Tax reduction schemes for first-time property buyers, second-time buyers and buyers of property in Gozo are to be extended for another year, the government revealed on Monday for the 2023 Budget.
Finance Minister Clyde Caruana said that the government will continue fiscal incentives on the buying of property, which include a grant of €15,000 for first-time buyers if the property is purchased in Malta, and €30,000 for a property in Gozo.
In the next weeks and months, government will give start to a study to determine the economic and financial feasibility towards land reclamation. Government has met with experts to explore projects which respect and improve the environment, but also add value to the country.
Works to build the Rural Airfield in Gozo will continue after a wide consultation on the PA application. The existing runway will be lengthened by 271 metres to reach a total length of 445 metres, with no negative environmental impacts.
Discussions have started between government and the European Commission on a public service contract on the Gozo fast ferry for the next two years. Upon agreement, operators will commit themselves to provide this necessary service according to the needs of Maltese and Gozitan people. There is also an agreement that new fixed prices will be scheduled, which operators cannot change.
From 2018 until the end of this year, €507 million has been invested towards road infrastructure. In the next three years, government will complete and implement large projects such as The Mriehel Underpass, which will soon be completed, as well as the Hal Kirkop Tunnels, the Airport Intersection Project and the Luqa Junction.
There are new plans for the Msida Creek project. The building of residential roads as well as a strong program of the building of more roads in Gozo will also continue.
Works on dredging to clean out the bottom of Maltese ports have already started, costing €7 million. Infrastructure Malta will issue a call for tenders for work to continue in other areas of the Grand Harbour.
Government signed a contract for the commencement of works for the extension of the Pinto and Lascaris quay, with the aim of building a straight quay which attracts large ships of about 330 metres.
The systems installed so that large passenger or goods transportation ships turn off their engines when they arrive at the ports will continue, where it will not connect directly to the national grid. This is a project of €50 million which will reduce air pollution and improve the quality of life of people living in the south of the country, and in areas around the Grand Harbour.
The project is expected to be completed next year. The process to implement this type of project in the Free Port is already at an advanced stage, government revealed.
Gozo is to benefit from a €60 million investment under the Sustainable Urban Development Initiative. Government will establish next year where these funds will be invested in, so that work can start immediately.
Free public transport, which was introduced in October 2022 to all residents, will continue. Government said that in order for this change to be successful, there needs to be behavioural change, and much greater enforcement on our roads. Electrification of public transport will continue, where with an investment of millions of euros, a large amount of the public transport fleet will be electric.
Government will continue its work in having more road officials in the street, but discussions will be opened with stakeholders so that services on Maltese roads are not given before 9am. During rush hour, vehicles of these services should not be on the streets, Caruana said.
Government obtained €50 million in European Union funds which will go towards new electric vehicles. Today, there are over 10,000 registered electric or plug-in hybrid vehicles.
Financial grants which incentivize the purchase of new electric powered vehicles will be renewed, and anyone who buys a new vehicle, including motorcycles which run on electricity will be entitled to a grant of €11,000, which goes up to €12,000 in the case of the used vehicle scrapping scheme.
The same applies for the scheme which incentivizes the purchase of mopeds, pedelecs, and bicycles assisted by an electric motor.
Despite grants on the plug-in hybrid vehicles having been exhausted last May, anyone who ordered a plug-in vehicle until the end of May and has not yet arrived in Malta, but will arrive next year, has the guaranteed grant of €11,000. The total cost of these grants will be €20 million.
Financial grant on scrapping polluting vehicles in Gozo will remain that of €2,000.
In 2023, electric vehicles and plug-in hybrid vehicles will remain exempt from registration tax and payment of the annual road license for a period of 5 years starting from the date of first registration.
Schemes for vehicles to install photovoltaic panels, diesel particulate filter (DPF) and selective catalytic reduction (SCR) systems will be extended, where vehicles such as minibuses, coaches and trucks are given a maximum grant of €900 to install these systems.
Government signed contracts for works to start on the Bugibba quay as a ferry landing station, whilst an evaluation is being made on the call for tenders for the works on the Marsamxett pier.