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Updated: Plans to raise electricity rates revealed by European Commission document - Muscat

(Adds Finance Ministry's reply)

The European Commission has uncovered the government's plans to increase electricity rates after the next election, Labour leader Joseph Muscat said this evening.

Speaking during a political meeting in Pieta, Dr Muscat said that a European Commission document clearly states: "Energy inflation is forecast to strengthen under the assumption of an increase in electricity prices".

This document was written under the assumption that this was the government's policy for next year.

The Labour leader said that the government had no credibility whatsoever in the energy sector. It was only now that it was investing in renewable energy and it had opted for a power station that worked on heavy fuel oil.

Rather than invest in solar energy it promised windmills.

He said that the PL's policy was based on alternative sources of energy, the generation of energy from gas and encouraging people to invest in renewable energy.

Photovoltaic panels would make more sense for families because Labour would also be reducing the electricity rates, he said.

The Labour leader said to reduce the deficit, the government had reduced investment in education and health by millions of euros. It also used up the funds from the public lotto concession in one year, instead of in 10.

The European Commission was now saying that the deficit would go up again next year. The forthcoming budget, he said, was an election one and the government would be generous. But the following one would take everything back with interest.

Although the Finance Minister had last year forecast a 2.3 per cent economic growth, the European Commission report was saying this would only be one per cent, showing that the government's predictions had gone haywire.

The report was also forecasting that the cost of living would go up at a higher rate than wages.

Labour, Dr Muscat promised, would reinstill confidence in the country.

MUSCAT'S PROMISE TO REDUCE TARIFFS IMPOSSIBLE - MINISTRY

A spokesman for the Finance Ministry said, however, that the European Commission’s report which Dr Muscat referred to was forecasting that the price of oil would remain a challenge next year.

This led one to conclude that Dr Muscat promise to reduce tariffs was impossible.

The spokesman said that the government this year allocated €25 million to Enemalta to ensure that prices remained stable and it intended to do the same next year.

The next budget, the spokesman said, would include measures to ensure this.

Moreover, the power station extension should be generating electricity soon leading to greater efficiency, which would also ensure that prices are not increased.

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Brian Gatt

Nov 12th 2012, 12:30

“The European Commission has uncovered the government's plans to increase electricity rates after the next election.."

Learn to read Joseph the above quote states that the current goverment (if re-elected) will increase the Electricity Rates...PL (not MLP - still iving in the past are'nt you) were never mentioned. The EU only reported what was in turn reported to her by the current Govt.....

Brian Gatt

Nov 12th 2012, 12:35

What about those families who do not have access/ use of the roof and hence cannot install the Photovaoltaic Panels? what about those families who cannot afford to buy Photovoltaic Panels? we leave all the above mentioned paying exhorbitant bills? is the attitude of I am alright FU Jack the way forward to improve social justice....come on please dont insult our intelligence anymore.

Joe Borg (Senior)

Nov 11th 2012, 11:02

Sur Scerri ghamel ftit analizi, min qed jixtri dawn il-panneli voltajici?

Dawn qed jixtruwhom ftit familji li bhalissa jistaw. Dawn huma ftit hafna w din qed jurija l-gvern stess bl-istatistici li huma ferm il-bod mil-mirri tal EU. Li qed jghid JM huwa li se johrog skemi ta vera ghal kulhadd mhux ghal ftit nies li vera jistaw!! Skemi bis-sens mhux bhal dawk(weqfin w skaduti) li hemm bhalissa!

George Azzopardi

Nov 11th 2012, 11:06

Dik hija l-mentalita ta nies mal-PN. Jien naf hafna. Hemm proverbju bl-ingliz li ma tantx w xieraq ghal-hawn! Imma biex titraducih bil-Malta pulit dan jghid "la jien ok .. nigi nitmejjel min haddiehor" jew "I'm ok . ... u Jack"

George Azzopardi

Nov 11th 2012, 11:23

Dik hija l-mentalita ta nies mal-PN. Jien naf hafna. Hemm proverbju bl-ingliz li ma tantx w xieraq ghal-hawn! Imma biex titraducih bil-Malta pulit dan jghid "la jien ok .. nigi nitmejjel min haddiehor" jew "I'm ok . ... u Jack"

Joe Borg (Senior)

Nov 11th 2012, 11:24

Sur Scerri ghamel ftit analizi, min qed jixtri dawn il-panneli voltajici?

Dawn qed jixtruwhom ftit familji li bhalissa jistaw. Dawn huma ftit hafna w din qed jurija l-gvern stess bl-istatistici li huma ferm il-bod mil-mirri tal EU. Li qed jghid JM huwa li se johrog skemi ta vera ghal kulhadd mhux ghal ftit nies li vera jistaw!! Skemi bis-sens mhux bhal dawk(weqfin w skaduti) li hemm bhalissa!

John Scerri

Nov 11th 2012, 16:52

minn 6300 euro il gvern itik lura 3000 euro .
tista tinvesti billi thallas bid- dejn ma bank lokali.
l-iskemi johorgu kul tant zmien meta jkun hemm fondi ta l-EU .

Minghajr EU Hadd ma kien jinvesti fil PV sur Borg.

Dawn skemi tajbin .
Skemi ta' Joseph Muscat Ghadna ma nafu xejn u fuq xejn mhux ser nahlu il- vot sur Borg

J Busuttil

Nov 11th 2012, 11:54

@ Liza Zarb

Yes Yes iktar kemm nisma lill Joseph iktar ma nistax nieqaf nibki l-sfurtana ta'dan il-pajjiz u minn xiex sejjer jaddi

Joe M Borg

Nov 11th 2012, 16:49

Liza, we ALSO believed Sant's promises with his 'Winning team', including the famous VAT removal. What did we get? VAT was removed, only to get CET, which was better. You are free to keep yoiur faith in JM. There will be plenty of time to be sorry afterwards.

Brian Gatt

Nov 12th 2012, 12:45

@ J.Busutill and Joe M Borg,

why are you so negative guys...if you are so sure the JM will screw up let him win. When he is in Govt and he screws up you can criticize all you want.
However I think that you (PN) are scared of the outcome of a PL Victory, you are scared that JM will perform and outshine your beloved Gonzi by really bringng Malta out of the recession and to the top of the EU

Mario Meli

Nov 12th 2012, 14:18

At least in the 80s people had money to spend and they also used to put some money aside which today they are using to make it till the end of the month and those who did not put the money aside have to use their credit card to arrive at end of month, try looking around yourself when you go to a supermarket and see how people are paying for their shopping, CREDIT CARDS! Thats not healty!

Joe Borg (Senior)

Nov 11th 2012, 10:37

Sur cauchi, il-kustjoni mhux jew il-Lejber jirbahf. Il-kustjoni ha tkun bl-iema umilljazzjoni ha jitlef GonziPN ghax bit-tkaxkira li ha tiehdu ha ddum ftit tfqarfru trab!!

Issa smajt li biex tipruvaw tirbhu ha dbidlu l'bandiera wkol. Hadra b'diamand isfar bid-dinja blu ga fiha ha taghmluwa!!! Braziiiilll!!!

John Zammit

Nov 11th 2012, 10:38

Just for your Information as you seem not to follow or you are still Young The youngest prime minister was I believe was Sir Ugo Mifsud at the age of 33 a PN member of parliament in 1939

anthony dimech

Nov 11th 2012, 07:19

very well said, but JM is dreaming of being a magician not a prim minister.

Mr M Spiteri

Nov 11th 2012, 08:03

bl-ghaqal

pat muscat

Nov 11th 2012, 09:03


@Mr J.E. Briffa
If Joseph is elected the mess would stop; this is Labour's priority. How would this stop? Labour will priorities o n the well being of the families and not on the 'well being' of a clique and its friends.

Brendan Zerafa

Nov 10th 2012, 21:09

I believe you're wrong. There are various ways from which you can get money which could be used to subsidize electricity bills. If the PN has not yet recognized that this could and should be done easily, than I believe that the PL should come in handy.

Joseph Brincat

Nov 10th 2012, 21:19

Mr Edward Caruana Galizia
@ The PN just have to perfect and correct a few mistakes here and there,
Few mistakes here and there, O MY GOD A FEW MISTAKES you are rely BLIND !!!!!!

Joe Fenech

Nov 10th 2012, 21:53

Saved us? Don't you live abroad?

P. Aquilina

Nov 11th 2012, 04:32

A FEW MISTAKES !!!!!!!!!!

Donna Parnis

Nov 11th 2012, 07:01

@E. Galizia, we dont need the PN r, A few mistakes, where do you live, La la land, The PN is one big mistake, full of corruption and broken promises and lies. Their efforts have brought us to the brink of ruin, The whole population on this Island deserve more not just the Chosen few. Get back to reality please.

Peter Busuttil

Nov 11th 2012, 08:54

A few mistakes here and there???? You must be joking, my friend!

K CASSAR

Nov 11th 2012, 08:58

A few mistakes here and there????? I presume that you are not of the category, like myself, that have a precarious job and young children to raise...or shall you now tell me that I should have considered before having children?? Careful what you say because not everyone has the luxury of living life from your perspective!!!!!

pat muscat

Nov 11th 2012, 09:08

@Mr E.Caruana Galizia.
Well, we don't need change after 25 years of PN administrations? Change is the law of life, and those who do look only to the past, are certain to miss the future.

George Azzopardi

Nov 11th 2012, 09:22

correct a few mistakes here and there ...

PN needs to be totally refurbished!! PN must remove many people who have and are making a lot of mistakes and are still in high positions and who are still taking critical and major decisions!!!

PN must remove those who think that they are so bright and indespensable but are writing hated blogs against their fellow persons within the same PN!

George Azzopardi

Nov 11th 2012, 10:25

PN needs to be totally refurbished!! PN must remove many people who have and are making a lot of mistakes and are still in high positions and who are still taking critical and major decisions!!!

PN must remove those who think that they are so bright and indespensable but are writing hated blogs against their fellow persons within the same PN!

Joanna Mifsud

Nov 11th 2012, 10:28

Are you really living in Malta!! Dr.Gonzi and co has practically damaged PN integrity and this will be remembered for time to come!! PN needs a fresh start and to do this, current government must go down!!!

Donna Parnis

Nov 11th 2012, 06:56

Can you not understand J.C. Borg, Joseph Muscat means that if the PN get in again, they would take it all back with interest. Really, it doesn't take a genius to understand what hes saying.

anthony dimech

Nov 11th 2012, 07:29

they will be sorting out for another leader cos i cant see how the Maltese are going to trust a person like JM when all he talks is about that everything is a disaster and if he is becomes a prim minister he is going to solve every problem,only one thing i cant understand and that is how the Maltese are believing his same preaching and nothing new.

J.C. Borg

Nov 11th 2012, 11:42

@ Donna Parnis - So this means that JM is not so sure that he will be our PM next year. Correct?? (I feel sure of that.)

George Azzopardi

Nov 11th 2012, 10:19

What grants? Everything has been on onhold for months!!!

Alexander Genuis

Nov 10th 2012, 22:31

Prosit,mela nigu f'dan Gurnalist rebah lill Pm fl-ahhar elezzjoni tal-MEP b'aktar min 35,000 vot!!!!!!!!!Prosit!!

robert pace

Nov 11th 2012, 09:09

Nahseb daqs kemm baqa deputati u membri Parlamentari fil Pn !!!

K Borg

Nov 10th 2012, 22:08

......how and why?

anthony dimech

Nov 11th 2012, 07:35

PL now knows that they cant reduce electicity so now is talking about panels which PN has been giving grants for them ages ago. the more the election comes near the more the LEJBURISTI will show us that they have no plans if ever and god help us is they are in goverment.

Alexander George Farrugia

Nov 11th 2012, 08:38

(continues)
Now, assuming Muscat manages to reduce the tariff to 15.5c per kWh, the PV-generated “unit” would replace 1.613 units bought from Enemalta (25c/15.5c = 1.613).
Hence, a reduction in tariffs would in essence equate to a better return for one’s investment!

George Azzopardi

Nov 11th 2012, 09:35

Do you need to be a graduate to understand this!!! Who is today buying photo voltaic panels?

A few well off families and not those who are in real need. It's time for less well off families to also start benifiting from a more well planned and dedicated schemes. Schemes for major Maltese families and not just to a few!!! We need open schemes where no time limit is involve!

Anthony Grech

Nov 10th 2012, 21:13

"The trouble is that JM has NEVER indicated WHAT he is going to increase AFTER election. "
One thing is for sure. An increase of EURO 600 for himself and his ministers, as Dr BrazilPN did.

anthony dimech

Nov 11th 2012, 07:43

yes yes 100% right and come on nazjonalist we are not perfect but we are a lot better to run the country then the lejburisti ,if PN supporters wont vote or vote labour they will only be dropping a huge rock on their feet.

robert pace

Nov 11th 2012, 09:07

If you want to cahnge and be better vote PL Mr portelli, dont trust the fibs and lies within a withered party!!
It can only get better.......

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