Government to issue expression of interest for gas-powered plant

Energy minister Konrad Mizzi has refused to confirm whether former Labour MP Charles Mangion, who was not returned to parliament in 2013, will be appointed chief executive or chairman of Enemalta.

In a visit to the Delimara power station, which the government wants to covert to natural gas from being fired on heavy fuel oil, Mizzi said that executive chairman Louis Giordimaina was being retained in his position. However, the role of chairman and chief executive will be separated.

 "I have submitted the nominations for the Enemalta board, which will have a chief executive and a chairman... in our ministry there will be a clear delineation. I have full confidence in Giordimaina ensuring continuity," Mizzi said.

An expression of interest for a new power station will be issued on 11 April.

The government wants to reduce tariffs by 25% by 2014 for families and by 2015 for businesses, by building a new LNG power station and terminal using private funding. "The change to gas will improve efficiency through an investment in machinery that absorbs less fuel and through a sustainable energy mix that will include the power station, the Malta-Sicily interconnector, and renewable energy," Mizzi said.

The current Delimara Phase II turbine that runs on HFO will be run on diesel and then converted to natural gas, apart from the ensuring closure of the Marsa power station and the Delimara phase I turbine.

"There has been substantial progress, and an expression of interest for an energy supply agreement with the private sector to invest in Delimara's gas infrastructure will be issued next week. We expect to sign the agreement by the end of summer," Mizzi said.

A project description statement will also be published shortly, through an interim team of Enemalta employees, ministry officials, and local and foreign experts.

"We will highlight several areas of concern at Enemalta in the coming weeks, debt being a big issue," Mizzi said.