses, which at the end of the day are changing the country, Mr Muscat said.

“We are facing challenges stemming from the progress that we see as opportunities … We are here to discuss these opportunities … We do not shy away from challenges,” Mr Muscat said addressing the auditorium of market players and industry professionals.

He mentioned that two years ago the government started working on a total revamp of the local road infrastructure as part of a €700m project. He added that in the past six years, nationwide emissions have been reduced by 50% due to the changes the government started.

Mr Muscat also voiced certainty that the tunnel between Gozo and Malta will be built, and the government is making efforts to provide free public transport for people passing through the tunnel. At the same time, the Maltese government is planning to launch a pilot on Gozo, trying to turn the sister island into a zero-emission zone.

After turning Gozo into a zero-emission zone, the government would like to replicate this pilot in Malta, which Mr Muscat hopes will serve as a pilot for the whole European Union and the world for introducing electric vehicles in a country, going completely free of CO2 emissions. The prime minister, therefore, appeared to be an advocate of a “nation-wide changeover”.

He acknowledged that the country is heavily-reliant on cars; hence actions are needed to be taken with urgency, to put a stop to pollution. The government has commissioned PwC Malta to carry out a study to see how the changeover can be carried out in the archipelago. Mr Muscat said this study should be published in the upcoming weeks.

Questions that need to be answered comprise of the affordability of electric vehicles, whether a government can restrict the import and purchase of non-electric vehicles, whether the government can incentivise the import and purchase of electric cars and whether the national power grid is ready for an influx of electric vehicles. “People should be able to charge electric cars at home with sensible fees,” Mr Muscat said.

“There are barriers, but innovation should be the key to break down such barriers … We want to be trendsetters in Europe and the world in how we live and work; transport is one key factor,” the prime minister said referring to the government’s commitment to electric mobility.

He once again reiterated that this has to be done accompanied by — if not mixed with — the country’s efforts in being at the forefront of the blockchain, artificial intelligence and other disruptive developments. “We want to see how we can synergise these sectors with eMobility,” Mr Muscat concluded.

The post Malta vows to become flag-bearer in eMobility first appeared on The Malta Business Weekly.