The National Euro Changeover Committee (NECC) has published guidelines on the dual display of prices, proposing a voluntary period as from 1 January 2007, which will lead to a mandatory period to be introduced in July, that is, after the irrevocable fixed conversion rate between the Maltese lira and the euro has been established.

NECC Chairman Joseph F.X. Zahra gave a media briefing yesterday, saying that the guidelines incorporate most of the feedback gathered from stakeholders during the consultation process with regards the dual display of prices. The NECC will be receiving final consultations on these guidelines from organisations and individuals until the end of July.

Those participating in the voluntary period will be required to sign up to a best practice scheme, the details of which were also published for consultation in the NECC’s handbook on Fair-pricing Agreements In Retailing (FAIR).

This scheme will be providing a number of benefits to early adopters, while seeking to build confidence in the euro adoption process and pave the way for the mandatory period, which will last between 1 July 2007 and 30 June 2008.

The government has also undertaken a commitment to fully comply with the provisions of the guidelines as from the early months of the voluntary dual display period.

Meanwhile, commercial banks have also agreed to waive bank charges for businesses in relation to the deposit of euro cash into Maltese lira or euro accounts during the mandatory dual display period. This will ensure that the price displayed is the actual price one has to pay.

The guidelines also state that all organisations that are already displaying prices in euro need to adhere to the provisions of these guidelines. Dual display shall be applicable to all government-owned entities, businesses, non-profit making organisations and other entities where monetary amounts, prices or values of products and services are stated or displayed in Maltese lira.

In order to facilitate the process, the NECC will be supplying all retailers with stickers promoting the information helpline Linja Ewro 154 and promoting an SMS number that shall automatically convert a value from Maltese lira to euro.

Standard conversion charts and other conversion aids shall be distributed free of charge to retailers. Similarly, a training kit including a dual display calculator and a dual display price-gun will be provided. In addition, no changes to existing cash registers is required, however, retailers using cash registers which do not produce receipts with dual display would be obliged to hand out the free-of-charge NECC conversion tables.

The NECC reaffirmed dual display of prices does not, in any way, imply any form of obligation or encourage the acceptance of payments in euro. Tourists and visitors shall be made aware of this via the distribution of leaflets at ports of entry into Malta.

Mr Zahra said the aim of the Code of Best Practice and the Dual Display guidelines are to facilitate a smooth changeover leading to the successful introduction of the euro.

“The fact that we are publishing these documents for final consultation clearly shows our commitment to sustained consultation thereby ensuring maximum effectiveness to the consumer and lesser costs for the business organisations,” he said.

He added that the final aim of the dual display of prices is to ensure the familiarisation of the consumer to the new currency and to assist consumer protection in the new currency through comparable pricing.

Through subscription to FAIR, organisations and retailers will be tangibly undertaking not to increase their prices for the simple reason that currency changeover is taking place while at the same time ensuring an adequate level of readiness in time for the introduction of the euro. Organisations that participate in FAIR are in turn guaranteed nationwide publicity as part of the NECC’s publicity campaign.

Applications for participation in FAIR will be received as from the official launch on 1, October. On application to the imitative, organisations will be requested to submit a dual display implementation schedule. Through legislation, organisations and retailers will not be allowed to display pricing in dual currencies between 1 January, 2007 and 1 July, 2007 if they are not subscribed to the FAIR initiative.

The guidelines on dual display of prices may be downloaded from the NECC website www.euro.gov.mt. Individuals and organisations who would like to give feedback on these guidelines can do so in writing, marked as “Feedback on Dual Display Guidelines” and addressed to the NECC, Level 2, Mangion House, Triq Dun Karm Psaila, Birkirkara, BKR 14. Feedback may also being sent to [email protected] by the end of July 2006.