Gonzi announces 'intent' to invest in natural gas pipeline

Speaking after the 27 EU leaders agreed that the European Union’s internal energy market should be completed by 2014, Maltese Prime Minister Lawrence Gonzi said it is Malta’s intention to consider the installation of a natural gas pipeline.

5 February 2011, 12:00am
by Miriam Dalli

2 min read

In what seems to be a complete U-turn on behalf of the Prime Minister, Gonzi is now seriously considering going for a natural gas pipeline, even though in the past the idea was deemed as not viable.

Even though the EU’s decision to approve the new energy policy does not force Malta to have a gas pipeline, Gonzi said the new policy “opens the way so that the island will start considering this option more seriously.”

The idea of having a power station operating on gas was shot down several times in Malta, first by then Prime Minister Eddie Fenech Adami in the mid-1990s, and lately by Finance Minister Tonio Fenech.

Last year, during a Public Accounts Committee (PAC) hearing, Fenech had admitted that it was always government’s intention for the power station extension to operate on gas, but that it was not possible before 2016, because “the necessary infrastructure would not have been in place before that.”

He had also admitted that a major factor was also the cost.

But now, referring to the recent developments with energy and gas, Gonzi said it was time to reconsider the option. “I am not saying that we are going to install this pipeline but we should look at it all over again as the situation of 20 years ago is not the same as today. Things have changed,” he said.

Gonzi was referring to the time when Fenech Adami had shot down the idea of joining a natural gas pipeline connected to Libya and Sicily, saying the project was not considered to be commercially feasible.

Gonzi said the government will commission a study to evaluate the possibility of installing a pipeline: “The government will now go into the details of how such a project can be conducted and study whether it is commercially worth it over the long run.”

Miriam Dalli joined MaltaToday.com.mt in 2010 becoming assistant editor f...

More from Miriam Dalli

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If gas is cheaper and worth it, why did Gonzi go for HEAVY DIRTY FUEL oil for the extension of the Power station? Hotchpotch politics 360 degrees!

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DID DR.GONZI CHECK WITH AUSTIN GATT ON THIS ? Truthfully only God knows when this will happen as it will add another 500 million euros to the National Debt. As usual the OPM treats the intelligence of the Maltese people with contempt, but then they have every right since they have been kept in power for the last quarter century using these political maneuvers.

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Mr U-Turns has now realized that Gas is the better option. This means more expenses than if the power station has been made to operate immediately on gas. This means more expenses to make the pipeline because expenses have gone up while the pipeline from Libya to Italy could have been tapped and a section laid to Malta. Now we would either have to lay a pipeline from Libya to Malta or from Sicily to Malta at additional costs. Now wonder Malta was always and is in such a dire situation under PN Governments.