MP calls for pre-established tariffs for use of filming locations

Labour MP Helena Dalli yesterday proposed that the government should establish fixed tariffs to be charged to film companies for the use of public spaces or buildings in Malta.

She said in Parliament that Mepa had drawn protests when it demanded Lm50,000 for a particular permit for the filming of Gladiator, a situation which had almost led the production company to leave Malta. Establishing fixed tariffs would remove the possibility of abuse and enable film companies to better prepare their budgets.

Ms Dalli was speaking during the debate on the Malta Film Commission Bill.

On Monday, Public Investments Minister Austin Gatt also complained over exaggerated demands, saying a local council had charged Lm400 for the closure of a square to traffic.

Ms Dalli gave an overview of the development of the film industry in Malta. She also referred to the minister's comments on Malta lacking a sound studio. Clearly, Malta needed such a facility. Dino de Laurentiis had wanted to go into a partnership for the building of one in 1998. What had become of this project?

Ms Dalli insisted that certain quality film sets built in Malta should be retained and developed for tourism purposes, on the lines of Popeye Village. That set had been a source of revenue for the Malta Development Corporation before Minister John Dalli transferred it to a person close to him.

Interjecting, Dr Gatt said Ms Dalli was implying that Popeye Village was transferred in an abusive manner, which she should either prove or withdraw.

Ms Dalli said that it was the minister who was using the word "abusive", she had never said so.

Deputy speaker Carmelo Abela asked Ms Dalli to explain what she was saying or withdraw her allegation.

Ms Dalli said that she stood by what she said. Mr Dalli had given this place to a person who was close to him and this facility did not remain a revenue earner for the public purse. It was only Dr Gatt who had mentioned the word abuse.

Continuing, Ms Dalli spoke on the composition of the Film Commission, arguing that the Film Commissioner was being given excessive powers. She felt the commissioner should be answerable to the commission and not form part of it.

Furthermore, the members of the commission should sign a declaration that they would not work on film productions for at least a year after resigning from the commission.

Turning to the proposed incentives for the film industry, including the refund of national insurance contributions, Ms Dalli said this was beneficial and would help big productions. But it would make little difference for smaller productions.

Incentives on investments should only be given to those who would generate employment through their investment.

Ms Dalli also insisted that the government should ensure that companies which were allocated public properties for film facilities should observe their contractual obligations. The government would now be giving incentives to the film industry after existing facilities had been allowed to rot and trained personnel had left.

She also suggested that producers should be asked to submit a copy of a script before being granted facilities to film in Malta, so as to ensure that the film content was not unsuitable for Malta.

Labour MP Chris Agius, who spoke earlier, said he agreed with legislation such as this which would set direction for the film industry in Malta. Indeed, the industry had long been crying out for government attention as it was an undoubted potential source of employment and investment.

The film industry had yielded significant revenue for Malta, even though it was not taken seriously by the government. It was important now that the incentives were such as to give Malta a competitive edge in this fiercely competitive sector. In Iceland, productions were refunded 12 per cent of the total production costs. The UK gave generous tax incentives.

Mr Agius spoke on the history of the film industry in Malta. In 1931, he said, some scenes for a film on the Gallipoli landings were shot here but the first serious effort to get the film industry going was in the 1960s, when a British company built the first Rinella tank. Malta Film Facilities was later created and acquired the shares of the Rinella facility. A second tank was built after the first was found to be too shallow for a film on the Titanic.

Although the tanks were the main attraction for the film industry, other locations around Malta had also proved to be an attraction, as evidenced by the shooting of films such as Midnight Express and Popeye; the film set for the latter is still serving as a tourist attraction.

Malta and later Mediterranean Film Facilities went through a crisis as the popularity of films declined. In 1995, the government privatised the company, which was sold to a Maltese Canadian who later sold it to the current owners. A movie park was built alongside the existing facilities a few years ago but that, unfortunately, had also closed down. It would have been in everybody's interest had ways been found to assist such ventures.

The Labour government of 1996 had set up Maltese Falcon Productions, which also sought to attract film production work in Malta.

In 1999 Parliamentary Secretary George Hyzler piloted the setting up of the Film Commission, but despite some successes, the sector still suffered from a lack of incentives and resources.

Two blockbusters came to Malta at the same time, U571 and Gladiator. It was a shame that the set used for Gladiator, within Fort Ricasoli, had been dismantled.

Another success was Troy, attracted to Malta through co-production agreements involving Americans, Britons and Maltese and which enabled Malta to access EU benefits.

Referring to the incentives which the government is planning for the film industry, Mr Agius said the government could also give some assistance in kind - such as free use of security services by the police and the army.

What was especially important, however, was that film producers were assisted, rather than hindered by undue bureaucracy, when they came to Malta. There had been unfortunate cases in the past when, for example, Mepa demanded exaggerated payments for the use of long-abandoned Fort Ricasoli. At one point it was paid Lm10,000. Local councils, too, had asked for unbelievably high payment for film shooting within their localities.

Once the incentives were finalised, it was important that they were well publicised.

Mr Agius criticised the fact that executive powers were to be exercised by the film commissioner, rather than the commission as a whole.

Indeed, the commissioner's powers were excessive. The commissioner could buy, sell, dispose of or rent machinery, manage and develop land and take up overdraft facilities of up to Lm50,000.

Moreover, the commissioner could give direct orders for purchases of up to Lm2,500. This could not even be done by local councils.

Referring to the composition of the commission, Mr Agius said that while he understood that one had to guard against conflicts of interest, capable people worked in the industry and one could not exclude them all from possible membership of the commission.

The new commission, he said, should place particular emphasis on training human resources and should tap into training programmes provided by the EU, such as Media Plus.

Malta should also consider joining Euro Image, a grouping of the Council of Europe which produced and distributed films.

Mr Agius said one could not expect results if a ridiculous sum was allocated to promote and support the film industry. The industry could only be successful if it was taken seriously. Clearly there was a lot to be done.

Although the Rinella water tanks were no longer unique, they were still an important asset which should be marketed and developed along with other facilities.

Joe Mizzi (MLP) said he could not understand how the Bill empowered the Film Commission to help the film industry, but also gave the minister powers to sidestep the commission completely.

He asked what was actually happening at the film studios at Rinella. The present sense of abandonment should not mean that nothing could be done to revive the facilities, he stressed.

It was well known that some important companies were keen on investing in the Rinella facilities. This would create new jobs, hopefully for residents of Cottonera. He hoped that these interested companies would not be discouraged so that the facilities could become easy pickings for others.

Mr Mizzi said Malta needed to better equip itself with facilities, such as a sound studio, to complement the attractions it had.

Tourism and Culture Minister Francis Zammit Dimech observed that Malta was mentioned in several thousand internet sites in connection with the film-making industry, with several mentioning the adaptability of Malta's scenery to period films. This in turn created international media interest and coverage. But once producers were drawn to Malta, they needed to find facilities that were up to standard and a low level of bureaucracy. That would be part of the commission's duties, besides advising the minister responsible on policy guidelines.

It was well known that film productions of whatever scale brought welcome funds into the Maltese economy. The sets constructed by Maltese craftsmen had been so impressive that a number of craftsmen's talents had also been used overseas.

Dr Zammit Dimech said the Bill also sought to support productions by Maltese producers.

This year would see the start of talks at EU level on the launching of a new directive establishing the percentage of local versus European productions and their distribution in all EU member states. Such a proposal would help bring to the fore the abilities of Maltese producers.

Another possibility was the organisation of a film festival in Malta, giving much-needed space to non-commercial productions. The experience of the St James Cavalier Centre for Creativity was a good indicator of what such an event could do for Malta.

Dr Zammit Dimech said a museum of artefacts used in film productions in Malta would constitute a touristic attraction in itself. It was obvious, however, that certain film sets could not be preserved completely or on site.

Other speakers will be reported tomorrow.