‘From bad to worse’: ATTO head disappointed at EU’s revised emissions rules

Association of Tractor and Trailer Operators (ATTO) Chairman Joseph Bugeja expressed his disappointment at the European Commission’s revised Emissions Trading System (ETS) proposal.

Speaking to MaltaCEOs.mt, Mr Bugeja said he is disappointed the EC didn’t take ATTO’s main points of contention into account after years of campaigning. 

“It is still early to debate the complexity of the matter… what we know from the first readings is that there is no consideration whatsoever regarding the International Trailer Services represented by ATTO,” he said.

“Our first impression is that we will go from bad to worse.”

On a positive note, he welcomed the scrapping of charges for transhipment operations involving cargo travelling to and from non-EU ports, stating it will hep keep the Malta Freeport competitive. 

However, its main bone of contention – extra charges for trailers delivering supplies to Malta from mainland Europe – hasn’t been addressed. 

The ETS, which the EU described as “the world’s first carbon market”, requires polluters to pay for greenhouse gas emissions. It was gradually extended to maritime transport from 2024, with the system fully applicable as of the start of this year.

ATTO has criticised the system as being unfair on Malta, which – unlike most European countries – relies on maritime freight for imports and exports.  

It pointed out that the ETS and fuel surcharge on a single round-trip trailer on the Genoa-Malta-Genoa route will now amount to €734.40. Based on 2025 statistics, the cumulative impact should translate into an additional annual cost of approximately €16.5 million.

He warned the EU is essentially punishing Malta for being an island and that these extra costs will ultimately be passed on to consumers and industry. 

The association has urged the EU to suspend ETS obligations on maritime freight bound to Malta pending the development of a mechanism that can take the realities of island economies into account. 

The Maltese Government reacted to the revised ETS proposal by stating it incorporates a number of key Maltese priorities, including stronger protection for the Malta Freeport, continued safeguards for the country’s air connectivity and the retention of dedicated support for island Member States.

It said that while it agrees in principle with driving down carbon emissions, island Member States shouldn't be placed at a structural disadvantage simply because of their geography.