Proposed investments and reforms to be backed by the €320 million EU recovery purse, if approved, were unveiled on Tuesday by EU Funds Parliamentary Secretary Stefan Zrinzo Azzopardi.

These include the setting up of a pilot near-carbon-neutral school, a new ITS campus, the digitalisation of the Justice system, and new ferry landing spots in St Paul’s Bay and Buġibba.

In February 2021, the European Parliament approved grants and loans, amounting to €672.5 billion to support reforms and investments undertaken by Member States

Malta will receive around €320 million out of that, in the form of EU grants. Its recovery plan - one of the last ones to be submitted to Brussels - must be approved by the EU Commission before it can start being implemented. 

What is in Malta's recovery plan?

The Recovery and Resilience Facility aims to address the short to medium term impact brought about by the pandemic.

Seventeen major investments in six areas were proposed as part of Malta's recovery plan, which according to EU rules must prioritise the green economy and digitalisation.

The areas are the circular economy, decarbonisation, digital investments, strengthening the health system, social policy spending, and investing in upgrading Malta’s institutions. 

Proposed Investments to promote the circular economy involve:

• Setting up a pilot near-carbon neutral school to serve as a model for the future and provide a future proof learning experience to students.
  
  
• Renovating and greening private and public buildings, including hospitals and state schools. These renovations include deep retrofitting through energy and resource efficiency measures.
  
  
• Renewable energy investments on roads and public spaces.

As regards decarbonisation, proposals include:

• New ferry landing places at St Paul’s Bay and Buġibba.
  
  
• Pushing the uptake of electric vehicles in the private sector, as well as decarbonising the public service fleet, and part replacement of the public transport fleet.

In the area of digitalisation investments include:

• Strengthening government's digital backbone, digitising public administration and measures to encourage the private sector to make the digital shift
  
  
• Digitising the Merchant Shipping Directorate within Transport Malta.

Health system investments involved a new Blood, Tissue and Cell Centre and enhancing the resilience of the health system through new technologies.
 
Social policy spending centred around one major investment, namely setting up of a new ITS campus to host a centre for Vocational Education Excellence.

Upgrades of Malta’s institutions would involve the digitalisation in the Justice system.

In line with regulations, 37 per cent of funds must be spent on green initiatives, with a further 20 per cent allocated to digital projects - €118 million and €64 million respectively in Malta's case. 

The plan has to be approved by the European Commission before the grants that form part of a broader EU-wide €672 billion aid package - can be tapped into.