Malta’s plans to strengthen its energy security and grid resilience have reached another important milestone. With the signing of the ‘Tender for the Supply and Installation of a 132kV Variable Shunt Reactor at Magħtab Terminal Station, with PowerFix JV, all the Engineering, Procurement and Construction (EPC) contracts for the second Malta–Sicily electricity interconnector (IC2) are now officially in place. This now marks the transition of IC2 from the design, permitting and procurement phase into full-scale execution.

The newly signed tender covers the final component of onshore electrical and civil infrastructure at the Magħtab Terminal Station, where IC2 will link into the Maltese grid. The scope of work includes the manufacture and installation of a 132kV variable shunt reactor, including civil works, which are expected to commence in the first weeks of next year.

“The second interconnector is a central component of Malta’s long-term energy strategy. By providing additional transmission capacity between Malta and the European network, IC2 will improve the island’s grid’s resilience whilst facilitating greater integration of renewable energy sources. The project is also a cornerstone of Malta’s decarbonisation strategy, reducing reliance on fossil fuels and supporting the transition to a cleaner energy mix,” Minister Dr. Miriam Dalli said.

Over the past year, Interconnect Malta Ltd (ICM) has overseen the successful completion of several key stages. Earlier in 2025, Sicily’s Regione Siciliana and Italy’s Environment Ministry granted the approvals required for the project to proceed in Ragusa, Italy. 

By April, contracts had been signed by the Department of Contracts for the manufacture and installation of the subsea cable, while in August production was already under way at specialized manufacturing facilities in Norway and the United States. 

In September, the project advanced further with the detailed seabed mapping and marine surveys along the planned cable corridor between Malta and Sicily. Moreover, physical cable laying works in Ragusa, over a 21km stretch, are underway with 6km of trenches carried out and 4km of cable laying completed. Foundations in the Ragusa Terminal Station have also hit a new milestone as Terna Energy Solutions Srl are completing the 220kV Shunt Reactor’s foundations’ civil works. Furthermore, following the delivery of 220kV cables, works in Malta also commenced at Maghtab were trenching works are ongoing as to commence the cable laying works soon afterwards. Simultaneously, the manufacturing of the subsea and land cables will continue ahead of the marine and land cable laying operations. Furthermore, in the next months, the manufacturing process of two 220kV shunt reactors and a 220kV/132kV autotransformer will start.  

“ICM has emphasized its commitment to ensure that all work is carried out with full respect for environmental safeguards, with the project being climate proofed and having obtained all Environmental Impact Assessment and development permitting clearances. With the signing of this final EPC contract, IC2 has now entered a delicate execution phase. This milestone represents not only a technical achievement but also a clear signal of progress toward a more secure, sustainable, and interconnected energy future for Malta”. Dr. Ing Joseph Vassallo, ICM Divisional Manager, said.