The Government yesterday indicated it would stick to its original stand on differentiated bus fares for residents and non-residents, possibly taking the issue all the way to the European Court of Justice in Luxembourg.

Malta has repeatedly informed the European Commission that the bus fare scheme is not based on nationality but on residence

Public transport service provider Arriva refused to enter into the controversy and placed the onus for the decision to have a two-tier fare system on Transport Malta.

Following the news revealed by The Sunday Times that Brussels has taken the first step against Malta on the issue, arguing that the bus fare system in place amounts to “indirect discrimination”, the Transport Ministry yesterday said it would stick to its position.

“Malta has repeatedly informed the European Commission that the bus fare scheme is not based on nationality but on residence and, therefore, does not breach the EU Treaty,” the ministry said.

“Malta considers that such a scheme is, therefore, not only necessary for the well being of the residents but that it has been implemented in a proportionate manner that is in line with EU legislation. The Government is in discussion with the European Commission on this issue,” a spokesman said. Arriva said that it had nothing to do with the fares.

“Arriva is engaged as a contractor to Transport Malta to provide the scheduled bus services across Malta and Gozo. All fares are set by Transport Malta and any queries should be directed to them on this matter,” it said.

The decision by the Commission to start infringement procedures against Malta over the differentiated bus fares was taken last month after more than two years of complaints by foreigners living in Malta and MEPs, particularly from the UK and Ireland. Correspondence on the issue between Brussels and Malta has been ongoing for a long time, The Times has learnt.

According to a Commission spokesman, Brussels has now officially asked Malta to change the rules regarding fares or face legal action.

The spokesman said that while taking note of Malta’s arguments and explanations, “the bus fares scheme amounts to indirect discrimination based on nationality of those EU citizens who have used their right to move and reside freely within the Union within the meaning of articles 18 and 21 (1) of the Treaty and, where applicable, their right to receive services, right to free movement of persons and right to free movement of capital under articles 45, 56 and 63 of the Treaty – in particular tourists, non-resident jobseekers and non-resident house-owners who reside either temporarily or irregularly in Malta or have not yet managed to acquire Maltese residency.”

The Commission feels that “other pricing models seem to exist which both meet the objectives pursued by the Maltese authorities and do not infringe EU rules”.

While a standard bus fare for a two-hour journey costs €2.20, residents pay €1.30. The same differences apply to other types of bus fares.

Malta has two months to reply to the Commission’s letter.

If Brussels is not satisfied, it may move to the second stage before taking the issue to court.

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