Mobility Basic Figures

The total energy consumption in car passenger transport in Malta has slightly declined since 2000. The market share of diesel in car passenger transport is with about 12% virtually constant since 2001. With respect to alternative fuels in car passenger transport in Malta no use has been reported so far. The total passenger car stock in Malta has grown from about 180,000 cars in 2000 to more than 200,000 in June 2010. Of these, 76.4% were private vehicles, while commercial vehicles accounted for 15.7%. More than 50% of private cars are so called class 1 cars with less than 1,300 cylinder capacity. In the official statistics there are accounted 29 electricity cars in 2010. No other accounting of alternative fuelled vehicles is available but it is considered very small (also LPG/CNG vehicles do not play a significant role). In 2010 there are registered about 164 coaches/private buses, 469 mini-buses and 576 road buses.

Various governmental entities including governmental departments, hospitals, government owned companies and several government authorities use biodiesel as a substitute for fossil-fuel derived diesel. Amongst such users, those with the highest consumption of biodiesel are the Malta Environment and Planning Authority, the Department of Works at Kordin and St. Vincent de Paule Hospital.

During 2006 only one company was supplying biodiesel for the transportation sector. Before 2005 biodiesel retailed to the transportation sector used to be dispensed exclusively from a pump installed on factory premises. As from April 2006, this private company reached an agreement with a number of petroleum filling stations owners for the retail of biodiesel from their pumps. Around 20 petroleum filling stations, equivalent to 25% of the 80 licensed petroleum filling stations are therefore now retailing biodiesel. Presently, petroleum filling stations are permitted to store and dispense 100% biodiesel only. It is left up to the individual consumer to decide upon the amount composing the blend which is best suited for his vehicle. This practice is expected to provide a huge boost for the consumption of biodiesel by making the product more readily available to the public.

The geo-information system European Environmental Atlas does not list any further specific alternative refuelling stations in Malta. All available sources indicate that also autogas is not available to a reasonable extent. With the law LN 393/2010 autogas (installation and certification) Regulations from 2010 Maltese Government promotes the establishment of autogas refuelling infrastructure in the future.

Fiscal Incentive

In Malta there is a uniform VAT of 18% on the purchase of vehicles.

The new Motor Registration Tax Act came into force on the 1st January 2009. It is obligatory for all M1 vehicles or private vehicles with a seating capacity of no more than eight passengers excluding the driver (including hybrids and electric vehicles). The motor vehicle registration tax regime is based on the following variables:

• The value of the vehicle;

• The combined CO2 emission level;

• The particulate matter emissions (diesel only);

• The length of the vehicle.

For M1 vehicles, the total amount of the registration tax will be the sum of the CO2 value (g/km – grams per kilometre), multiplied by the indicated % value, multiplied by the registration value (RV) of the vehicle, plus the length (mm) multiplied by the indicated % value, multiplied by the registration value. The rates vary, if the vehicle has a diesel or petrol engine. However, where an M1 motor vehicle powered by a diesel engine has a particulate matter level not exceeding 0.005 g/km (Euro V level), the authority shall apply the rates applicable to vehicles powered by a petrol engine.

The Annual Circulation Licence Fee (ACL) replaced the existing road licence system as from 1st January 2009. Therefore, those licences expiring from the end of January 2009 will be charged by using the new system. Those that expire until 31st December 2008, even if paid in 2009, will be charged the old fees. The ACL is obligatory for all M1 vehicles or private vehicles with a seating capacity of not more than eight passengers excluding the driver (including hybrids and electric vehicles).

The ACL regime is based on the following variables:

• The combined CO2 level;

• Particulate matter (PM) (diesel only);

• The age from the year of manufacture.

During the first five years after the first registration, the tax only depends on CO2 emission and varies from 100 EUR for a car up to 100 g/km to 180 EUR for a car emitting between 150 and 180 g/km.

In Malta there is an excise duty on fuel of 0.459 EUR/litre for gasoline and 0.253 EUR/litre for diesel. Biodisel is exempted from excise duty.

Funding

The Urban Improvement Fund (UIF) works on parallel lines of the successful Environment Initiatives Partnership Programme (EIPP), which the Authority has been running since 2001. This fund will mainly cater for the improvements in urban areas such as landscaping or traffic management including the implementation of sustainable urban transport plans aimed at reducing the impact on air pollution, noise, congestion and CO2 emission as well as the implementation of green transport modes.

From 1st January 2008 the Ministry for Resources and Infrastructure has the responsibility for the implementation and administration of the following grant schemes for realisation of environmental friendly technology including the grants on the purchase of electric vehicles. Electric-powered cars may qualify for a grant of 15.25% on the purchase price of the car subject to a maximum grant of € 1164.69.

Regulation

Currently, the use of biofuels or other renewable fuels for Transport Regulations (LN528/04) is the main legislative instrument regulating biofuels. These regulations transpose the Directive 2003/30/EC. After taking into consideration the amount of biodiesel produced during the last three years and after noting the annual increase in consumption; the national indicative target for Malta for 2010 is set to 1.25%.

With the Environment Protection Act (Act No. XX of 2001) Availability of Consumer Information on Fuel Economy and Carbon dioxide Emissions in respect of the marketing of New Passenger Car Regulations of 2002 as well as its last amendment in 2006 in Malta a Fuel/CO2 emission economic label was established which is obligatory to put on new vehicles by car sellers. The table contains a number of information on fuel consumption and emissions which should allow consumers to compare. In contrast to other schemas used within the EU the Maltese system does not included a colored scaling.

A fully automated system called a Controlled Vehicular Access (CVA) system has been launched in Malta's capital city of Valletta since May 1, 2007. When compared to other countries that make use of congestion charging models, the Maltese system makes use of a wider array of innovations including variable payments according to the duration of stay, flexible exemption rules, including exemptions for residents within the charging zone and monthly or quarterly billing options for vehicle owners. Pre-payment facilities, including direct debit arrangements and purposely designed vouchers are also available. The billing system was designed in Malta and has been described as a state of the art 'next generation congestion charge billing solution'. The Valletta Congestion Charge, which is also known as Valletta CVA, was nominated for the Best European Transport Strategy Award.

Wit a new legislation on Public Procurement (Legal Notice 296/2010) which came into force on 1 June 2010 there is introduced the option for public institutions to apply environmental criteria when purchasing goods. However, no specific standards for vehicles are set.

Malta has a central procurement institution named “Department of Contracts” which falls within the portfolio of the Ministry of Finance, the Economy and Investment (MFEI). The principal mission of the department is to have the necessary administrative structures in place so that public procurement is carried out on the principles of fairness, transparency and non-discrimination between economic operators. The aims, objectives and responsibilities of the department are set out in the Public Contracts Regulations, Subsidiary Legislation 174.04. The department runs a central procurement platform. Vehicle procurement is carried out within this organisational and technical framework without applying specific environmental roles or standards.

Public Procurement Law

Environment Protection Act (Act No. XX of 2001) Availability of Consumer Information on Fuel Economy and Carbon dioxide Emissions in respect of the Marketing of New Passenger Car Regulations, 2002

Environment Protection Act (CAP. 435) - The availability of Consumer Information on Fuel Economy and Carbon dioxide Emissions in Respect of the Marketing of New Passenger Cars (Amendment) Regulations, 2006

Once-only grant on the purchase of electric-powered cars: GN 203 of 2005

REGISTRATION TAX AND ANNUAL CIRCULATION LICENCE FEES GUIDELINES