Biodiversity in Malta is included in key crosscutting policy instruments, such as: 1. National Environment Policy A key cross-cutting policy instrument at a national level is the National Environment Policy (NEP) adopted by the Government in February 2012. Its implementation is overseen by the Ministry for Sustainable Development, the Environment and Climate Change (MSDEC). This over-arching policy identifies biodiversity in the Maltese Islands as a strength and is addressed alongside climate change as a long term sustainability issues. The NEP required development of a comprehensive strategic framework to protect Malta’s biodiversity, which was fulfilled through the adoption of the NBSAP later that same year. The NEP includes measures that would benefit directly and/or indirectly the Maltese biodiversity upon implementation. 2. Sustainable Development Act The Sustainable Development Act (Chapter 521 of the Laws of Malta) was enacted in July 2012. The purpose of this Act is to create a framework through which sustainable development is mainstreamed across Government. The responsibility for the Sustainable Development Act was assigned by the Prime Minister to the Ministry for Sustainable Development, the Environment and Climate Change (MSDEC) who therefore became the Competent Authority for purposes of the same Act. Amongst its functions are to ensure the development and implementation of Malta’s sustainable development strategy and to revise this strategy in line with national, European Union and international developments and to establish the direction for the revised strategy. In line with this Act, the Guardian of Future Generations (with the aim of safeguarding inter-generational and intra-generational sustainable development in Malta) and the Sustainable Development Network (with the aim of promoting sustainable development in Malta) were also set up in December 2012. 3. Climate Change Malta is a Party under Annex I to the United Nations Framework Convention on Climate Change (UNFCCC), with a prospective target inscribed in Annex B for the Second Commitment Period of the Kyoto Protocol (KP), subject to entry into force with the Doha Amendment. Nonetheless, Malta together with the EU MSs is still fulfilling the requirements for the Second Commitment Period under the KP (Annex B). Responsibilities arising from Malta’s obligations as an Annex 1 Party to the UNFCCC and from the EU’s Monitoring Mechanism include drawing up of the National Greenhouse Gas Emissions and Removals Inventory and the compilation of the report on Greenhouse Gas Emissions Mitigation Policies and Measures and Projections. In this respect work is ongoing in relation to climate change adaptation and mitigation, and indeed the same is also being addressed through site management plans and desertification/land degradation assessments. More information regarding mainstreaming biodiversity in key policy instruments in Malta is available in Malta’s Fifth National Report – vide Sections 2.7. (https://www.cbd.int/doc/world/mt/mt-nr-05-en.pdf) Biodiversity is also integrated in various economic sectors in Malta: 1. Agriculture and Rural Development Agriculture -is affected by the EU Common Agricultural Policy (CAP) and related national frameworks namely the Rural Development Programme and the National Code of Good Agricultural Practice as well as the Nitrates Action Programme as a requirement emanating from the Nitrates Directive. Maltese farmers receiving direct payments under Pillar I of the CAP are required to abide to “Statutory Management Requirements” (SMRs) in the field of the environment, food safety, plant and animal health, and animal welfare; and also to keep their land in “Good Agricultural and Environmental Conditions” (GAECs) in compliance with standards established by Malta. The Cross-Compliance Related to EU Aid Applications, 1306/2013 and 1307/2013 (LN 146 of 2005, as amended) lay down the structure for the management of cross-compliance, and related EU obligations thereto, in Malta. GAECs were developed on the basis of the framework stipulated by Regulation (EU) No 1306/2013 establishing common rules on the financing and monitoring of the common agricultural policy and establishing certain support schemes for farmers, while taking into account the specific characteristics of the country. Malta’s RDP is deemed important for biodiversity mainstreaming in this sector due to agri-environment-climate measures that may benefit biodiversity. The new programme shall address the following 5 needs identified for Malta and Gozo: water, waste and energy; Maltese quality produce; sustainable livestock; landscape and environment; and the wider rural economy and quality of life. A number of measures and sub-measures have been developed and programmed under Malta’s RDP 2014-2020 for implementation which will contribute to the achievement of the afore-mentioned needs. 2. Aquaculture The legal mandate for regulation of the aquaculture industry in Malta is laid down inter alia by the “Environment Protection Act of 2016”, “Development Planning Act of 2016” and the “Fisheries Conservation and Management Act of 2001” and subsidiary legislation thereto. In Malta, development in aquaculture, both on land and at sea, necessitates a development permit, while an environment impact assessment (EIA) is required before an aquaculture development is initiated. Fish farms are required to fulfil and adhere to environmental monitoring programmes as required by the development permit conditions. Such terms and conditions also apply for the management of the fish farm in question. Provisions calling for the restoration of a site, in order to address the eventuality of the cessation of the fish farm, are also secured before development takes place. The Aquaculture Directorate is involved in scientific research on hatching marine species for aquaculture species diversification. Malta’s Fisheries Operational Programme (2007-2013) prepared in accordance with Council Regulation (EC) No. 1198/2006 on the European Fisheries Fund (EFF), set as one of its objectives under Priority Axis 2, the reduction of the negative impact of aquaculture on the environment. 3. Fisheries The fisheries industry in Malta is considered mainly to be artisanal and predominantly small-scale. The Department for Fisheries and Aquaculture promotes an ecosystem-based approach to fisheries by applying sound fisheries management in order to safeguard the sustainability of living marine resources. With respect to fisheries, it aims to manage marine areas and preserve fisheries stocks, including their means of sustenance. The “Fisheries Conservation and Management Act of 2001” makes provision for the regulation, conservation and management of fisheries in Malta and most matters incidental thereto. The scope of this Act extends beyond the safeguard of fish that are captured for direct consumption, in that certain provisions of the Act are also provided legal basis for the protection of turtles, dolphins and other aquatic organisms [Article 38(2) h]. National fisheries policy is modelled on the EU Common Fisheries Policy (CFP) and its reform which became binding from 1 January 2014. Regulation EU No 1380/2013, in Part III defines measures for the conservation and sustainable exploitation of marine biological resources. The CFP favours the sustainable management of fish and establishes measures against over-fishing and ensuring productivity of fish stocks to maximise sustainable yield (MSY), including via multiannual recovery and management plans governed by the ecosystem approach. Other goals are ending the practice of discards and reducing unwanted catches, acquiring up-to-date information on state of marine resources, as well as contributing to other environmental policies, such as to the good environmental status of the seas under the Marine Strategy Framework Directive (MSFD). Fisheries Management Plans are in place in Malta. These lay down provisions to limit overfishing through gear selectivity, temporal closures and spatial limitations for specific gear, such as trawling. This ensures that existing practices do not jeopardise any measures that safeguard sustainability and do not impose extinction threats to biodiversity. 4. Tourism The Tourism Policy for the Maltese Islands (2007-2011) was developed in response to four key areas: governance, competitiveness, sustainability and macroeconomic matters. It put forward the guiding principles as a basis for future decisions, actions and other matters related to tourism in Malta. The Tourism Plan outlined a series of actions which were to be implemented mainly by the government and the private sector over a five year period in order to drive forth the achievement of the objectives set out in the Tourism Policy. A series of its measures targeted beaches, coastal shores and the marine environment under the theme “Our product offer and destination management”. Measures targeting the landscape (protecting and managing rural areas, afforestation projects) were also included. The overall vision of Malta’s National Rural Development Strategy Plan (2007-2013) aims for the realisation of the multifunctional role of rural areas so as to enhance the wider rural economy through the development of a strong agri-food sector by encouraging the development of sustainable tourism and recreation activities. The Natural Tourism Policy (2015-2020) was launched in 2015 and was formulated on the basis of a long-term Tourism Vision 2030, based on the principle of Sustainable Development. Moreover, the policy places emphasis on the marine environment and amongst other things addresses the preservation of marine water in line with the EC WFD and MSFD, supporting the upkeep of existing blue flag beaches and awarding of new ones, safeguarding diving sites, and supporting Natura 2000 management Plans. 5. Waste Malta ’s waste management regulatory regime is based on the EU Waste Policy, which is in turn based on the objectives of preventing waste and promoting re-use, recycling and recovery so as to reduce the negative environmental impacts including biodiversity. EU waste policy includes horizontal legislation on waste management, which is then complemented by more detailed legislation concerning waste treatment and disposal operations as well as legislation to regulate the management of specific waste streams. The revised Waste Framework Directive (Directive 2008/98/EC), is transposed by the “Waste Regulations, 2011” (LN 184 of 2011). 6. Integration of biodiversity into relevant planning processes The legal mandate is currently provided by the “Strategic Plan for the Environment and Development” (SPED), which makes provision for the planning and management of development in the Maltese Islands. The latter was published in July 2015. It regulates the sustainable management of land and sea resources together with the protection of the environment and is based on an integrated planning system. The SPED includes a number of thematic objectives, where thematic objective 8: “To safeguard and enhance biodiversity, cultural heritage, geology and geomorphology” includes measures directly addressing biodiversity loss and habitat degradation. Further details regarding the SPED are available online: http://www.mepa.org.mt/Documents/FinalVersion.pdf More information regarding mainstreaming biodiversity in various economic sectors in Malta is available in Malta’s Fifth National Report – vide Sections 2.8.and 2.9. (https://www.cbd.int/doc/world/mt/mt-nr-05-en.pdf). Biodiversity is also one of the priority areas in national operational programmes for EU funding. Malta’s Partnership Agreement (PA) with the European Commission was launched on 4 November 2014. This PA is the overarching framework that sets out an assessment of the national development needs and defines the priorities for the optimal use of the EU Structural and Investment (ESI) Funds. The environment is one of the four thematic areas of funding priority number 2 on Sustaining an environmentally friendly and resource efficient economy. The thematic area covers protection of biodiversity within the Maltese Islands and enhancing management. Moreover, as indicated above, ODA plans/programmes include initiatives which aim at providing assistance to third countries in numerous areas which indirectly contribute to biodiversity protection, such as aquaculture, water management and climate change.

Work on the mapping and assessment of ecosystem services has commenced, with the first updates provided in the CBD Fifth National Report. Moreover, in order to assess how citizens in Malta value biodiversity in the country, a preliminary questionnaire-based survey was undertaken by the (then) Malta Environment and Planning Authority (MEPA) at the beginning of 2014. Results reveal that biodiversity in Malta is highly valued for provisioning services (namely the provision of clean air and water), regulating services (in particular pollination and soil formation and fertility) and for cultural services, mainly outdoor recreation and aesthetic value, followed by health and education. The biodiversity value for food providing sectors is ranked more or less ninth out of the thirteen categories. According to the results of the survey, biodiversity is viewed as least important or not so important for the private sector/business, followed by trade of biological resources. Most importantly respondents to the questionnaire value biodiversity for their overall wellbeing and also link the importance of biodiversity for sustainable development. The views of respondents on non-use values as well as the intrinsic/inherent value of biodiversity were also sought in the questionnaire. The intrinsic, existence and bequest values of biodiversity are also well recognised by respondents to the questionnaire. More detail is provided in Sub-section 1.2.2 of Malta’s 5th National Report submitted to the Secretariat of the Convention on Biological Diversity. As a small island state, Malta is also greatly dependent on the marine environment both for marketed and non-marketed activities. This has indeed been substantiated by the findings of an economic and social analysis (ESA) of the direct use made of the marine environment. The Economic and Social Analysis was carried out in line with the requirements of the Marine Strategy Framework Directive (MSFD – Directive 2008/56/EC). More detail is provided in Sub-section 1.2.3 of Malta’s 5th National Report submitted to the Secretariat of the Convention on Biological Diversity.

The National Biodiversity Financing Plan for Malta is under development and as such the funding needs for implementing the measures set out in Malta’s NBSAP are still being assessed. Further additional costs related to the management of sites and their monitoring. Costs are particularly relevant in relation to the marine environment, In this respect the European Regional Development Fund (ERDF) was used for the development of a long-term monitoring strategy and programme for the marine environment as part of ‘ERDF 156’: ‘Developing National Environmental Monitoring and Infrastructure Capability’. This project was submitted/approved in December 2009. The overall objective of ERDF156 was to develop the national environmental monitoring infrastructure and capacity for Malta with a focus on air, water, soil, noise and radiation, with the amount granted being about €4,000,000. This marine monitoring strategy and programme were used as a basis for the development of ‘monitoring factsheets’ outlining and integrating monitoring processes required by marine-related policies. The cost of the development of the long-term monitoring strategy and programme undertaken in conjunction with other deliverables including a socio-economic analysis of the use of marine waters and monitoring for contaminants in inland waters, costed about €219,077. The implementation of the National Marine Monitoring Plan as adopted by the Cabinet of Ministers costs about €4,500,000 over three years (2016-2018).

The National Biodiversity Financing Plan for Malta is under development and as such the funding needs for implementing the measures set out in Malta’s NBSAP are still being assessed.

Malta’s National Biodiversity Strategy and Action Plan (2012-2020) includes a measure that recognises the need to identify new funding opportunities for biodiversity, including private investment and innovative financing of biodiversity conservation and protected areas. The development of the national biodiversity financial plan shall assist resource allocation and uptake of funds towards supporting projects that adopt effective and innovative approaches to advancing biodiversity conservation and sustainable use in the Maltese Islands. Another NBSAP measure calls for encouraging the increased cooperation and involvement of the private sector and businesses in biodiversity conservation, including the promotion of private sector voluntary initiatives/green business schemes. Throughout the years, banks in Malta have been important sources of financing for direct and indirect conservation efforts in the country. Support is not limited to providing financial sources. Banks may: - act as co-financiers of biodiversity projects; - host and finance conferences and their proceedings; - support environmental educational programmes; - dedicate staff time in tree planting events and in cleaning events; - support to build visitor/information centres; and - support the publication of scientific journals. Moreover, the development of greening economic models underscores the engagement of the private sector in promoting economic growth, through recycling and re-utilisation of products and its components. Such economic models positively contribute in reducing impacts on environmental resources, natural ecosystems and biodiversity.