A scheme that will support people working in the construction industry to upgrade their machinery to more environmentally friendly vehicles was launched on Friday.
Part of the post-coronavirus recovery plan announced on June 8, the scheme will refund part of the cost of purchasing a new vehicle upon proof that an older vehicle that produces more emissions has been scrapped.
Noting that Malta has experienced a record in registrations of property contracts of sale in the past four months, Economy Minister Silvio Schembri said that the government wanted to follow up the predicted increase in activity with an opportunity to expand further into a green economy.
“We have to sustain this industry. It makes sense that this industry adapts to environmentally-friendly technology and more modern systems,” Schembri said during a press conference at the UNEC yard in Burmarrad.
“The industry is one of the strongest columns of the economy and keeps thousands of people in employment," he added.
A total of €4 million have been allocated to the scheme, with an individual or group being able to make use of up to €200,000.
The scheme will cover up to 40 per cent of the cost of a new vehicle, however, those who opt for a fully electric vehicle will be eligible for a 60 per cent refund, while the purchase of a hybrid machine will cover 50 per cent.
Those who wish to apply for the scheme but purchase a second-hand vehicle may do so as long as the machine was not manufactured before 2016. The scheme would in this case cover 25 per cent of such a purchase.
In order to be eligible, participants must submit a report on the vehicle they intend to purchase to Malta Enterprise and provide proof that an older vehicle will be scrapped.
New vehicles must have been manufactured after 2016 and adhere to the latest Euro VI standards. All vehicles intended for purchase under the scheme will be subject to an engineer’s report. Vehicles must also be insured and have passed a Valid Road Test.
The scheme will open on December 1 and run until May 31, 2021, or until the limit of the fund is reached.