Union calls for softening burden of food, fuel prices
In line with its proposal for discussion within the Malta Council for Economic and Social Development on the increase in the price of fuel and cereals and how best to minimise their effect, the Union Ħaddiema Magħqudin feels the country should take...
In line with its proposal for discussion within the Malta Council for Economic and Social Development on the increase in the price of fuel and cereals and how best to minimise their effect, the Union Ħaddiema Magħqudin feels the country should take concrete steps to find alternative measures to provide energy in the medium and long-term.
In the short-term, the government should incentivise the purchase of equipment that does not waste energy or substitutes its use and should provide the energy-saving bulbs it had promised.
The union also proposed the launching of an aggressive campaign on how families can save on water and electricity.
The UĦM has proposed the re-evaluation of the surcharge on water and electricity so that it could possibly be lowered from 95 per cent. The surcharge should be replaced by rates on basic consumption, which would be at an acceptable level so that anyone who uses more and wastes energy would pay for it. This change has to come into effect after broad consultation to ensure that the new rates are socially just, the UĦM said.
While the families on social assistance should continue to benefit from the subsidy on basic consumption, the capping on enterprises should end, it proposed. "It is no longer fair that Maltese families continue to subsidise the big firms."
For the impact of the surcharge and higher prices on food products to be mitigated immediately, the changes to the Cost of Living Adjustment, which normally comes into force on January 1, should be introduced on October 1 so that the increase in prices between October 2007 and September 2008 would be reflected in the increase in the cost of living from October 1.
The government, in keeping with its promises, should introduce measures to cut the tax burden, which would help minimise the impact of the surcharge increase, and other high prices due to the rise in the cost of fuel and cereals, the union proposed.
Those who do not benefit from tax reductions should be given supplementary help, it said.