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Malta's electricity tariffs fifth highest in EU

Domestic electricity in Malta was the fifth costliest within the EU, according to a new study for 2009.

Maltese consumers paid 25 per cent above the EU average for 100 kWh of electricity, Eurostat reported, although an official advised caution when interpreting the findings.

The study is adjusted for purchasing power (PPS), an artificial currency unit that eliminates price level differences between countries. Using such measure, 100 kWh cost households 20.68 PPS in Malta at the end of 2009 as opposed to a 16.45 PPS average across the 27 member states.

One PPS unit buys the same volume of goods/services in all EU member states and is the measurement used to calculate the strength of the EU economies when it comes to Gross Domestic Product.

A Eurostat official however did point out that comparisons between Malta and the EU in this area were misleading.

"Malta has an isolated energy production system and, thus, the cost of energy is always going to be significantly higher than the EU average if charges are based on the real production costs as they are today. The EU member states on the continent have the option of buying cheaper energy from other countries produced through various options including nuclear, gas and natural resources such as wind," the official said.

"As long as Malta remains totally dependent on oil to fire its power stations, the country can't really have cheaper energy tariffs."

Malta has seen a dramatic increase in the cost of electricity over the past few years as the government shifted its policy from heavily subsidising power generation to charging tariffs based on real production costs including the high cost of oil bought on the international markets.

The government has plans to diversify the island's sources of electricity. They include the installation of two submarine cables linked to Sicily, offering the possibility of importing up to 200 Mega Watts of energy from the European grid, and the building of onshore and offshore wind farms. The projects require hundreds of millions of euros in investment.

Despite being among the dearest in the EU last year, the price of electricity in Malta was still 1.5 per cent cheaper than in December 2008.

The highest rates in the EU were paid by Hungarian consumers (24.26 PPS per 100 kWh), followed by the Poles (22.03), the Germans (21.36) and the Slovaks (21.12). On the other hand, the Finns and the French paid almost half what Maltese consumers had to fork out. In both countries, much of the electricity is generated from nuclear plants.

According to Eurostat, in the EU27, household electricity prices fell by 1.5 per cent between the second half of 2008 and the second half of 2009. In the same periods of 2007 and 2008, household electricity prices in the EU27 had risen by 6.8 per cent.

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Peter Korsten

May 31st 2010, 08:33

So what do you propose? Bring back the subsidies, so that the people with the '2k or 3k salaries' can pay for your subsidy?

Why should anybody be forced to pay for another man's electricity bill?

p refalo

May 29th 2010, 16:53

I fully agree.. Enemalta is supposed to start installing similar meters but the problem in Malta is that people must make use of similar incentives.

its useless to have incentives and giving ideas while people don't listen unless taxes or high prices are imposed. For an incentive to work the whole county must co-operate. Unfortunetly in Malta this does not happen as we have a clear example in waste management - BRING in SITES, the grey bag... we are far from where we want to REACH!

Patrick Refalo

May 29th 2010, 16:15

If Malta as a country does not take steps for alternative sources of energy, prices will still get higher no matter who is in government.

there are a lot of issues that contribute to these bills;

1. Maltese people used (some still) to waste a lot of electricity and water - simply because subsidies kept prices low. - the only solution to this problem was by enforcing higher prices.

2. Inefficient Enemalta. Never did anyone tried to solve its financial issues in the last 20yrs or so, citizens have to make up for it.

3. High oil prices a big bounce from $14 to more than $80 and even over $100...

C Falzon

May 29th 2010, 18:18

The only alternative energy sources that are cheaper than oil are coal, nuclear and hydroelectric.

Wind can be cheaper in some specific cases but can only ever supply a small fraction of the total demand, in other words it can only supplement and not replace 'conventional' sources of energy.

The only way we can make use of the cheaper sources is by buying electricity ready made from abroad as we will be doing when Enemalta installs the interconnect to sicily. However the recent news that there is an electricity supply shortage in Sicily makes me wonder how they can afford to export electricity when they cannot even get enough for themselves.

Mario Attard

May 29th 2010, 14:12

A very valid point Mr. Frank Galea. I have some friends who got back a cheque of around 200 euros for a partial payment of the of the total sum of around 500 euros. At the moment, they can't pay the total sum for other financial problems.

Fred Vellaa

May 29th 2010, 13:36

Costliest within the EU. iMMA everything seen more for us. Why?????? Malta is full of Cartel and nothing been done. Why I am hearing from friends and people around me, comes up to say, I dont care any more about the way of living and what is said, thats all is about BLA BLA BLA AND NOTHING SEEN TO HAPPEN. Yes its time we do liKE the English. Two parties rule and not one thinking. I am not blue jew red person. iMMA isma, they Been there for my last 25 YEARS OF MY LIFE.

J Martinelli

May 29th 2010, 14:25

Joseph ma jitlax it-tarag ta Kastilja jekk ikompli jaghawweg il-verita w jipprova jbigh il-hut fil-bahar.

Ma jghidx per ezempju kif irid irahhas it-tariffa tad-dawl u ilma. Bis-sussidji? B'taxxi ghola? Billi jnaqqas il-fondi li jmorru lejn is servizz publiku?

Fejn hi l-15 year plan li ghandu? Ghax ma jippublikajhiex? U dan ser ikun ha sentejn biex ibiddel il-logo tal-Partit - ahseb u ara kif ser isib irkaptu ghal prezzijiet taz-zejt u jirnexxielu irahhas id-dawl u l-ilma!

Dan ir-rapport jaghti ragun ghax ir-rati li jhallsu l-Maltin bilfors ikunu ghola min dawk tal pajjizi kontinentali ta l-Ewropa. Imma din hi haga li il-Laburisti ma jistghux idahhluha f''rashom ghax il-Partit hekk jghidilhom u huma jibilghu kollox.

Il-Partit Laburista ghandu principji Socjalisti li kissru pajjizi bhal Grecja, Spanja, Portugall u anke l-Ingilterra.

Ara x'kien jigri kieku il-applikazzjoni ta Malta ghad-dhul fl-Ewropa, ghada ffrizata, jew li ma ssehebniex fil-munita ewro u ghadna nissussidjaw it-tarzna u d-dawl! Tghid gvern Laburista ma kienx jistampa ftit liri Maltin biex ikopri s- sussidji, jew inkella, kien ikollna eletriku xi tlett darbiet fil gimgha u ghadna nixorbu min xi bowzer li kien iqassam l-ilma bl-imqieta darba fil-gimgha!?

Kemm hi haga facli li tara felula f'wicc haddiehor, imma qrunek ma tarahx!

lgalea

May 29th 2010, 22:18

J Martinelli Issa tkun taf elezzjoni oħra x'jagħmel Joseph Martinelli. Jekk taħseb li qegħdin fil-ġenna tal-art taħt ir-reġim dittatorjali ta' Gonezi imissek tiġi toqgħod hawn mhux tibqa' daqstant 'il bogħod il-Kanada.

Għall-informazzjoni tiegħek il-Greċja kissirha l-Gvern Konservattiv bħal ma huwa l-Gvern ta' Gonezi tiegħek u l-Gvern Soċjalista sab il-ħniżrijiet li ħalla warajh Karamanlis tal-KONSERVATTIVI Martinelli. Minn kitbietek tidher li tant qiegħed 'il bogħod li ma tafx x'inhu jiġri f'dawn l-inħawi Martinelli.

P. Schembri

May 29th 2010, 14:13

Let's talk about the present. If PL is elected today, it will find not a HOLE in the finances but a QUARRY. Finanzi fis-sod!!??? Euro 4 billion debt and Euro 200 million deficit.

When Alfred Sant inherited il-HOFRA, Government debt was over Lm300 and deficit ran at about Lm150 million.

Just compare the situations and you'll see a remarkable difference!

And anyway, never did Joseph Muscat say that he'll lower the prices of water and electricity. He said that prices will be controlled. Quite a difference!

c dimech

May 29th 2010, 14:39

Very well said ; FRASTRITURA. Ma nafx minn fejn gibtha din?
I think that this time there is going to be a BARRIERA habib.
Mhux li kien li meta jitla l-Labour fil-gvern jerga jsib Kaxxa ta' Malta bhall-1987.

J Martinelli

May 29th 2010, 14:36

Daniel, if you decide to comment, which is your right to do so, please check all the facts first otherwise you cannot be taken seriously and neither will your comments be regarded as fair.

Malta HAS to build the Delimara extension in order to close down the Marsa station and Malta HAS to have an adequate and independent supply of electricity. What you obviously intentionally or not, did not mention is the cable link with Sicily just in case of a local power failure or to take advantage of electricity rates from European sources when their rates are lower.

So yes, steps are being taken to have a steady supply of electricity whether by local generation or importation from Europe. Simple, isn't it? It is people like you who are stubbornly hanging on to the belief that Joseph & Co. can remedy this. How? He will not tell you but you keep on swallowing his empty promises.

lgalea

May 29th 2010, 22:26

J Martinelli it's you that have to check your facts before you write because no one is taking you seriously. Kieku Malta ma daġlitx fid-dittatorjat kolonjali tal-ue konna nkunu ħafna aħjar milli qegħdin Martinelli. U bil-ħaqq ribqax tgħid addottajna eċċ għax inti ma tgħix hawn Malta u inti ma addottajt xejn għax inti tgħix il-Kanada u għandek id-dollaru Kanadiż mhux il-misħut ewro.

Dwar l-estensjoni ta' Dellimara ħadd mhu qed jgħid li ma trix issir imma li jintuża d-diesel jew il-gass mhux l-HFO kif irid Gonezi tiegħek bex ikompli jmarrad lill-Maltin.

Dwar min qed jibla kollox jidher li int minkejja li tinsab eluf ta' mili 'l bogħod tibla dak kollu li jgħid Gonezi tiegħek u naħseb li tista' tinżel fil-Guiness book of records għal dak il-mazzun li jibla kollox saħansitra minn eluf ta' mili 'l bogħod.

Amadeo Callus

May 29th 2010, 11:37

Int bis serjeta qed tghid? Mela hsibt li in nies cwiec jew? Kif tista tikkompara il-prezzijiet tal propjeta fi kwazi l-aqwa tlett ibliet fl-ewropa, ruma, parigi u londra mal prezz tal propjeta f`malta!! Qisek qed tikkompara karozza lussuza germaniza ma wahda korejana. Qatt iccekkjajt kemm huma il- prezzijiet ta l- appartamenti gewwa tas-Sliema ? Ghallinqas ikkompara bliet kbar baranin ma tas -Sliema u san Giljan fejn il-prezz ta l-appartamenti sahansitra jitla ghall nofs miljun ewro, prezz li zgur ma jilhqux il-haddiem.

Silvio Schembri

May 29th 2010, 13:17

Jesmond you are right in what you are saying but one cannot not note that the PN has inherited very strong national finances and he could easily invest the money saved by previous Labour Government. On the other hand one cannot compare today's financial situtation with the one inherited by the PN way back in the 80's

Silvio Schembri

May 29th 2010, 13:18

haha int bis serjeta jew???? Qed narah l Big Ben ta Londra go Malta ghax l-aktar xi haga qrib tieghu huwa l monument ta Hal Luqa. ara tmurx tahdem mal EUROSTAT biex taghmel l comparisons!!!!

MSciberras

May 29th 2010, 14:17

@Amadeo Callus
Qed inqabel ma bliet kbar fejn hemm iktar cans ssib xoghol jekk temigra. In-nies jghixu fejn jistghu ssibu xoghol. M'inhiex qed nghid li ahna perfetti. F'Brussel per ezempju propjeta residenziali hija hafna irhas minn dawn il bliet li semmejt u kwazi tista tqabbel il prezzijiet ma Malta ghal certu tipi ta djar. Imma nista nassigurak li Malta qeghdin ahjar hafna hafna postijiet fl-ewropa. Din mhijhiex kwistjoni ta politika.....jien dan il gvern ma jinzieliex....

J.Tonna

May 29th 2010, 11:09

@ Kevin Borg - I agree with you 100%. Why all this fuss?? In three years' time we might have electricity for free. Ask Joseph!!

a borg

May 29th 2010, 11:46

how much cheaper mr borg?

let's say cheap enough for some people with blue eye blinkers who'd rather have an evidently corrupt government with poor performance and no intention to change rather than attempt change. we're in a condition of stalemate my friend, ANYTHING is better than PN at this point in time, even AD or god forbid Imperium Europa

Amy Borg

May 29th 2010, 11:47

How shallow can the maltese public be to vote for that party in the next general election who sold or driven to bankruptcy all the assets which belonged to us all, left a mountain of debt, where corruption is the order of the day and the PM defends those involved and attacks the whistle blowers. Also how shallow can we be to vote for those who are destroying our countryside, who left us with disastrous roads, inefficient public transport etc etc...the list goes on.

Jesmond Abela

May 29th 2010, 11:51

Dazgur li B'Gonzi mohhok mistrieh siehbi. L- aqwa li ekonomija qeda iddur halli nisalvagraw limpjiegi. Jien l-importanti li fl ahhar tal gimgha jkoli il paga .

lgalea

May 29th 2010, 12:22

Ghidha lil dawk li tilfu xogħolhom kaġun ta' Gonezi u l-ue ħalli jibgħatuk issaqqi l-ħass tal-Marsa.

Jason Attard

May 29th 2010, 10:22

YES there is more... stop moaning and do somthing for yourself. Malta is a great place to live most of the other EU countries envy us and the way we live in Malta!!!!

Mario Attard

May 29th 2010, 10:32

Just a few months ago, we had the news that Malta, is 75% more expensive than any other country in the Eurozone. How's that for a great standard of living?!

Robert Agius

May 29th 2010, 13:52

@Jason Attard

'EU countries envy us and the way we live in Malta!!!' hahahahahahahahhaha, yeah right!! That's what they tell you when they come here for a holiday perhaps...

Fred Vellaa

May 29th 2010, 09:56

What the fUss? Malta is not cheap to live in.

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