09 February 2010
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Transport Federation denies agreeing to liberalisation
by Annaliza Borg

In a long rebuttal to Transport Minister’s statement during a press conference on Wednesday, Transport Federation Chairman, Victor Spiteri yesterday said he “categorically denied that the federation had agreed to liberalisation”.

In its statement yesterday, Transport Federation said it had agreed to call off industrial action just before Armed Forces officials together with Transport Authority (ADT) officials were going to seize 100 mini buses and operate a service with them.

This led to the agreement that any permit ADT issues must be discussed with the concerned organisation and not simply after a meeting as was the case with the Motor Hearse Association. The statement continued that Minister Gatt had resorted to decisions without consulting organisations in the sector and likened such attitude to that of Lorry Sant. “This became clear in one of the Minister’s public statements saying that if the government does not agree with his decision, he would resign,” the Transport Federation statement said.

It went on to explain liberalisation and said this already existed in the unscheduled transport sector that includes white minibuses, black and grey taxis. An example of this was the number of airport transfers carried out by private transport operators rather than by white taxis and red minibuses.

“The consumer has a right to choice and price competitiveness,” but “harsh competition” was leading to extensive price variations, the statement said.

The statement therefore insisted that liberalisation exists and the monopoly of taxis and minibuses is fictitious but “the Minister was referring to this to push forward operators who dominate him personally as well as the present transport sector.”

“Consequently, a monopoly in certain sectors would be of benefit to the public,” it said.

Speaking on the transport reform which the Minister is putting forward, the statement referred to a particular press conference by Minister Gatt saying that he does not see any viability for trams in Malta on an advice that the system would be viable for a population of around 1.5 million. The Minister is now “forgetting” such a statement and will have UK experts in Malta to discuss it, the statement said.

“The document for a vision of the public Transport,” which the Transport Ministry published yesterday, “proposes nothing new except what was being discussed with the previous Transport Minister for the past two years. What was not being discussed,” the statement continued, “is that vehicle owners become drivers without any reference to their investment in the sector.”

The statement also denied failure in the system because statistics showed an increase of around two per cent amounting to two million passengers. It went on that proposed hubs to get passengers to Mater Dei Hospital, Sliema and Bugibba, already existed.

The Transport Minister had invited ATP to submit proposals on the public document but the federation was calling for round the table discussions rather than simply putting forward proposals, the statement said.

In a separate statement, the Transport Ministry yesterday said it did not understand the Federation’s “categorical denial” regarding its agreement to the liberalisation. The government had agreed to discuss the issuing of licenses for taxis, minibuses and Blue Grotto boats with its members from the very beginning, it said. In fact, Minister Gatt yesterday met the Minibus Coop Services President and the White Taxis Amalgamated President to who he explained the government’s belief that licenses in the sector should increase. “Thus consultation for liberalisation agreed upon last week has started,” the Transport Ministry statement said continuing that, “Discussions with the same organisations will continue in the days to come.”

Meanwhile, the Transport Minister yesterday visited the Malta Transport Authority (ADT) offices in Floriana to thank employees who participated in the effort to tackle the situation during the public transport strike.

The Minister thanked ADT staff for the support given to the Ministry through their professional approach, in some cases even working under trying conditions and while personal threats were made to them, the Transport Ministry said.

The challenges met by employees to ensure the smooth running of the Authority was also recognised. The Minister expressed confidence in the Authority’s employees as they were preparing to face a tougher challenge of reforming public transport in Malta and providing the public with the excellent service expected.

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