Tourism Minister Edward Zammit Lewis today said that the March 2015 reduction in energy tariffs for business should not be used by hotels in order to increase their profit margins.
He said he also expects hotels to improve their properties and train their staff.
In the aviation sector, he said controversial decisions have to be taken in order to save Air Malta.
“Hard decisions have to be taken. Two weeks ago with took a difficult decision. We take no pleasure in terminating jobs. There is a restructuring plan that ends in 2016 and we have to stick to it.
The jobs lost were those of people on short-term contracts he said.
“We are trying to find new jobs for these people who have lost their jobs. Decisions are being taken on a daily basis in order to save the airline, and I am confident.”
Dr Zammit Lewis pointed out that the credit rating agency Moody’s stated that tourism is the main pillar of the economy and makes up a third of Malta’s GDP.
The tourism statistics are encouraging, 2013 was strong and in 2014 it is being projected predicted that four times the population of Malta would have visited the island.
“Gozo is in a more difficult position due to its double insularity. The departure point for Gozo was total dependency on day trippers, amounting to 82% of visitors. Three leading hotels closed in Gozo.
“Private investment is looking up in Gozo when it comes to accommodation. The private sector does not invest because it likes the minister, it does so after analysing the opportunities.
“Quality tourists cannot be attracted if product Malta is not improved. The current model is built on increasing tourism numbers. The shabbiness in certain areas needs to be addressed,” Dr Zammit Lewis said.
When it comes to cruise liners, the aim is to try and keep them here in Malta as long as possible. One measure to be introduced by the government is to allow these cruise liners to operate their casinos at night, which is currently banned in Malta.
The cruise liner industry is highly competitive, and negotiations are already under way for the 2016 season.
On one night this summer, nearly 7,000 tourists visited for a business conference. They were carried by five cruise liners to Valletta, he said.
He said there were some complaints that the Valletta Waterfront was closed for that night, but one has to look at the bigger picture.
Restaurants in Malta have upper their game, and there is both a wider choice and better quality, he said.