The price of bottled gas (LPG) in Malta is still the lowest in Europe, despite the increases announced yesterday, the Infrastructure Ministry said today.
It said this defeated the Labour Party argument that gas prices had risen in Malta while they were falling in Europe.
The ministry said local LPG prices had not moved since 1997, except in 2004 when VAT was raised from 15% to 18%.
The new prices were approved by the Malta Resources Authority in January, but the government opted to retain its subsidy in full for a further two months – the coldest months of the year, at a cost of €800,000, the ministry said.
It added that the government would continue to subsidize the product at €150,000 per month.