Finance Minister Edward Scicluna told The Malta Independent that while Enemalta can afford the reduction in the price of petrol and diesel, "one needs the revenue (from the excise tax)".

"While income tax and VAT are, what we in economics call them 'buoyant', excise tax does not give us that buoyancy. They increase because they are consumed more but that's where they stop. They are not increased on a percentage basis but per litre, so they need to be nudged every year. But we are happy to note that Enemalta will absorb that excise taxes and also reduce their price".

"Now some people say that they were not reduced enough. Well that's policy... in other words we've gone for that. We believe the market can take it and as a result of which we will have money for measures to nudge economic growth and encourage work while spreading distribution in a fairer manner. We devoted €23 million for those who didn't get tax cuts".

The Minister also spoke about the budget process. This newsroom asked how the government would make up for the loss in revenue from the income tax drop and from the reduction in water and electricity bills.

"We design the framework first, where we would know what revenues to expect in the coming year and our commitments (for example how much we would need to give Air Malta). €60 million less will be borrowed to address government debt and finally expenditure will be decided".

Minister Scicluna was touring Foster Clarks, where he said that the company employs 430 people and is one of Malta's largest exporters (25 containers per day).