Political parties cross swords over gas bottling plant at Bengħajsa
The building of a gas bottling plant at Bengħajsa was discussed during activities held by the two main political parties yesterday.
The Nationalist Party has attacked the Labour opposition for voting against a motion in Parliament last week for the transfer of land for the new plant. The motion was approved.
Acting Prime Minister Tonio Borg said that Gasco Energy Ltd would dismantle the old plant at Qajjenza for free and build the new plant at its own expense. The new plant would cost €25 million and this would be returned to the government for free after 33 years.
He said the dismantling of the old plant would cost the company €250,000 and, after three years, the land would be free for possible development. Dr Borg said the land was worth "something", given that it was surrounded by a residential area.
Labour leader Joseph Muscat said that the contract between Gasco and Enemalta did not contain a single clause to protect the consumer from a rise in gas prices and the government was unable to say by how much the prices would increase.
Although it wanted the gas plant to move from Qajjenza for the good of the residents of Birżebbuġa, the MLP could not agree to a proposal that was not in the interest of consumers, he said.
Gasco leased the land at Bengħajsa from the government for 33 years for a total of €1.9 million.
Labour' spokesman on infrastructure, Charles Buhagiar said Gasco would receive €3 million over the next three years to start its work in Qajjenza while the new plant was being built. The company would be getting paid more than it will pay out in rent.
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l Galea
Oct 27th 2008, 11:54
"The new plant would cost €25 million and this would be returned to the government for free after 33 years."
How much will be its value at normal commercial depreciation rates?
"Gasco leased the land at Bengħajsa from the government for 33 years for a total of €1.9 million."
How can the Government lease private land to a private company when there is a constitutional case not yet decided?
And to cap it all for a miserly €1.3 million for 33 years!
Can a Government be so arrogant as the present one?