The Consumers' Association this morning reiterated the need for a liberalised LPG market and expressed its opposition to giving operators geographic exclusivity.

It said that the lack of appropriate market studies for the door to door distribution and retail of LGP cylinders was a major drawback.

In an opinion submitted to the Malta Resources Authority on the reform of the LPG market structure, the association said that unlike the practice in other EU jurisdictions where market analysis undertaken by regulatory authorities was the norm, in Malta, it was the exception as information was sporadic.

The association said that while noting that vertical integration did present dangers, particularly for a small market such as that of Malta, the MRA consultation document did not tackle either the negative effects the granting of geographic exclusivity nor did it mention, let alone analyse, the benefits resulting from Liquigas’ recent operations in the market of distribution of gas cylinders.

The association warned that problems experienced by consumers would remain if geographic exclusivity as was being proposed by the MRA was accepted.

The association's opinion in full can be read in the pdf link below.