The Malta Hotels and Restaurants Association has written to the Malta Council for Economic and Social Development requesting an urgent meeting about the new water and electricity tariffs.

This was said during the presentation of MHRA’s business survey results for the third quarter.

GRTU, who had representatives at the meeting, endorsed MHRA’s request.

The new president of the MHRA, George Micallef, said that the government had to do something about the matter, sooner rather than later.

The increase, practically an average of 30 per cent, was not sustainable. Besides the increased tariffs costs, members also had to pay the cost of living adjustment while having lower room rates and occupancy levels because of fewer tourists.

Mr Micallef said that Europe suffered the sharpest fall worldwide in tourism and the results for Malta reflected this trend

There was a €54 million drop in revenue and a 14 per cent in occupancy levels. To break even Malta had to aim to reach the 2008 level of arrivals. Although seat capacity was critical, it was not everything because the seats had to be filled.

“Hotels have suffered cumulative drops and losses so the months to come are going to be worse and an uphill struggle,” he said.

Mr Micallef appealed to the government not to impose more expenses on industry. While the capital projects announced were good, the country should get on with them and general cleanliness and upkeep has to be ensured.

GRTU representative Philip Fenech said that the general feel about the tariffs was one of despair. He said that more drastic measures had to be taken if talks around the table did not lead to anywhere as there was no road ahead.