Ryanair chief Michael Cawley has now submitted his company’s proposal to the government.
He is ready to open a Ryanair base in Malta, have six planes here and bring in two million passenger movements (that is, one million passengers) in three years’ time.
Tourism minister Francis Zammit Dimech announced this when speaking on Radio 101 yesterday.
In response to Mr Cawley’s offer, the government has come up with what it describes as an “evolutionary approach”: it allows Ryanair to begin by operating on three routes and bring in less tourists. This will enable both sides, especially the government, to evaluate the impact of low cost airlines on Malta’s tourism.
Dr Zammit Dimech said he will be submitting an analysis of Ryanair’s proposal to Cabinet and the government’s response to the proposal will be formulated then.
Dr Zammit Dimech added he did not understand why Ryanair was speaking through the media: what should be done was to get discussions going at a serious level. But, he warned, the government is also negotiating with other low-cost airlines such as EasyJet but these discussions are not being made through the media.
The minister described the different positions of Ryanair and MIA. MIA charges €25 per person while Ryanair wanted to be charged only €7. MIA have now come up with a proposal that if there is a binding agreement for three years and new routes are opened up to, for example, Spain or Portugal, it would lower its cost to €19.
MIA is also committed to offer the same terms to all airlines that bring in the same volumes.
So the solution, the minister mused, is either for MIA to offer more reductions or, as is done in other countries, to get together the tourism industry, MTA and the government and try to bridge the difference. This is the same formula that is used for tour operators, the minister said. Tour operators receive financial help for their advertising through joint marketing.
The minister did not seem to convince a caller on the programme who claimed that Ryanair would take over the Air Malta routes and, if allowed here, would scare off the other airlines and cripple Air Malta.
Another caller chastised the minister for having allowed Bugibba to wallow in dirt and neglect. He claimed the worst offenders are the karozzini horses, which are fouling up everywhere especially Bay Square.
Dr Zammit Dimech said horse cabs are found everywhere, even in Italy, but there they are well-equipped and well-trained how to deal with tourists. A service which generates dirt and rubbish does immense harm to tourism.
A caller warned Gozitans they are charging the Maltese who go there on holiday too much and pointed out that they can now get a cheaper holiday in Tunisia. Another caller claimed taxi fares are too high. Charging Lm6 for a taxi ride from MIA to Zurrieq is definitely too much.