The Economy Ministry has justified its decision to spend more than €108,000 in long-lease agreements for two ministerial cars, arguing that purchasing new vehicles would have been more expensive due to maintenance costs. According to a list of contracts awarded by the Director Corporate Services published in the Government Gazette on January 3, two direct orders were issued to lease cars for Economy Minister Chris Cardona and Parliamentary Secretary for Competitiveness Edward Zammit Lewis.

Eyebrows were raised when it transpired the combined cost of these five-year lease agreements was €108,587, because buying new vehicles would have cost less.

The government is exempt from paying registration tax on new vehicles.

The total cost of Dr Cardona’s lease was €53,837 whereas Dr Zammit Lewis’s was slightly higher at €54,750.

An Economy Ministry spokesman told this newspaper that the government had saved €10.50 per day over the previous lease agreement for Dr Cardona’s official car.

He said the option of leasing was considered to be the most advantageous arguing that repairs and maintenance of new cars might have led to high expenses.

The spokesman backed his argument citing the maintenance costs incurred by the taxpayers to repair former prime minister Lawrence Gonzi’s official car.

He said that over a five-year period, €58,000 had been spent on repairs, which was very close to the car’s showroom price.

He added that leasing agreements cover the road licence, tax and comprehensive insurance, VRT checks, repairs and routine maintenance and a replacement in case the vehicle breaks down.