A new water taxi service which was launched three weeks ago, has already carried 3,500 passengers.

Malta Water Taxi Services Ltd, as the new company is called, was formally handed its licence this morning by Transport Minister Austin Gatt.

He hailed its performance so far as another sign of the shift in the way people are travelling.

The new company's operations are based on two rigid tenders, with the commissioning of another two due shortly.

Most of its trips have been across the Grand Harbour and from Valletta Waterfront to Sliema. The Valletta-Vittoriosa fare is of €2.50 per person, with a minimum of two persons required. The fare to Sliema from Valletta is €5.

Malta Transport has also issued licences to another two companies.