Rebel MP Marlene Farrugia (Ind.) swung between voting with the government and with the Opposition during the approval in Parliament of the individual ministries’ financial allocation.
In a four-hour session, the House yesterday approved the 2016 Budget presented on October 12.
When the Appropriation Bill was put to the vote Dr Farrugia voted with the Opposition.
Voting “with a heavy heart” against the Energy and Health Ministry’s budget allocation, Dr Farrugia explained she was motivated by the lack of transparency in the government’s dealings in the energy sector and by the uncertainty over whether the ministry’s budget would be used to fund embryo freezing.
Dr Farrugia also voted against on the budget for the Civil Liberties Ministry in view of the “recent events in Parliament”.
Likewise, she voted with the Opposition on the Office of the Prime Minister’s allocation because of the “direct OPM interference in independent institutions such as Mepa” and the situation prevailing at the Land Department.
She opposed the budget for the Ministry for the Environment complaining it was not doing its utmost to protect the environment.
The MP, who recently resigned from Labour, voted “wholeheartedly” with the government on the financial allocations of the remaining ministries.
Giovanna Debono, the other independent MP who had to resign from the PN, voted consistently with the Opposition.
During the debate on the supplementary estimates, Tonio Fenech (PN) asked for an explanation about the €336 million that were being requested to adjust the 2015 budget.
He remarked that an extra €2.3 million were being requested for the CHOGM organisation, €3.75 million to cover the EU Africa summit’s costs, a further €6 million related to the EU 2017 presidency and close to €4 million extra to cover the costs of Engineering Resources Ltd, which is employing Enemalta’s former workers.
Finance Minister Edward Scicluna explained that €168 million of the supplementary budget being requested were aimed at covering capital expenses that will eventually be reimbursed from EU funds.
When the third reading of the Local Councils (Amendment) Bill was put to the vote, Simon Busuttil said the Opposition was voting against because it would lead to the cancellation of the 2017 local council elections.
Justice Minister Owen Bonnici said this was a postponement so that council elections could be held together with the European Parliament elections.
Dr Farrugia, in line with her previous stands, declared she was voting “for Malta with the Opposition” against the Environment Protection, Development Planning and Environment and Planning Review Tribunal bills.
Procedure change dictated by the EU
Although the budget debate was concluded on October 29, the final vote came only yesterday, due to recent European legislation aimed at strengthening budgetary policy coordination within the euro area.
Under new EU regulations, by October 15 every year member states must submit their draft budget to the European Commission and the Eurogroup, which must ensure “correction of excessive deficit”.
This year, the budget was presented to Parliament on October 12, with the government and Opposition agreeing to follow a new Budget approval procedure intended to come in line with these EU provisions.
Last month the Commission adopted its assessment of the eurozone’s 16 draft budgetary plans for 2016.
None were found to have particularly serious non-compliance. However in several cases the Commission stated that the planned fiscal adjustments fell short, or risked doing so, of the Stability and Growth Pact requirements.
Malta was among 12 countries with a budget deficit under three per cent.
The budget plans submitted by Estonia, Germany, Luxembourg, the Netherlands and Slovakia were found to be compliant with the requirements.
Malta was grouped with Belgium, Finland and Latvia whose draft budgetary plans were assessed to be ‘broadly compliant’ with the pact’s provisions. These countries’ plans might result in some deviation from the adjustment paths towards medium-term budgetary objectives.
According to the Commission, Malta’s deficit is expected to fall to 1.7% in 2015 and to 1.2% in 2016, with the debt ratio falling to 65.2% in 2015 and to 63.2% in 2016.