Transport Minister Joe Mizzi has published the agreement signed 14 months ago between the government and Autobuses de Leon for the operation of the bus service in Malta.

The minister had repeatedly put off publication of the agreement, despite initially promising it 'within a few days' claiming he had not wanted the Opposition to make bad use of it for its own ends.

Speaking in a parliamentary adjournment speech this evening, Mr Mizzi said the bus service was not perfect, but matters were improving.

More hard work remained to be done, but negativity from the Opposition was not helping this sector to recover, he said.

"The Opposition does not want the people to show confidence in the bus service once more," he said. 

He said he had delayed the publication of the agreement until the people were able to understand how the service was being improved. 

The agreement was a 'realistic' one that enabled the operator to work and the transport authority to better monitor the service. 

This was an agreement which included improved tariffs, particularly for students and people with disabilities. It introduced new routes as well as  the bus card which now had 23,000 subscribers.

143 new  buses had been imported and another 33 would be brought in before the summer.

400 more trips had been added and passengers increased by 7% last year. 

The new routes were meant to have been introduced earlier, but were delayed because of an industrial dispute. As a result, what was meant to be a phased introduction of routes now had to be introduced in one go.

Adjustments to X1, X2 and several routes to St Luke's and Mater Dei   would be adjusted as from March 6. 

On April 17 changes would be made to routes 2, 4, X3 and 23. Previous services to San Gwann would be reintroduced.

Mr Mizzi said the government had inherited a bus service that was in a disastrous state, with a bankrupt operator, an inefficient service and bendy buses which went up in flames, he said. 

Arriva had wanted to declare bankruptcy but the government bought the company for €1, thus keeping the service running and retaining the workers. In the year when the bus service was operated by Transport Malta complaints dropped drastically and the number of passengers increased.

Mr Mizzi said his talks with Autobuses de Leon in Spain were not irregular as the company had been selected as the preferred bidder.

Amid a number of interruptions, Mr Mizzi said the opposition was continuing to sow suspicion and doubt, such as about bus drivers being denied overtime, which was not true. 

The latest opposition allegation was about government subsidies on fuel used for the buses, which had also been denied by the company. This claim stemmed from a company which unsuccessfully tried to win the company's fuel contract, Mr Mizzi said.

Intervening, shadow minister Marthese Portelli said this was not true.

Mr Mizzi referred Dr Portelli to a statement issued by Malta Public Transport.  

Dr Portelli said the company confirmed it had sought the cheapest fuel possible.

Mr Mizzi said that was different from what Dr Portelli implied about a government subsidy. All companies, including Arriva, sought the cheapest possible fuel supplier. 

The opposition, he said, did not want progress and wanted to put a spanner in the works.

He said some abuses were continuing. There was someone organising a group of people to create problems, such as when buses were taken out of service when they should not have. People had been caught and disciplined and investigations were continuing, he said. People should report any irregularities as well inefficiency, he said.

He said that he would insist on MPT providing the service expected of it. Fines would be imposed when required, but efficiency and safety came first.

Mr Mizzi said he was determined to ensure that the bus service reached the standard which the country and its people deserved. The focus now would be on punctuality and information to commuters.

At the end of his address Mr Mizzi tabled a voluminous copy of the agreement, but no copies were immediately available to reporters.

The 15-year contract regulates Autobuses de León’s (ALESA) concession to operate Malta and Gozo scheduled bus services as from January 8, 2015.

It provides the formula for a contribution from public funds when the operator’s income does not “cover the costs of the service, including a reasonable commercial margin.”

The formula factors in the public service compensation, a variable subsidy arising from modifications to the service and economic adjustments made as a result of external factors.

The agreement sets out the bus routes and the maximum fares, subject to the first revision on January 1, 2016 and then at annual intervals.

Mr Mizzi also tabled a supplementary agreement, dated July 22, 2015, whereby the payment of the public service compensation was transferred to the ministry from Transport Malta. The first amendment to the contract, signed on October 14, 2015, dealing mainly with fares and bus routes was also tabled.

 

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