Energy-efficient appliances scheme

The government has handed out a total of €1.88 million (Lm810,000) in rebates to consumers who chose to buy an energy-efficient domestic appliance since the scheme was introduced in the budget for 2007.

A spokesman for the Finance Ministry said the European Union had given the Maltese government €1.3 million (Lm560,000) to operate the scheme and the government had decided to add another €500,000 (Lm214,650) to the amount.

However, the scheme was so successful that it was oversubscribed by a further €80,000 (Lm34,344). This brought the total amount handed out to consumers to €1.88 million.

The scheme enabled consumers to claim a 20 per cent discount - up to €116.46 (Lm50) - on energy-efficient domestic appliances.

Its termination on May 31 drew sharp criticism from both the Labour Party and Alternattiva Demokratika, with the government being accused of going against its environmental commitments. The Energy Efficient Appliances Rebate, as it was called, was adopted as a one-year measure by the government to instil a change in mentality and practice among consumers, importers and retailers in favour of products that are more environmentally friendly.

By 2007, the spokesman said, the government had already noticed an evident change in pattern in purchasing trends and that people were favouring environmentally-friendly products to others that consumed more energy.

The ministry spokesman said that in the 2008 budget speech, the government had mentioned the introduction of another scheme to sustain this new pattern and to enhance the changes in consumer trends.

However, since it was not practical to introduce a new energy-efficiency scheme, which was not necessarily limited or related to the same appliances, the government decided to vote a further €500,000 (Lm214,650) towards the scheme. This was over-subscribed and the government eventually paid out €580,000 in rebates. The government last month decided to stop the rebate once the budget allocated to it had been exhausted and its aim had been reached. It published a notice to this effect in the government gazette of April 22. The Finance Ministry said that, following several requests, the government was seriously considering re-extending the scheme again until the trade fair, which would also allow more time for the new scheme to be fine-tuned.

"The environment is one of the government's top priorities and sustainable energy will be one of the specific issues that will be dealt with in the pre-budget consultation process," it said.

Speaking to the media on Wednesday, Finance Minister Tonio Fenech said that the scheme was intended to bring about a change in consumer attitude and even a change in the mentality of importers, and had reached this aim. Now the government would concentrate on energy-saving lamps to bring about a change of mentality in this area.