Malta needs a proper energy policy and the necessary infrastructure if it is to meet the obligatory EU targets to decrease dependency on fossil fuels such as oil, according to a watchdog report.
The Auditor General pointed out that Malta still lacked a renewable energy policy since the three reports published and presented for consultation so far had not yet been approved or implemented by the government.
As a result, the exploitation of renewable energy sources such as solar and wind power had been "marginal", making it very difficult for Malta to reach EU targets to reduce fossil fuel dependency.
Making life even more difficult is the fact Malta has physical and financial constraints that are complicating matters when it comes to exploiting solar and wind energy. Meanwhile, there are attempts to create energy from waste but these are still in their early phases, the report tabled in Parliament last week says.
"If this state of affairs prevails, the risk exists that Malta will not be able to attain the relative renewable energy obligatory EU targets. Such risks are amplified by the fact that local renewable energy policies are still in their consolidation stage and substantial infrastructural development is also required."
The report adds that, when it comes to wind energy, development has been stalled because of resistance to both onshore and offshore wind farms by residents and stakeholders from the areas earmarked by the government.
On the other hand, one aspect which has been successful is the government's initiative to provide rebates on energy-efficient appliances, where the targets are most likely going to be met. However, when it comes to solar water heaters the uptake was slower because the original rebates were not high enough.
Meanwhile, there was a "weak public response" to government rebates related to micro-wind energy - no one applied. But the planning authority may be to blame in this case for not having a set of criteria by which to approve such installations.
Another problem has been the slow uptake of biofuels, where, despite the increase in the number of petrol stations offering such fuel, people are still not fully aware of their benefits. The price differentiation between fuels is still marginal and there have not been enough awareness campaigns to convince people to choose biofuels, the Auditor General says.
The Green Leaders' government initiative, by which every ministry appoints a green leader to improve energy-efficiency, has managed to implement several changes.
However, no monitoring has yet been done to quantify the savings made and the expenditure on the initiative was lower than the allocated budget.
"Moreover, as funds remained unutilised, revised budgetary allocations led to the Green Leader fund being further depleted," the report says, adding, however, that some practices yielded some encouraging results.
The auditor has also called for the Malta Resources Authority to be given more resources to improve its efficiency in all aspects, especially that of regulation.
The report is available on www.nao.gov.mt.