Prime Minister Lawrence Gonzi yesterday said the biggest challenge to be tackled in the upcoming legislature was the quality of life, which included the environment.

A Nationalist government was determined to do its utmost to improve the environment, he pledged. "I can place my hand on my heart and say more needs to be done in order to have sustainable development."

Dr Gonzi was fielding questions from six journalists in the first in a series of programmes on TVM organised by the Malta Broadcasting Authority in the run-up to the election.

Questioned about claims that his government had proposed to pay the first 100 hours of overtime at the normal hourly rate during negotiations for a social pact back in 2004, he said the employers have admitted coming up with the proposal themselves.

Dr Gonzi said the question - by a journalist from the General Workers' Union Sunday paper It-Torċa - made it clear that the Labour Party intended to reduce the overtime rate and then accuse the PN of having come up with it.

"Listen to this carefully," he said addressing workers: Under a Nationalist government, overtime would continue to be paid at the current rates. He accused the MLP of mudslinging when questioned about Carmel Cacopardo, the former PN official who has now joined Alternattiva Demokratika.

He also insisted that there were no plans to downsize the shipyards although they did have a serious productivity problem which had cost the country millions of liri. "I believe that with a genuine effort from everyone we can get the docks back on their feet."

Opposition leader Alfred Sant has pledged to reopen talks with the EU over the shipyards, which have to start doing without government subsidies at the end of the year.

Referring to the Labour Party's promise to halve the surcharge on water and electricity, Dr Gonzi said this was like telling people not to be concerned about wastage. Thousands of families were already benefitting from a subsidised surcharge, or not paying it at all.

Therefore, the MLP measures would not help those mostly in need, who have already been targeted by the Nationalist government.

Questioned about money given from the Good Causes Fund to a private firm that organised the Juventus-Valletta match at Ta' Qali, Dr Gonzi said the money was used to buy some 2,000 tickets so that children from football nurseries could watch the match.

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