Transport Minister Joe Mizzi insisted this morning that he or Transport Malta had never had any contacts with Paramount Garage, which has shown an interest in taking over the bus service.

Speaking on TVAM, the minister said the new operator would be chosen after a call for expression of interest open for any Maltese or overseas company or consortium. The overriding consideration would be the ability of the new company to operate a new route network.

Mr Mizzi stressed that the bus service from January 1 would be 'business as usual' with the service being run by a joint team from Transport Malta and Arriva.

He said there were several reasons which led to the agreement for Arriva to pull out, not least the unworkable contract covering the service and the original routes on which Arriva had based its calculations. The situation became more complicated because of the problems of the bendy buses in August.

A new government company will take over the Arriva buses and other assets until a new operator was selected.

Asked whether the government subsidy would be changed, the minister said some change would be necessary at least to take into account the elimination of the different fare structure for foreigners and Maltese. 

He was non-commital on whether the park and ride service in Blata l-Bajda would become free of charge.