Author: Adrian Mallia – WH Partners
Malta’s Renewable Energy Interconnector: Overview of Malta’s Preliminary Market Consultation for Renewable Energy Supply via Subsea Cable
The Government of Malta, through Interconnect Malta Ltd, has issued a Preliminary Market Consultation for Proposals Relating to Electrical Renewable Energy Supply and Delivery to Malta via a Cable Link from North Africa (“PMC”). The PMC seeks feedback from market players on a potential large-scale renewable energy project involving the generation of electricity in North Africa and its transmission to Malta via a dedicated subsea cable link. This initiative forms part of Malta’s broader strategy to enhance energy security, diversify supply sources, and meet long-term decarbonisation targets. Interested parties must register in order to submit feedback. More details can be found here.
A PMC is not a call for tenders. Rather, it is a pre-procurement exercise aimed at gauging market interest, technical feasibility, and indicative pricing from prospective economic operators. In this case, the Government is seeking non-binding technical and financial input from developers capable of designing, financing, constructing, and operating renewable energy generation facilities – together with the required transmission infrastructure – to deliver up to 0.8 TWh of electricity annually to Malta. The PMC envisages a 35 year concession and a 25-year contract for difference.
Importantly, participation in the PMC does not confer any advantage in future procurement procedures, nor does it commit the Government to launch a formal tender. However, it plays a critical role in shaping the structure, risk allocation, and commercial framework of any subsequent competitive process.
This PMC is the precursor to a significant energy project in Malta, and interested parties would do well to assess the PMC and provide input.
WH Partners is well positioned to assist economic operators interested in participating in the competitive bidder process that will, in due course, be launched by the Government.
