Labour Party deputy leader Charles Mangion yesterday called for a comprehensive energy plan that would help Malta reach its aims in a number of sectors, including the environment, sustainable development and the economy.
He also promised the opposition's help to keep ST Microelectronics in Malta.
Dr Mangion said if a common ground was found in the public interest, things could progress and the opposition would be disposed to collaborate through its constructive criticism, which would be based on the policies it would be proposing.
Unfortunately, in its first weeks in office, the government had not shown the promised respect. Dr Mangion said that he had been informed that Malta would be joining the Partnership for Peace programme by the Foreign Minister through a telephone call. He had not been called to be consulted but to be informed of the decision.
Dr Mangion hoped that in his ruling on parliamentary questions given on Monday, the Speaker's call on MPs to act responsibly was also aimed at government ministers. He recalled that during the last legislature, Opposition questions were not answered for months on end.
He said that as a sign of reciprocal respect he would have expected that the government followed the decisions of the Injustices Tribunal in favour of people who suffered an injustice years ago.
Dr Mangion said that reciprocal respect also meant that national broadcasting would really become national, serving all, and not just one political party. He said that unless confidence was instilled in the national broadcasting to create a better environment for the next elections, the reciprocal respect mentioned by the President would remain just on paper.
Reciprocal respect also meant that workers in corporations where the government had an interest would not be discriminated against by arrogant people who believed they could do whatever they wanted.
Even when it came to appointments on government boards, the government had promised that social partners would be consulted. This was not done and the only consideration taken in recent appointments was the appointees' political allegiance.
Dr Mangion said that the President's speech also strongly referred to the country's economic situation. But was what the government used to say before the election a fact?
He said that the Finance Minister was now saying that the country was this year expecting real economic development of over three per cent. But with a greater capital expenditure last year and with more funds coming from the EU this year, real economic development last year had reached 3.8 per cent.
Dr Mangion asked how was it that the equity sharing scheme was stopped at the beginning of this legislature? Likewise, assistance for the conservation of timber balconies was stopped and the subsidy on bread was to be stopped. This decision would definitely impact low to middle income earners as bread was part of their staple food.
The government, Dr Mangion pointed out, was seeing from where it could halt its recurrent expenditure. It was also stopping its assistance on energy-saving appliances at a time when the country was aiming to reach certain environmental targets. Rather than this decision, he would have expected the government to extend assistance to encourage greater use of photovoltaics.
Dr Mangion said that the government had also promised a reduction in the highest tax rates. But doubts on whether this promise would be kept were being created.
The deputy Labour leader said that economic growth in 2007 was goaded by private consumption based on private borrowing by individuals. While in 2006 direct productive investment had a three per cent contribution to economic growth, it only contributed 0.3 per cent last year. Exports - the most important factor for a strong economy, last year had a negative effect of 0.6 per cent. On the situation at ST Microelectronics he promised all the necessary help from the opposition for this industry to remain in Malta for the sake of the workers.
Dr Mangion said that while the contribution of wages to the economy was in 2007 slightly lower than it had been in 2006, profits were higher. This meant that the country was competitive wage wise when compared to other European countries.
Inflation in the first four months was over four per cent so one could not say that wages were high compared to production. It was true that production could be increased but one should also see why this had fallen behind.
Referring to an extensive economic forecast issued by the European Commission, he said this showed that wages in Malta between 2002 and 2007 were below the EU average. While the average EU labour cost was €25 per hour, in Malta it was between €8 and €9 per hour.
So one had to see why Maltese productivity had not reached the European average. An analysis showed that there was a link between countries whose productivity had increased with educational abilities and capital investment.
Malta's expenditure on education was close to the EU average but when it came to youth educational attainment, in 2006, Malta was the country before last in the EU list. Countries which had joined the EU with Malta were at the forefront. Malta was also at the bottom when it came to students capable in maths, sciences and engineering. Countries at the forefront in these areas where also at the forefront when it came to productivity.
Dr Mangion said that when it came to investment volume, which was direct productive investment, Malta was fourth from last. In investment in equipment, Malta was at a negative.
Dr Mangion said that as wages in Malta had not gone up, the cost of living issue was of greater significance. It was true that there was imported inflation but the government should also see whether there were local elements which pushed inflation upwards.
Government measures should also improve families' purchasing power and measures taken should help workers strengthen their purchasing power.