Enemalta gas section privatisation process starts

The process leading to the privatisation of Enemalta's gas section starts today, the government said yesterday.

The Investment, Industry and Information Technology Ministry said the move is consistent with the government's philosophy that Enemalta should be concentrating on its core business, that is the generation and distribution of energy.

Once the distribution of gas and oil sectors are being privatised, it does not make sense for the government to continue being involved in such operations and compete with the private sector, the ministry said.

Investors can as from today submit proposals for a venture that includes the building, the operation for a period of 30 years and the transfer in the form of a concession of the bottling and gas storage plant in Qajjenza, in the limits of Birzebbuga. The successful bidder will be allowed to run the Qajjenza plant for the time being. However, the government added, a main objective of the privatisation process consists in the closure of the plant which is located right in the middle of a residential area.

The bidder will have the necessary Mepa permits to develop a new and bigger bottling plant in Benghisa, although the bidders will be given the freedom to suggest alternative sites.

The process should lead to improvements in safety, provision and service and also to liquid petroleum gas being more accessible. In addition, it would also be possible to provide other products such as autogas.

The closing date is October 20.