Green transition: a resilient and levelled-up Malta

In the midst of a pandemic, Government presented another unprecedented budget: this time, the largest one ever presented. Despite the current economic and financial outlook and the uncertainty that COVID-19 has brought about globally, Government has once again put its money where its mouth is.

Countries around the world are taking austerity measures in attempt to address deficits and challenges brought by the pandemic. Malta, on the other hand, is giving, and not taking, through this budget. We are investing more into families, businesses, infrastructure, environment, and building a better tomorrow.

We have retained and built upon all the social benefits put in place these past seven years, even in these difficult circumstances. Because this Government is not only responsible in a fiscal sense - but we also recognise our social responsibility which trumps all.

The significant environmental measures announced in the budget are important, not only because of the intrinsic link between environment, the economy, and wellbeing - but also because the pandemic has shown to us more than ever that sustainability is the key to resilience. COVID-19 in particular has also been intensified due to issues related to air pollution. By investing in measures which nip ecological issues in the bud, we lessen the chances of becoming vulnerable to their various impacts in the future: especially when hit with a phenomenon as unexpected and as destructive as a public health crisis, not to mention to the impact the environment has on our health.

Notably, this budget will continue to strengthen the work we have been doing in regards to the vision our country has for economic growth with environmental principles, and aim to reach the goal of carbon neutrality by 2050. The SPED review will continue, as well as the work on the National Strategy for the Environment (NSE) - both of which are built on today’s vision for improved wellbeing. We will have environment rangers for the first time, new afforestation initiatives,

Malta’s first green walls, a grant for the conversion of ICE to gas cars, a new Air Quality Monitoring Station. The Resilience and Recovery Fund will finance our ecological transition in a number of ways.

This budget also unveiled incentives for financing of the green economy: an attractive package for investors to release green bonds which will finance projects which will help us combat the effects of climate change. By end of this year, we will also have a new long-term waste management plan. For the first time ever, we will also be addressing the challenge of waste separation in commercial sectors.

Government is also placing a total ban on the importation of single-use plastics from the beginning of January of next year, and a ban on the sales of such products in 2022.

There is substantial evidence that people feel more responsible for the environment they live in if it is a green one. This is why we are also announcing a number of initiatives: the first of which is funds dedicated to ‘Green Your

Home’, a scheme financed by the Planning Authority with an investment of €2 million to create green facades. Our approach is a different one, where we are not only continuing our work on environment regulation, afforestation projects, and biodiversity protection in rural zones, but also tackling urban zones where people spend most of their time.

As announced in the budget, the necessary infrastructure for a beverage container recycle scheme will also be put into place next year. This scheme will not only benefit our environment but also provide opportunities that the circular economy brings, by reusing resources and changing our cultural attitudes in order to appreciate the economic value of recyclable resources. In light of the Covid19 pandemic and its impact on our country's economy, this scheme becomes even more important, especially as experience teaches us that similar schemes create green jobs.

Strong measures, important policy decisions and initiatives with the help of tools such as the Resilience and Recovery Fund and green bonds will allow us to make significant headway in our ecological transition.

“We have retained and built upon all the social benefits put in place these past seven years, even in these difficult circumstances. Because this Government is not only responsible in a fiscal sense - but we also recognise our social responsibility which trumps all.”