The Malta Independent 20 April 2024, Saturday
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Controversial bi-monthly electricity billing system to remain in place following review process

Albert Galea Wednesday, 22 August 2018, 09:32 Last update: about 7 years ago

A review of the electricity billing system will not include changes to the bi-monthly billing system that was at the heart of much controversy earlier this year, Minister for Energy and Waste Management Joe Mizzi told The Malta Independent yesterday.

Speaking to this newsroom, which had been the first to put the issue on the national agenda, Mizzi admitted that there had been "big problems" with the smart meter system and for a long time it seemed like the investment being made was one without positive results.  However this was a system that he been long in the offing, with Mizzi explaining how he had found documents from years ago which showed that even the previous government had aimed to shift electricity bills to this bi-monthly system.

He admitted though that there were still problems with the system that persisted today, saying that whilst they are being efficient in dealing with them today there was the need for more of this efficiency still. 

Mizzi said that they were not in a position where the system works in a totally automatic manner.  In this respect, he said, the government must see that where an automatic system is not possible, earlier readings and other measures are conducted to facilitate these situations.  Mizzi also said that his ministry will be consulting the public with the view of seeing what else can be done to alleviate some of the present problems.  This is all aside from the work of technicians to improve some of the technical problems which still persist with the system, something which they are already in the process of doing, he said.

The bi-monthly billing system has drawn a lot of controversy in the past, with Economist Marie Briguglio having shown how the annual allocation of free units per household set at law, was being eroded when the units were broken down every two months. As a result some families ended up paying more for electricity when they were being issued with bills in this manner.

The same issue was also raised by the Nationalist Party, who requested a parliamentary discussion on the matter, and Joe Mizzi himself was subject to a number of parliamentary questions in recent months.  Indeed in May Mizzi, in responding to a parliamentary question by PN Deputy Leader for Parliamentary Affairs David Agius, said that the system may result in materialistically higher bills, especially if consumption was not consistent throughout the year.

However, Mizzi insisted that he wanted to discourage people from wasting energy and that the investment of "millions" of euros was to sustain the bi-monthly billing system.  He said that his aim was to incentivise people to be more cautious with their consumption.

This caution falls under the definition of the 'polluters pay principle', which is the principle that Malta uses for calculating consumption.  This principle essentially means that those who produce pollution should bear the costs of managing it to prevent damage to human health or the environment.  This is a principle that is utilised across all European countries, Mizzi said, and it helps to incentivise people to consume less energy and hence pollute less. 

Mizzi explained that this principle will remain at the heart of the review process and that the government will continue to find ways to incentivise more people to consume less energy in their daily lives.


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