Money-saving schemes for Gozo commuters

The government is expected to announce a range of money-saving schemes in the coming days for users of Gozo Channel ferries as part of its drive to restructure the company's operations, according to sources.

These schemes, expected to come into force along with the fare rises on June 1, include frequent traveller rates, dinner fares, night fares and seasonal discounts.

Passengers will be able to make savings by buying blocks of tickets. Purchasing 50 tickets may save as much as 50 per cent of the fare while an annual ticket will be available for companies and organisations which would allow representatives to travel relatively cheaply.

The schemes will complement the new fares announced by Investments Minister Austin Gatt last month.

There will be a one-off increase in passenger fares across the board in June and a staggered increase in vehicle rates over a two-year period. However, there is to be no rise in commercial fares and the full subsidy for Gozitan students and civil servants is being retained.

The sources said the government was taking a number of steps - apart from the schemes and fare rises - to reduce the annual Lm1 million loss being made by the company and these measures were calculated before the fare rises were worked out.

For example, by no longer contracting out the on-board cafeteria, the sources said the company stood to benefit in two ways. It would save an annual Lm135,000 that it paid to a third party. Also, using Gozo Channel personnel to serve would mean that there could be fewer company staff on board than there are today without in any way compromising safety standards.

Soft starters were also being fitted to the ferries' engines which would save Lm145,300 a year on fuel per vessel. "Obviously, they will still consume more fuel than their predecessors but they are more luxurious."

When asked why these measures had not been taken years before, the sources said: "It's true that it had not been realised before but at least we realised it before raising the price of the tickets."

Other measures being taken include a drastic reduction in free passes and cuts in administration expenses, while the overstaffing problem should be solved within two years because the company will not replace staff that retire.

The sources stressed that the original cost of the three ferries and the terminals did not figure in the restructuring scheme since they were funded by the government. "For the first time, the government will be subsidising the trip between Malta and Gozo to the tune of Lm1.4 million a year to ensure public service obligations are met such as lower fares for Gozitans and senior citizens and the provision of a night service. Previously the company could only recover the subsidy through its own income - and the only way to do that was by raising prices."