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News | Wednesday, 16 December 2009

Unions lambast Government on utilities’ tariffs

Charlot Zahra

The General Workers’ Union (GWU) accused Government of “arrogance” in the handling of utilities’ tariffs issue announced by the MRA on Monday evening, shortly before 10 pm.
GWU Secretary-General Tony Zarb told Business Today that the publication of the new water and electricity tariffs showed “how much the Government is ready to ignore social dialogue and deciding on its own about how much should the power and water tariffs increase as from next January”.
Zarb charged the Government of deciding on the new utilities’ tariffs “without any consideration whatsoever of the excessive burdens that it will bring on Maltese families”.
“This is clearly shown by the fact that in the manner in which the new tariffs were rubber-stamped by the MRA, with thousands of families having to pay more in power and water tariffs,” the GWU chief told Business Today.
Hence the Cost of Living Adjustment (COLA) and the subsidy that the Government has just announced in the 2010 Budget will be “obliterated” by the increases announced on Monday, Zarb told Business Today.
Zarb also lambasted the lack of consultation by the MRA with the social partner before reaching a decision on the utility hikes. “The GWU insists that the excuse that the MRA brought that the water and electricity tariffs were open to public consultation did not deduct from the same Authority’s duty to consult the social partners before reaching any kind of decision about essential matters that affect people’s everyday lives,” Zarb charged.
Zarb added that despite the fact the social partners were promised that a study about the social and economic impact of the proposed tariffs, “the Resources’ Authority still did not feel the need to speak to the social partners,” the GWU chief reiterated.
“These tariffs will not only add further burdens on various categories of people, but will also erode more from the purchasing power of Maltese families at a time that our country is passing from a recession.
“People need more money, not burdens to cope with their daily necessities,” Zarb concluded his comments to BT.
On its part, the Confederation of Malta Trade Unions (CMTU), although more cautious in its tone, also warned about the negative consequences that the approved utility tariffs will have on families as well as businesses.
“The CMTU has already declared that any additional increase to energy bills will not just hurt the worker and the family but also the business,” CMTU President William Portelli told Business Today.
The CMTU also referred to the energy issue during the pre-budget consultation process and “insisted that the measures announced to assist vulnerable categories should be efficiently implemented so as to soften the negative impact as much as possible,” the CMTU chief added.
“Therefore, it may be too early to assess but we will monitor as we progress,” Portelli explained.
“If the impact proves to be too excessive, the CMTU will not hesitate to take up the issue with the MRA and if needs be within MCESD,” the CMTU President told Business Today.
We also tried the comments of UHM Secretary-General Gejtu Vella and FORUM President John Bencini, however despite various e-mails and telephone calls, we could not contact them.

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16 December 2009
ISSUE NO. 612

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Malta Today

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