Malta exploiting its ‘territorial potential’ with land reclamation

Launching the international expression of interest for land reclamation, parliamentary secretary Michael Farrugia said Malta was exploiting its "territorial potential" to improve its economic diversity, infrastructural development and competitiveness.

Through the expression of interest, the government was seeking to see what ideas would be put forward without the government committing itself. "We will evaluate those projects which would be technical and financially viable and environment sustainable," Farrugia said.

The junior minister said that while land reclamation could be seen as an "innovative idea", Malta had already made use of such a concept when it reclaimed land for the Freeport, in Msida, Wied il-Għajn and Portomaso.

Following the expression of interest, the Lands Department would issue a request for proposal process to ensure that proposed developments would abide by Maltese, EU and international laws.

Farrugia said land reclamation formed part of the Labour's electoral programme.

"We however do not want to limit the projects by expressing what we want but we want to leave it up to the interested parties to come up with their ideas. We want people to think outside the box," he said.

A study commissioned by MEPA in 2007, which cost the country nearly half a million euros, had concluded that land reclamation projects are too costly.

The accompanying report, assigned to Maltese consultants ADI and leading British consultant Scott Wilson, assessed the economic and environmental feasibility of land reclamation in 11 different forms along two areas on the Maltese coastline identified in a previous study by Danish experts Carl Bros.

The two areas were the coastline between Pembroke and Qawra and the coastline between Marsaskala and Ricasoli.

In view of the high costs involved, the report concludes: "It would appear prudent to... consider other measures to reduce the size of the waste stream, before embarking on such as high-cost project."

The study excluded the creation of artificial islands, which are deemed too expensive, but identified two possible sites where the coastline can be extended: on the northern part of the coastline between Marsaskala and Ricasoli and near the present Smart City development.

Land reclamation on the stretch of coastline at Baħar iċ-Cagħaq was completely excluded for ecological reasons, even if it emerged that this area would be the most economically viable for reclamation.

According to the study, for the project to be sustainable it should involve development like that of Smart City, which would include real estate component.

According to a report carried by MaltaToday on Sunday, one in every three dwellings in Malta was vacant. Asked whether the development of luxury villas or property on reclaimed land would be excluded, Farrugia said the government's main proposal was to leave it up to the interested parties to come up with the projects that made economic, social and environmental sense.

"In the case of San Marino, the government issued a specific call to develop residential areas on reclaimed land because it had to mitigate the problem of lack of space. Our goal is different," he said.

He however ruled out projects that would be solely property development.

Questioned by MaltaToday whether companies blacklisted by the World Bank or companies which would have been found guilty of irregularities by other jurisdictions would be allowed to participate in the EOI or whether government was prepared to accept bidders from similar companies, Farrugia said "no".

With projects that could include development of a small island, land extension or foreshore, an environmental problem that developers could face is that of protected zones, especially those with posedonia meadows, protected by the European Union.

Farrugia explained that those who will collect the expression of interest would also receive a CD containing information as to areas where no development was permitted, where development was limited or where EU and international regulations are to be followed.

The information also includes locations of cables and interconnector trail.

Farrugia has however explained that in case were a project would be deemed to be beneficial in social and economic terms, but sensitive in terms of environment agreement with the EU, the government would work on "reaching a balance".

"There are several arguments which Malta could put forward such as the area of water conservation was much bigger than the land," Farrugia said.

Malta currently generates 1.3 million of construction waste a year. The Scott Wilson report says such a project would require between five and 20 million tonnes of waste. 

Farrugia said that such issues would be discussed with the companies, including how material for the project would be generated.

The parliamentary secretary went on to point out that government was in no way bound to carry out the project, or on the other hand, it could go for more than one project if this were to be deemed beneficial for the country.