One of the key legacies that will be left by this Labour government for future generations is the reform of the energy sector. A thorough plan is being implemented which, through the use of gas fuel, will at one go reduce the cost of energy for our country while reducing significantly the emissions associated with energy production, in the shortest time possible. This will lead to a marked improvement in the standards of living across the country, but most particularly in the areas of the south of Malta which in the past were the most badly hit by industrial emissions, including those from electrical power stations.
The foresight being shown by the Labour government in this regard is echoing important developments with respect to energy and climate which are currently taking place at the highest institutions of the European Union. A new EU framework on climate and energy for 2030 presented this month by the European Commission aims at a 40% reduction in greenhouse gas emissions below 1990 levels, a renewable energy target, binding for the EU of at least 27%, renewed objectives for energy efficiency policies, a new system of governance, as well as new indicators which would ensure a competitive and secure energy system.
The framework emphasises not only the need for continued progress towards a low-carbon economy, but also towards a secure energy system that ensures affordable energy for all consumers. This is in turn expected to create new opportunities for growth and jobs, especially in the production of equipment for renewable energy generation, but also in more mundane areas such as the conversion of existing buildings in a manner which allows a lower utilisation of energy. This is indeed very much the vision proposed and being implemented by the Labour government with respect to the energy sector in Malta.
Most importantly, and perhaps to take heed of for the future development of energy policies in our country, is the idea that rising energy prices can be partly mitigated by ensuring cost effective energy and climate policies, competitive energy markets and improved energy efficiency. I expect that following the reduction in energy tariffs and the implementation of cleaner systems of electricity production, the most important challenge our country will have to face is to effectively reduce waste in energy consumption. This will further valorise the effects of the energy reform plan currently being implemented by the government.
The Communication setting out the 2030 framework will be debated at the highest level, in particular in the European Council and European Parliament. This is within a context that in a joint vote on 9 January, environment and industry MEPs had expressed their aspiration for an even more ambitious programme featuring not only a 40% cut in CO2 emissions, but also a 30% target for renewable energy and a 40% target for energy efficiency for the period to 2030. It was also emphasised that these targets should be binding on member states. In this light, the chairman of the Environment Committee of the Parliament Social Democrat, Matthias Groote, found the proposal of the Commission to fall short of the needs of the European Union. He said: “Apart from the 40% greenhouse gas reduction goal, these targets still fall short of what is needed, if only to be credible to our global partners. I regret that the Commission has allowed itself to be hypnotised by those claiming that ambitious climate and energy targets represent a cost, and didn’t propose a binding target on energy efficiency. We believe the opposite: in the interest of our industry and our jobs, we must have a firm political commitment to emission reduction, renewables and energy efficiency.” Other MEPs found the Commission’s proposal to be an acceptable work base that needs to be reinforced.
Within this framework, it is essential for current and future Maltese MEPs to work within the Parliament in a manner that seeks to achieve the common European interest, and which places at the forefront of this interest the future wellbeing of Maltese society. The energy reform being implemented by the government will take care of the primary needs of our country in terms of energy affordability and lower emissions for coming years. In the longer term, it will be useful to focus clearly on energy efficiency in order to exploit the business and commercial advantages – including job creation, environment protection and a reduction in energy bills – which the present reform will put us in a position to eventually reap.
Mr Cordina is a Labour Party candidate for the forthcoming European Parliamentary elections