Government admits its entities used illegal scrap yard

The government has admitted that some of its "entities" have granted contracts to an "illegal" scrap yard in Birżebbuġa despite several enforcement notices issued by the planning authority since 1993.

The police recently initiated criminal proceedings against the owner of the scrap yard which is located within 300 metres of the prehistoric sites of Borg in-Nadur and Għar Dalam and also lies within a designated area of ecological and rural value. The issue concerning the yard in Wied Żembaq, Birżebbuġa surfaced last summer following a parliamentary question put by the then Labour MEP Joseph Muscat at the European Parliament.

Dr Muscat had alleged that while the Malta Environment and Planning Authority was trying to close the scrap yard down, the government was awarding it contracts. Following an appeal to the European Commission to investigate the issue, EU Environment Commissioner Stavros Dimas had promised Dr Muscat that the issue would be taken up with the Maltese government.

A government spokesman yesterday told The Times: "The central government through the Departments of Contracts has not given any contracts to Gasparell Bailing Co Ltd. However, it results that, without our knowledge, some government entities have given some small contracts to the said company during the past years.

"We are now making sure that everyone is informed that this company is facing court procedures and no contracts should be awarded to this company until the ongoing court case is decided."

The Times is informed that the entities referred to are the Malta Shipyards, the Water Services Corporation and the Transport Authority (ADT). All contracts involved the sale of scrap generated by the same government entities.

A spokesman for the Commission said it is in contact with the Maltese authorities about the case.