A power station deal or a Faustian pact?

Published: January 14, 2013 at 2:51pm

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Which private company will build a new gas-fired power station worth €400 million (€600 million by Minister Tonio Fenech’s techncial advisors’ estimate), reduce the rates by 25%, freeze them for 10 years and recoup the capital costs and make a profit?

Unless of course it is another country that wants to buy control over Malta’s EU veto…. someone like China or Israel….




20 Comments Comment

  1. Not Sandy :P says:

    Israel?

    That would wipe out Malta’s current pact with the Palestinians.

  2. rjc says:

    Found this very refreshing: http://www.timesofmalta.com/articles/view/20130113/opinion/Numbers-on-tap-and-no-politics.452977

    No one has yet talked about the cost of land that’s going to be given away for he construction of both plant and gas tanks.

  3. maryanne says:

    Are we expected to vote in favour of this plan solely on the following guarantee?

    “What if the price in 10 years’ time will be unsustainable for Malta’s finances?

    “We will have a number of years to plan for that and address this issue and I am fairly confident, based on forecasts, that the price of gas will remain cheaper than oil.”

    http://www.maltatoday.com.mt/…/A-man-with-a-plan-Konrad-Mizzi-2013...

  4. H.P. Baxxter says:

    Oh well, I’ve been doing my “reed swayed by the wind” on this.

  5. Leslie Darmanin says:

    It is a Faustian pact. And furthermore, it will definitely be profitable to whichever energy company will have a monopolistic stranglehold on Malta’s energy supply in a decade’s time.

    The comparision in energy prices is being made to the current cost of energy production by the public sector – ie by Enemalta.

    The odds are that the private company which will have a monopoly on the country’s energy will be able to produce energy at significantly lower costs, applying the long tested and successful economies of capitalism which Labour is now embracing.

    Logistics apart (frankly the PN should not get lost in this timeframes because they won’t count once Labour’s in power), the future scenario looks like this.

    Labour will be selling out to a private company the country’s energy sector, in return for a promise to keep prices unrealistically low for two electoral terms. This means Labour is promising to deliver the undeliverable and will manage to do so through an unholy pact.

    Energy in most countries is considered a matter of national security, and should be more so in Malta’s case.

    Instead of trying to discredit the proposal, the PN should focus all its resources in identifying the company/ies which have expressed interest, their Malta representatives and, more importantly, any links that may or may not exist between them, their agents and Labour’s apparently inexhaustable money supply.

    Nap Muscat on that, and the election may be winnable.

    Fail at this, and it will be a landslide for Labour.

    • ciccio says:

      Konrad Mizzi said that Labour will be dismantling the barriers to entry in the energy generation because they will provide the land for a project by the private sector.

      This is false.

      Labour will be providing the ONLY land that is available for an energy generation project to the private sector, creating a monopoly in the private sector, and retaining the barrier to entry.

      In the foreseeable future, no other land will be available for energy generation in Malta, because this is such a contentious use that no other area in Malta will ever be allowed for use in building powerstations.

      Konrad Mizzi is not credible.

  6. maryanne says:

    Labour’s definition of the word ‘everybody’.

    Labour insisted that its plan is costed and credible, and has the backing of everybody from DNV Kema, the Malta Employers Association (MEA), Malta Developers’ Association (MDA), and former GonziPN Minister Jesmond Mugliett. (The Times)

    Are DNV Kema backing their own report?

  7. Neil says:

    More likely Dubai.

    Joseph already told us he has contacts there. They already own our telecommunications infrastructure through GO.

    They are the main investors in Smart City which Labour has been using to tarnish the PN reputation.

    They have both the money and the natural resources to back the plan.

    They would benefit more from having gas shipped to malta rather than piped (don’t think they’re connected to the european gas grid, but might be mistaken.

  8. ciccio says:

    http://www.forbes.com/sites/realspin/2012/09/27/israels-strategic-energy-opportunity-calls-for-exports/

    My comment:

    China is more likely to be securing global sources of energy for its own domestic market.

    On the other hand, Israel seems to have abundant supplies to export to other countries.

    • China Crisis says:

      Gas supplies are not the issue here. Cash buyers can get all the energy they need.

      Follow the money, not the gas, or you’ll end up back at the Labour Party.

  9. ciccio says:

    http://kw.wharton.upenn.edu/israel/natural-gas-a-game-changer-with-myriad-challenges-for-israel/

    Whoever can control Cyprus and Malta’s energy needs, will kill two birds with one stone. Two countries of the EU and two Mediterranean bases.

  10. Ian says:

    I didn’t think this site was for conspiracy theories, Daphne.

    [Daphne – It’s bound to happen when the democratic Labour Party, which talks about transparency and freedom of information and whistleblower acts, won’t let slip a single fact.]

  11. Makjavel says:

    The perfect plan to get Malta by the balls.

    Who could this charitable nation be that needs Malta’s support or VETO power?

  12. Superman says:

    Well on TVM2 Joe Grima was asked if a foreign country could get control of Malta by this deal, as you said, and he admitted the possiblity, he said it’s normal – what’s best for the country.

  13. H.P. Baxxter says:

    How about we put the question to Norman Lowell’s followers?

    Would you vote to hand over control of Malta’s energy supply to Israel?

  14. Lolly says:

    Solve this equation and you have the reply to the current “power struggle’!
    China.And.Qatar.New.Unknown= C.A.Q.N.U = JMOPM

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