More studies on land reclamation, but no island in sight

Notably absent from this year’s budget was any mention of land reclamation projects, despite this being a Labour Party electoral pledge from 2022.

Land reclamation was also referenced by Finance Minister Clyde Caruana in two previous budgets.

This year’s budget, however, still allocates a modest €10,000 for further studies, following the €100,000 earmarked for the same purpose in 2024. In 2023, the government had allocated €500,000 for this initiative, but only €9,500 of that was spent.

Questions posed to the Transport and Infrastructure Ministry on whether land reclamation remains on the government’s agenda, or if studies have determined the economic feasibility of such a project, went unanswered by the time of publication.

In the previous two budgets, the Finance Minister mentioned plans to reclaim land from the sea, but provided no indication of locations for these potentially contentious projects.

In 2021’s budget speech for the year after, Caruana referenced consultations with experts to explore “projects” aimed at enhancing the environment and adding value to the country. The next steps involved further studies assessing the economic, financial, social, and environmental viability of these projects.

A year later, Caruana reiterated that identified projects would “respect and improve the environment” while also adding value to the country. He noted that experts had been analysing potential interventions for these undisclosed sites and suggested that, after a national discussion, relevant authorities would submit several development applications.

In its 2022 electoral manifesto, the Labour Party declared that land reclamation “is necessary in a small country with very limited territory.”

In 2019, the Environment and Resources Authority (ERA) was tasked with identifying potential sites for land reclamation. A draft report based on an €11 million study of the seabed, leaked to MaltaToday in December 2019, identified a broad sea area between Portomaso and Xgħajra as suitable for large-scale reclamation projects, while sites like Qalet Marku in Baħar iċ-Ċagħaq and the Freeport were deemed suitable for medium- and small-scale projects.

In 2022, the ERA confirmed to MaltaToday that its draft report on land reclamation had been submitted to the government, noting that a “cross-government consultation” was still underway amidst speculation that a decision was imminent.

Projects deemed not viable in 2005

Financial viability is a key consideration. A previous report under the Gonzi administration, carried out by British consultant Scott Wilson which first explored the idea in 2005, concluded that large-scale land reclamation would only be economically feasible if real estate development were permitted.

The €500,000 study had evaluated the feasibility of land reclamation along two Maltese coastlines, between Pembroke and Qawra, and Marsaskala and Ricasoli, identified in an earlier study by Danish experts Carl Bros.

Land reclamation along the Bahar iċ-Ċagħaq coastline was ruled out for ecological reasons, despite it being the most economically viable. However, a land reclamation project on the northern Xgħajra coast was estimated to cost between €250 million and €439 million. The study concluded that the only development model likely to recover the initial investment would be a project similar to Smart City.