Government is 'transmission belt' of higher prices - GRTU

The GRTU this afternoon likened the government to a transmission belt which was passing on the market prices of energy products to the consumers without seeing how their impact could be eased.

In a statement following the fuel price increases announced yesterday, the chamber said it was surprising how in the wake of the recession, this country had not learnt that it needed to discuss the impact of such important decisions before they were taken.

It appeared, it said, that the government was only concerned about how overseas prices would impact Enemalta, without calculating the impact on other enterprises. It appeared that the government was unable to find other ways to ease the impact of such decisions on the economy, without widening the deficit.

The GRTU said it acknowledged that this was a difficult problem, but that was precisely why there should be a discussion among the social partners so that they could be assured that there were no alternatives.

It was not good enough for the social partners to be told that prices had gone up because that was the way the price mechanism worked.

Without proper discussion, the GRTU said, it was led to wonder about the purpose of the Malta Council for Economic and Social Development.