Malta can only gain from agreement with China - Prime Minister

Malta will be the Chinese partner in the EU and Africa, and the agreement signed last week will secure enhanced exporting levels, Prime Minister Joseph Muscat held this morning.

Addressing the annual general meeting at the Party's Club in Gudja, Dr Muscat said that China was on the lookout for a safe harbour from were to network and support its European investment. Malta was portrayed to the Chinese as the most natural and logical option "and they said yes". Following the agreement, China has been given minority share holding of Enemalta in return for an investment of around €200 million. The Maltese government has kept secure the rights to take all paramount decisions.

Malta has taken on board a strategic partner, the corporation has hope for its future, jobs have been safeguarded and the possibility of creation of new jobs is on the horizon", Muscat explained.

Meanwhile negotiations are underway over the selling of solar panels Made-in Malta to other countries. Proposals are been explored which will see the setting up of these locally made solar panels on land in other countries.

"The agreement has been praised by one and all apart form the opposition", Muscat said, emphasising that the signed memorandum of understanding is simply the foundation of a more detailed agreement. The government and the Chinese authorities will be delving into these details over the next six months. "Contrary to the policies of previous administrations the final agreement will be put through Parliament prior to it being signed", Muscat promised.

Following the March ballots, the PL inherited a country with a bankrupt energy provider, with debts running up to €800 million. Investment done in the past 25 years still remained unpaid with unsettled bills dating back to the building of the first Delimara power station. Interest was piling against the corporation and was on the way to reaching €1,000 million and with it pull down the country's economy. Furthermore the energy sector was saddled with corruption, the country had no energy policy and the power station ran on heavy fuel oil.

"Enemalta's infrastructure is such that HFO need to continue being used until the power plat is converted to gas, as there is no structure for the storage of fuels other than HFO", Muscat explained.

While the Nationalist party has raised its concern over the privatisation of what was described as an essential service, when PN was at the country's helm it turned the public transport sector into a foreign owned monopoly. Currently a private company owns Malta's public transport and a foreign investor is the major shareholder of the country's only airport.