As a tiny island, Malta has particular geographical realities when compared to its fellow countries within the European Union. These are realities which sometimes even we as locals tend to take for granted, let alone those writing up policies in the upper echelons of European institutions in Brussels and Strasbourg.
One such policy that appears to disproportionately punish Malta due to its unavoidable geographic realities is the EU’s Emission Trading Scheme (ETS).
The ETS has been developed as the EU’s main climate policy tool which is used to cut greenhouse gas emissions by essentially making companies pay for the emissions that they produce. This particularly impacts airlines and shipping firms, particularly when it comes to freight transport.
There is of course a degree of importance for measures like this, as we must find ways to continue to reduce emissions and combat climate change. But it is also clear that introducing this measure as a blanket policy creates a discriminatory effect against countries like Malta and, for example, Cyprus, which must rely on air and maritime freight in order to survive.
This has long been a concern: over two years ago the Malta Maritime Forum called for a united front on Malta trying to get its realities recognised when it comes to this issue, particularly because the measures had, by that point, already been approved.
As of 1 January this year, the ETS has been fully implemented for maritime transport, and the Association of Tractor and Trailer Operators this week said that the cumulative impact of ETS-related costs and fuel surcharges is imposing disproportionate and unjust financial burdens on Malta’s transport and logistics industry.
Before the turn of the year, the association said that the cumulative financial impact on sea transport alone was estimated to translate into an additional annual cost of around €16.5 million – millions which will ultimately be transferred onto the consumer.
“These costs are ultimately being filtered down to Maltese consumers. As an island state on the periphery of Europe, Malta does not have the luxury of alternative land connections. Yet EU environmental and transport measures continue to be designed as though we operate under the same conditions as continental Member States,” the association’s chairman Joseph Bugeja said at a conference.
Now, at least, we are seeing some political unity on the subject as Labour MEP Thomas Bajada and Nationalist MEP Peter Agius joined forces to petition to the European Commission to introduce an ‘Island Clause’ that would recognise the realities faced by countries like Malta.
They cited Article 174 of the EU Treaty, which obliges the European Commission to address the economic, social and territorial disadvantages of islands, in a bid for the EU to reduce how the ETS is applied to islands in order for it to be proportional for the connectivity realities that are faced.
It is good that there is an element of political unity on the matter, although one could certainly argue that it shouldn’t have taken until six weeks after the ETS measure was fully implemented to get to this point.
Ultimately these are matters which impact Maltese and Gozitan people and it is the responsibility of our politicians from both sides to recognise this and act upon it in order to protect the population of unjust impacts.
One only hopes that changes can be made at this point for the realities of Malta to be adequately reflected, and that this isn’t all too little too late.