Gozo Channel is paying more for its fuel but the procurement process was all "above board", Gozo Minister Anton Refalo insisted this morning.

He said the fuel contract was being awarded for the first time through a tendering process which took longer than expected due to appeals. In the interim, "since Gozo Channel vessels cannot operate without fuel", a contract was awarded to a company following a separate process.

"The ministry does not enter into details of the fuel contracts being awarded but what I can tell you is that everything was done above board and will all the possible scrutiny," he told Times of Malta this morning.

He said that in July, the company consumed less fuel and paid less for its fuel despite carrying out a larger number of trips. "Don't ask me why because I do not know how to explain it," he added. 

Gozo Channel chairman Joe Cordina also confirmed that the company was paying more for its fuel "because we cannot control the prices quoted by suppliers". He, however, insisted that the short-term contract was awarded to the cheapest bidder.

Mr Cordina insisted that a Times of Malta report that Gozo Channel was paying more than twice as much to fuel its three vessels was incorrect. He also insisted that the €7,000 a week extra quoted by the newspaper was also incorrect but he could not give the correct amount. "It's more in the region or €5,000 or €6,000 more but of you want the exact figures you'd have to send me an email," he told this newspaper.

Times of Malta said last month that the former Gozitan marine fuel supplier, Go Fuels, which serviced the vessels for almost 25 years, was replaced last May. Instead a contract was awarded to AC fuels and then to Cassar fuels.

During a press conference on board the MV Gaudos, Dr Refalo said the priority boarding proposal was still being studied, although he insisted this was a misnomer and preferred calling it "pre-online booking" whereby people can book a space on its ferries if they had a good reason to do so.

"This is not a new tax. We have no plans to increase fares. On the contrary, when the company's financial position improves, we plan to lower fares to those paid by Gozitans for weekends and other special occasions," he said.

Dr Refalo said the company's losses had been reduced considerably from the predicted €1.6 million loss, with the deficit being reduced to €1 million.

Asked about the cruise liner terminal proposal, he said that following the expression of interest, for which some 13 companies applied, the ministry had now issued a request for proposals which closes on October 17.

 

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