€700 million road project to begin in 2019
The budget speech revealed that the €700 million, seven-year road project which was the cornerstone of the Labour Party’s electoral manifesto is to begin in 2019, while an additional 25 projects on arterial roads and 160 residential roads are expected to take place over the next year.
The budget speech indicated that the government was determined to implement both medium and long-term measures to reduce traffic congestion by introducing the necessary infrastructure, while also promoting mobile activity to alternative modes of transport in a bid to decrease congestion’s effects on air quality.
It was noted that there was a need to heavily invest in the road network and its efficiency, while also establishing a system which could regularly maintain the infrastructure; however, the current state of affairs was attributed to the poorly designed roads of the past.
However, it was acknowledged that the traffic problem will not be solved just through investment in better roads, and that the congestion problem could be attributed to a cultural dependence on private cars.
There was no mention of the introduction of a rapid mass transport system.
Agency for €700 million, seven-year road project
The €700 million, seven-year road works project outlined in the Labour Party’s manifesto will start in 2019, while an agency working hand in hand with Transport Malta will be set up to plan, oversee, and implement the development and improvement of the country’s road network.
In 2018, which will be a ‘learning curve’ year, the agency will ensure that the country has the necessary capabilities to undertake such a project by working with the relevant social partners with a focus on providing options on the infrastructural improvements along with their maintenance. The agency will also handle the method of contacts.
The planning for the structure of the agency is still taking place but it will involve architects, engineers, and other professional individuals who have experience with large projects.
Road works
Over the last few months, the government has embarked on more than 25 projects to improve traffic efficiency, with arterial roads that need urgent maintenance given a priority.
A two-year plan to address 160 residential roads, including the modernisation of the Santa Venera, Kirkop and Regional Road tunnels, will also be implemented.
Projects of the 25 mentioned above which have already begun include Bontadini Street in Birkirkara, the roads by the Domus Romana in Rabat, and Birkirkara Road in Attard.
Future projects include Mosta Road in Lija, Ċawsli Street in Żabbar, the embellishment of the Marsa-Ħamrun bypass, and the improvement of a substantial part of the road between Mrieħel and Attard.
The widening of the road between Mistra Point and the Selmun junction and Buqana Street in Rabat (which includes the junction in Qliegħa Valley) have also been earmarked.
Beyond the Marsa multilevel junction, an underpass between Santa Luċija Avenue and Tal-Barrani Road will be established.
On the other hand, the Kappara junction will be finished by the end of the year.
Hybrid and electric cars
The government is set to continue incentivising the use of electric and hybrid cars by exempting the registration tax on all such vehicles, including similar models which can be battery-autonomous for not less than 80 kilometres.
The scheme is applicable to individuals, NGOs, local councils, and companies.
The road licence for such vehicles will not be collected for the first five years, but commercial companies will only benefit from a maximum of €200,000.
There are plans in place to continue promoting the technology by consolidating incentives through financial grants
Public transport
The free use of public transport that was granted to 18-year-olds in last year’s budget has now been extended for another year and will now benefit those aged between 16 and 20.
A project to facilitate the transition between different modes of public transport will be introduced, while the ferry service between ports will be strengthened.
Free school transport in 2018/2019
Discussions and studies on the introduction of free school transport to all students – be that state, independent, or Church schools – will begin next year with a view to offering such free transport for the scholastic year 2018/2019.
There will also be initiatives to strengthen and incentivise carpooling.
Bicycles, pedelecs, and motorcycles
The VAT refund granted on bicycles and electric bicycles (which is 15.25%) will be extended another year and will also be offered to companies who offer bicycles for rent.
The government will also provide a maximum €400 incentive for the purchase of motorcycles, scooters, and electric bicycles.
In the case of electric bicycles, the €400 is also VAT-exempt.
A ‘Share the Road’ concept will be introduced on the urban corridors between Valletta and St Julian’s, and Mosta and the University of Malta, which will better ensure the safety of cyclists and pedestrians.
There will also be an increased CCTV presence and a decrease in the maximum speed along these roads, which will be strengthened through electronic messages.
The grant given to local councils and businesses providing bicycle racks has been extended.
€100,000 will be set aside for a grant of €10,000 for those purchasing wheelchair accessible taxis.
The vehicle-scrappage scheme will be extended and a grant to incentivise a shift from petrol to gas-powered vehicles.