Labour MP set to file court case over tariffs

Labour resources spokesman Joe Mizzi said he would be taking the Malta Resources Authority to court this week for failing to defend consumers against high water and electricity bills.

Announced during a public meeting yesterday morning, the court case was described by Labour leader Joseph Muscat as "the next step" in defending the people.

When contacted, Mr Mizzi said he was preparing the list of witnesses but intended to initiate the court case this week.

The MP said he was opening the case in his personal capacity as a consumer, which would be symbolically also on behalf of other Maltese people.

Dr Muscat said the government was trying to put its conscience at rest by saying it was helping those in need.

However, those earning more than the minimum wage did not qualify for aid and some families were receiving vouchers of as little as €1. He said that not only was the middle class not given any help, but it was being constantly burdened, and one-income families earning double the minimum wage were being left with just €20 in their pockets at the end of the month after paying for the necessities.

Moreover, the increased electricity tariffs would endanger employment. While an average of seven people lost their jobs every day last year, the government had raised the tariffs, a blow felt by the whole spectrum of society.

He said unemployment was expected to rise to 7.4 per cent, which meant that some 13,000 people would be out of a job, and unemployment would only go back down to today's levels by 2012.

Although the government was expected to announce that Malta had emerged from the recession by June, people would not be reaping the benefits of economic growth.

Enemalta, he continued, had a deficit of €450 million, half of which had been accumulated over the past two years when subsidies were removed and no investments made.

"All this is being done to subsidise incompetence, waste and corruption," he said.

While the government had refused to debate the new power station, citing the investigation by the auditor, the planning authority had not waited for its outcome before issuing a permit. Neither had the government waited to make a €39 million payment to the contractor.

Moreover, the government had said that cancelling the contract would cost the country €300 million.

He mentioned the recent resignation of Enemalta chairman Alex Tranter, who he said has had an interest in a photovoltaic company since 2008 while pushing the government to adopt a policy on photovoltaic cells.

Dr Muscat insisted that the PL would never sell Air Malta, and while it was in favour of low-cost carriers it was imperative that they would not undermine the future of the national airline.

In a statement, the PN said Dr Muscat had not come up with proposals on how the country could pay for oil, adding that the government had accepted almost 48,000 applications to help families buy solar heaters, photovoltaic panels and low-consumption appliances. Another 130,000 families had been given energy-saving bulbs while €17 million would be handed out in the form of an energy allowance.