A happy birthday?

One year ago, today, the Nationalist Party, or Gonzipn, won by the skin of its teeth, thanks to a dynamic leader, an ambitious electoral programme and a weak Labour Party. Herman Grech and Kurt Sansone analyse whether the government has lived up to its...

One year ago, today, the Nationalist Party, or Gonzipn, won by the skin of its teeth, thanks to a dynamic leader, an ambitious electoral programme and a weak Labour Party. Herman Grech and Kurt Sansone analyse whether the government has lived up to its promises.

Immigration

As the illegal immigration problem expands to the winter season, Prime Minister Lawrence Gonzi is under increasing pressure to abandon the country's international obligations. He has chosen to refrain from scoring easy political points, and instead has continued to fight the problem within the EU institutional framework. Despite the justified criticism that EU states are showing little solidarity, Malta has benefitted from €112 million in EU funding for this sector.

Mepa reform

The reform of one of the most contentious organisations is expected to be presented to Cabinet shortly, but the electorate expected the promised shake-up to be well underway by now, especially after Prime Minister Lawrence Gonzi assumed personal responsibility for it after the election. In the meantime, Mepa still contributes to a haphazard and unclear distribution of planning responsibilities. Worse still, it is trusted by few of the country's inhabitants.

Hospital waiting lists

Complaints about delays at the new Mater Dei Hospital have become the order of the day. Last July, Social Policy Minister John Dalli described Mater Dei as a "part-time hospital" but months on from that statement there seems to be no sign of cutting downs waiting times - as thousands queue up in pain.

Environment

A total of €30 million was invested in alternative energy projects including energy-saving bulbs for each family, not yet distributed, and subsidies for solar water heaters and for enterprises that invest in efficient energy use. Another €130 million has been budgeted for an offshore wind farm off Mellieha. The government said that many of its measures were intended to cut down on waste and emissions. Environmentalists remain sceptical over whether the measures are far-reaching or effective.

Car registration

The car registration tax has been overhauled and is based on CO2 emissions as well as the size and age of the car. The bigger the engine capacity, the more tax payable. After the initial confusion, traders and consumers are now getting used to the new regime - though owners of older cars are complaining that they have been treated unfairly.

Water and electricity tariffs

International prices of crude oil spiralled out of control in the first seven months of 2008, prompting rises in fuel and electricity prices across Europe.

But when oil prices started to fall and the economic crisis set in, most countries took steps to take the pressure off their people.

The Maltese government, on the other hand, introduced the highest ever rates on water and electricity - a move which united all trade unions in a chorus of disapproval.

The real impact on industry and households is yet to be felt, but the move was so far one of the government's worst moments.

Rent reform

After decades of inertia a Bill on rent reform was finally tabled, intended to eradicate an injustice that has dragged on for over 60 years. The Bill's most contentious issue was the €185 minimum rent. Several property owners complained, saying they would still be forced to provide social assistance; tenants also raised objections, but the majority realised that it was a long overdue reform which was unlikely to please everybody. The exclusion of political party clubs from the initial stages of the reform was considered unfair.

Deficit

It was meant to be another year when the deficit is consigned to history but Malta ended 2008 with an unexpected deficit of 3.3 per cent of GDP. The government said the hike was caused by "unforeseen circumstances", mainly related to early retirement schemes offered to Malta Shipyards employees in preparation for the privatisation process. Critics said it was the result of a political party that went on a pre-electoral spending spree never expecting to gain power again, and a public sector whose projects regularly overshoot budgets.

Taxes

Income tax revisions will put an additional €12 million in people's pockets in 2009, with savings ranging from €53 to €215 a year. Departure tax was finally grounded and mothers returning to work were given a €1,600 tax holiday. Many were, however, expecting the Prime Minister to fulfil his electoral pledge to trim the maximum income tax rate by 10 per cent in his first year. It is evident that the next election is still a long way off.

Malta Shipyards

The early retirement scheme was certainly a success, thanks to a warning from EU Commissioner Neelie Kroes that the government's intention to write off about €100 million in debts before selling Malta Shipyards violated EU rules. After decades of subsidisation, taxpayers can finally heave a sigh of relief, but a big question remains over whether any of the shortlisted consortiums bidding for the shipyards fit the bill.

Public transport

Following a rowdy strike which brought the country to its knees last summer, the government launched its public transport reform. The proposals include halving the number of buses on the road and creating hubs in different localities. The Public Transport Association is on the warpath but commuters have been yearning for change for years after experiencing consistently poor service. The reform could also potentially help reduce air pollution as more people opt for public transport.

Hunting/ Trapping

As the hunters' federation embarks on a mission to haunt the Nationalist Party with its "broken promises", the government says it is merely abiding by EU legislation. Hunting in spring is not likely to be allowed for the second year running in 2009, as the government conveniently waits for the European Court of Justice to take a decision. Trapping should also be outlawed after the expiry of a transition period negotiated in the run-up to Malta's EU accession but the government has made no commitment either way.

Partnership for Peace

Reactivating a political hot potato, as the fireworks from the electoral victory celebrations were barely spent, was cunning at best, deceitful at worst. Neutrality questions aside, membership of the PfP, a programme of bilateral cooperation between individual partner countries and Nato, was not listed in the PN's electoral manifesto.

Plastic bags

Any tax imposition is unwelcome, but when a tax is introduced mainly because the government has failed to enforce the eco tax introduced in 2004, the criticism is more than justified. Even environmentalists have dismissed the 15 cent tax on each plastic bag as ludicrous, especially since it is imposed on biodegradable bags as well.

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