Matthew Xuereb
Bakers seek lower electricity rates throughout the night
Bakers have asked the government for cheaper electricity rates at night in a bid to minimise their costs and so keep the price of traditional Maltese bread unchanged.
The Bakers' Cooperative yesterday met Alfred Camilleri, the Finance Ministry's permanent secretary, who did not wish to reveal the details of the meeting.
However, cooperative president Raymond Briffa said the meeting was cordial and the government "seemed to understand that we are doing our best not to raise the price of Maltese bread".
Bakers were planning to import their own fuel to minimise costs as they braced themselves to survive without government subsidies. The move was the latest in a drive to cut costs and fend off increasing competition from imported bread.
Mr Briffa said Mr Camilleri promised the government's assistance to ensure they would not find bureaucratic problems when they applied to be granted a licence to import the fuel.
Other requests made included the possibility of cheaper electricity rates for bakers during the night, which would cut their costs dramatically. They also asked for assistance to look into the possibility of running their ovens on gas.
Mr Briffa said they wanted to leave the option of increasing the price of bread as "a last resort".
Since the price of bread was last increased in May, bakers estimated that sales dropped by between 10 and 15 per cent. Following the steep rise in the international prices of oil and wheat, the price of bread had gone up by €0.07 to €054 for the large Maltese loaf and by €0.04 to €0.34 for the small loaf.
Consumers have clearly started turning to foreign products and the Maltese bakers have no option but to cut costs, even as subsidies have been removed.
The bakers wanted to see the cost of raw materials they used go down. At the current rate, in fact, Mr Briffa estimated that bakers would need to increase prices by €0.035 across the board to be able to cope.
He said the cooperative will be meeting the ministry again next week to follow up on yesterday's meeting.
9 Comments
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joe Vella
Jan 8th 2009, 21:33
@ M. Buhagiar
Have you woken up yet? Why don't you realise that the PL media outlets have no desire to actually inform you of what is happening in the real world.
J.Spiteri
Jan 8th 2009, 16:24
In UK the night tariff called Economy 7,8,9 or 10 been going on for many years, (Economy 7 at least 40 years). Most suppliers have a fixed Day/Night "Economy7" tariff which they apply to all two rate meters (except evening weekend meters. If they offer these prices they will be applied to economy 7, economy 8, economy 9, 10 and many other options, including those with afternoon or late morning boosts.
So really this is not new technology, anybody can come up with these suggestions.
To implement the technology is the problem and of course the cost, who shall pay for it ???
Joe Vella
Jan 8th 2009, 13:55
@ Mr. Buhagiar ET all
Night rates for non-residential usage have been in place for sometime now. If you want to see the night rates just go to the following link; http://enemalta.com.mt/page.asp?p=995&l=1
Because Joseph Muscat and the PL didn't know about them, doesn't mean that they were not in place. It only shows the ignorance of Joseph Muscat and the Pl that they don't know what is happening around them. And they want to take the realm of Government in their hands. God help us.
Joe Vella
Jan 8th 2009, 13:08
@ M. Buhagair
HeeIllloooo!!!! indeed Mr. Buhagiar. This is one of those proposals that your friend Joseph Muscat made during his Budget speech. It is a proposal that a number of Industries have been benefiting from for some time now.
Hats of for the bakers to ask the scheme to be extended to them too.
Mr. Buhagair, instead of a big Helllllloooooooooooo; I thing a big waakkkkeeeeeeeyyyyyyyy, waakkkkkkkkkkkkkkeeeeeeeeeeyyyyyyy is more appropriate,
R Sammut
Jan 8th 2009, 12:53
I agree that the tariffs should be reduced for everyone during night time.
But the current electricity meters DO NOT distinguish between morning or night units. Therefore this can't happen in the short-term as I think it will take quite a bit of time to change all the existing meters.
M.Buhagiar
Jan 8th 2009, 11:43
Heeellloooo!!!!
This was one of Joseph Muscat`s proposals in the budget speech to reduce the rate during the night but Wenzu Gatt tried to shoot his proposal down !!!!
So people note that what the PL is saying makes sense after all !
Anthony Roberts
Jan 8th 2009, 10:59
This should be available to everyone, not just the bakers. Those of us who have freezers and fridges running continually will benefit from this tramendously.
Adrian Cardona
Jan 8th 2009, 10:36
Makes perfect sense, but electricity rates should also be lowered for everyone at night.
R. Bartolo
Jan 8th 2009, 09:54
This is a very serious proposition, that is done in many countries. Since the power stations still have to be run at night, and normally at a loss, while then during the day they run over their capacity, it makes sense to lower the rates at night, to encourage people to do some such chores at night.