Fabian Demicoli

GRTU’s comments on Increases in the price of Gas—Vince Farrugia

 "This is an increase that has been long in the air and it reflects the high cost of operations to have a fully functioning bottling plant in Malta. Unfortunately the liberalisation of gas provision have taken too long so consumers are having also to cover the cost of the gross inefficiencies in the local bottling plant.

GRTU has insisted all along with Government that the subsidy which is permissible under EU regulations should not be removed at one go. As the consumer cannot support both a high increase in gas and the maintenance of the current high level of electricity tariffs. GRTU has successfully intervened that the increase in gas prices is not as hefty as originally indicated but we feel that the timing of the increase is very bad and Enemalta should have first waited for consumers to benefit from reduced of electricity tariffs before introducing these increases.

GRTU is also critical of Malta Resources Authority as once again they have not insisted on an Economic Impact Assessment of these gas increases.

Once again MRA is dominant by its absence. GRTU strongly believe that establishments that are heavy users of gas are being additionally penalized at a time when as a result of an economic recession they are having to sustain their present level of employment through vanishing profits. Once again the timing of an important action is faulty as it does not reflect the current economic situation. Enemalta is a state corporation and the regulator, MRA should be more conscious of what consumers and business users can afford to pay".

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