The Malta Independent 17 May 2024, Friday
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Petrol Station owners’ controversy: Possible industrial action not before early next week

Malta Independent Thursday, 7 June 2007, 00:00 Last update: about 12 years ago

The Malta Chamber of Small and Medium Enterprises (GRTU) is not expected to direct members who are owners of fuel stations to take industrial action before it calls a general meeting on Monday or Tuesday, Carlo Cini, president of the petrol station owners section told The Malta Independent yesterday.

People feared the worst however, after reports in certain sections of the media, particularly media associated with the Labour Party, claimed that petrol station owners were going to strike.

Hundreds waited in long queues to fill up, as rumour spread like wildfire that petrol station owners were to go on strike.

Last Saturday, GRTU director general Vince Farrugia wrote to the head of Enemalta warning that within a week, petrol station owners would be directed to take action in support of their claim for a rise in profits of 3.4 mils on every litre of fuel sold.

Mr Farrugia told Enemalta Corporation chairman Alex Tranter that the issue had now dragged on far too long and Enemalta’s complete disregard of the claim submitted by the GRTU on behalf of fuel station owners on 8 January “is no longer acceptable”.

In a statement issued yesterday afternoon, the corporation said that in the letter which the GRTU sent in January it asked for an increase in fuel station owners’ profits, which meant that the price of fuel would go up permanently.

This would mean that the price of petrol would increase to 45c6 per litre, the price of diesel to 39c3 for every litre and the value of drum oil would go up by 4c for every Lm5.

In the context of liberalisation of the market, Enemalta Corporation said it could not come to a definite agreement with petrol station owners without having proof of their actual costs.

Enemalta said it did not consider the GRTU’s arguments to satisfactorily justify an increase in the prices paid by consumers.

It asked the GRTU to commission an auditor to verify the financial basis of the petrol station owners’ claim.

The auditor’s report would have to confirm that the owners’ declared expenses covered only those required for the distribution of petrol and not expenses related to any other commercial activity that took place at petrol stations.

Enemalta said the GRTU had so far disregarded this offer and instead had initiated a resistance campaign “intended to harm consumers”.

The corporation said it could not accept such threatening reactions from the GRTU, when the decision that would need to be taken was related to prices that have to be paid by consumers.

The GRTU petrol station owners section committee was expected to meet late yesterday afternoon to discuss the matter. Committee president Carlo Cini said a general meeting would probably be held on Monday or Tuesday. Before that, GRTU could not order any industrial action, he said.

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