EU Emissions Rules Threaten Malta’s Maritime Hub, Forum Warns MEPs
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The Malta Maritime Forum presented compelling data at the European Parliament in Brussels, showing how EU regulations on maritime transport are driving up costs and undermining Malta’s connectivity. The discussion, hosted by MEP Peter Agius, brought together all Maltese MEPs and their offices to explore a coordinated national strategy to address these challenges and protect the competitiveness of Malta’s maritime sector.
During the presentation, the Forum highlighted that a shipping service from the Far East to Malta faces an additional €102,321 in ETS allowance payments per call compared to the same route to nearby North African ports, which are not subject to the EU scheme.
Forum Chairman Godwin Xerri explained that the ETS has accelerated the growth of non-EU ports, with transhipment volumes rising from 500,000 TEUs in EU hubs to six million TEUs outside the Union. He warned that this transfer of business is curtailing Malta’s connectivity and reducing competitiveness for the wider European market.
Vice Chairman Alex Montebello stressed the unfair cost disadvantage suffered by EU transhipment hubs, while CEO Kevin J Borg highlighted the risk of “carbon leakage,” where business shifts abroad without achieving intended emissions reductions.
The discussion included active participation from MEPs Alex Agius Saliba, Thomas Bajada, Daniel Attard, and representatives from the offices of MEP David Casa and European Parliament President Roberta Metsola. Participants agreed that the ETS imposes a disproportionate economic burden, overlooking Malta’s operational realities.
Several interventions emphasised that reform should be framed as a European competitiveness issue, rather than a solely Maltese concern. A coordinated approach leveraging the International Maritime Organization (IMO) process and coalition-building based on data was deemed essential.
Concluding the event, MEP Peter Agius underlined the importance of a national coordinated effort: “Our meeting today demonstrated a collective goodwill to advance the national interest in a coordinated fashion. Let us keep this going forward for the sake of Maltese families, workers, and businesses.”
The discussion showcased Malta’s determination to protect its maritime sector while engaging constructively with EU institutions to ensure rules are fair, effective, and aligned with both environmental and economic objectives.