'Nothing to hide' in oil purchases - Ministry
The Infrastructure Ministry said today in reaction to comments by PL leader Joseph Muscat that it had nothing to hide about the oil purchasing process and the procurement process had already been explained.
The ministry said that every so often, usually a year or 18 months, Enemalta issued an international call for tender to buy oil. Several international oil companies normally applied, and the current supplier of fuel oil and gas oil was Italian company Totsa.
In view of price volatility, the tenders were not based on lowest prices, but on margins. In the case of fuel oil and gas oil, Enemalta's purchases were based on the PLATTS average monthly benchmark .
This was an open, transparent process open to international competition and prices were determined by the market, the ministry said.
The ministry said this process did not involve hedging costs. There were periods when hedging was made or could not be made, For example, the 2010 electricity tariffs were based solely on the oil prices quoted for 2010 delivery. Hedging had nothing to do with direct oil purchases but was a financial instrument. Hedging was made with the banks, not the oil companies. And most deals were made on crude oil and not the type of oil used by Enemalta.The ministry pointed out that the Opposition refused to sit on the Fuel Procurement Committee when it was set up in 2005.
As a result of the committee's recommendations, Enemalta had also set up a committee on Financial Risk Management and hedging headed by Enemalta officials including the chairman, his deputy and the CEO which worked in consultation with the Central Bank and leading international intermediaries.
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Vince Calleja
Jan 12th 2010, 08:01
@J.Scicluna & J.Vella
Taf li dawk il-kontijiet li qed issemmi 'ta' Sant' QATT MA HARGU. Kienu ser jigu ntrodotti imma lahaq waqa' l-Gvern! Inutli tghidu, ghax Sant ipprova jgib kollox f'postu, kulhadd ikritikah.... issa dan il-Gvern irid li kulhadd jigbed habel wiehed u nnehhu l-politika minn nofs....Kulhadd nesa zmienu fl-Opposizzjoni!!!!
Marcel Dingli
Jan 11th 2010, 23:17
Insomma, jien ma nafx. Tal PN dinja ghalihom. Skond in NET ix xemx titla fil punent u tinzel fil vant. Jekk ma temmnunix araw il logo tan Net news.
Charles.j.Schembri
Jan 11th 2010, 22:32
`Joe vella....you quoted Il-Perit, I am assuming you referring to Mintoff, well it would be nice of you to quote him in all he said, not just a small sentence. Thank you,,,Mr Blue
k farrugia
Jan 11th 2010, 22:31
we can never forget how electricity bills were raised by sant s government back in 1996 when the oil price was well under 20 dollars a barrell. i cant understand today s fuss. i rather pay my bill with the actual price of the day market than paying it by some hidden tax. i am not going to be fooled by any young, new, handsome or ambitious politician.
C.camilleri
Jan 11th 2010, 21:38
Nothing to hide in oil purchases.
BUT still we will NOT reveal anything.
Make up your mind pls.
Only when the revised HIGHER utility tariffs starts arriving can we evaluate who is wrong or right on this issue.
What's for sure is that with the exception of the UHM all the social partners are asking for info regarding the buying of oil.
Galea. L
Jan 11th 2010, 21:37
M.Gauci
Ghalfejn qatt ma riedu jghidu min qed jixtrih? Ghax jurukemm huwa inkompetenti?
Joseph Scicluna
Issa lanqas mistoqsija ma temmen ghax jiena mistoqsijiet ghamilt. Ara lanqas tafu x'qed taghmlu.
Joe Vella Dik GIDBA ghax il-kontijiet inzammew ghax Dr Sant induna li dawkli kienu qed jaghmlu l-kontijiet riedu jahbu l-inkompetenza taghhom u jitfuha fuq il-konsumatur u ghalhekk il-kontijiet twaqqfu. Issa jekk kif qedf tghid int il-pn se jibqa' fil-gvern, ghalfejn qed jinkwetawk il-postings taghna?
m. borg(slm)
Jan 11th 2010, 21:00
@ Joe Vella
Il-Kontijiet taht il Lejber kienu gholja iktar milli huma illum.
Do you seriously believe what you wrote.......... my gosh gonziPN's situation is more desperate then I formly thought, to come up with such rubbish.
Joe Vella
Jan 11th 2010, 20:57
@ t. Abela Il-Perit tkellem dwar il kuxjenza socjali, u lil Partit Socjalista akkuza li tillifa, u lil hadt iktar.
Joe Vella
Jan 11th 2010, 20:55
@ Francis Portelli Great thinking, reasoning and rationale. I totally agree with, lets keep the PN in Government until the PN says it had enough of Governing. Your kind of reasoning and that of the rest of the Gloom and Doom crowd not only shows but install in all of us that the PL is not ready to take the reigns and govern Malta. After all, all of you are a reflection of Joseph Muscat and the PL; you only murmur what Joseph Muscat says. Pity, don't have a mind of your own!!!!!!!
Joe Vella
Jan 11th 2010, 20:45
@ t. Abela Le, nemmnu lil Joseph Muscat u lil PL. Il-Kontijiet taht il Lejber kienu gholja iktar milli huma illum. U dan meta il-Prezz taz-zejt kien ta madwar $20.00 il-barmil u mhux bejn $70.00 u $140.00 il Barmil. Habib, Il-fatti jitkelmu wahidhom.
Joseph Scicluna
Jan 11th 2010, 20:41
@t.abela. inhallas bhal ma konna se naghmlu taht sant meta iz-zejt kien hafna u hafna orhos mill lum!
t abela
Jan 11th 2010, 20:30
@ joseph Scicluna Mela issa emmen lill Ministru, u ghoqod hallas il kontijiet tal kuxjenza socjali.
Joseph Scicluna
Jan 11th 2010, 20:08
galea l. tighd mhux se nemmnu socjalist estrem bhalek?
M.Gauci
Jan 11th 2010, 19:39
Galea L Even if a 100 or more questions of yours are answered you will not be satisfied. That is, until the government changes to Labour hands, things will be exactly the same if not wose, but then you'll be satisfied u mur isma ftahir gej min ghandek. U tghid mhux ha nemmnu li hemm xa hadd b'mohhu floku jhobb jixtri z-zejt b'gholi(u jbati u, u l-poplu kollu) ma tahsibx li qed twegga l-intelligenza tieghek stess b'negattiv li ghandek.
francis portelli
Jan 11th 2010, 19:00
The Opposition was right to refuse to sit on the committee. Not before the system adopted by EneMalta, which is costing the Maltese population hardship, is thrown out of the window.
J.Borg
Jan 11th 2010, 18:44
so since there's nothing to hide dear minister....make everything PUBLIC. Stop beating round the bush and issuing incomplete informative statements so as to counter that of PL.
Galea. L
Jan 11th 2010, 18:41
So let's have all the information. Who decides to buy the oil, at what time, any commissions paid and to whom, what price was paid for each purchase and the other questions asked by the Opposition and stop hiding behind the statement that the information requested is of commercial value so as not to give the requested information.