Energy Minister Konrad Mizzi this afternoon unveiled the new reduced energy tariffs and said they will remain in force until 2020, giving  stability to Maltese consumers.

Addressing a press conference this afternoon, Dr Mizzi said the prices were in line with promises made by Labour before the election.

The new electricity price structure (see table) will see tariffs fall by 35 per cent for those consuming less than 2,000 units a year, by 25 per cent for consumption of less than 6,000 units a year and five per cent for consumption of over 10,000 units.

Dr Mizzi confirmed when asked that these prices had already been discussed with Electrogas – the successful bidders for the new gas fired power station selected a few weeks ago.

He said the prices would not change until 2020 according to the deal struck with the bidders.

On the price of fuel (petrol, diesel) Dr Mizzi said that although excise duties were increased on both types of fuel by 2 cents per litre, the Government had given assurance that, as a result of a hedging agreement, the prices would remain stable until next March.

Confirming that, through this deal, the price of petrol would increase by 1 cent a litre from January, he said he could give no guarantee that the prices would remain the same after March.

“We are still trying to negotiate although our aim is to keep the prices stable”, he said.

The budget states that the government would be receiving an additional €23.4 million in excise duty on petroleum in 2014.