The Urban Development and Roads Ministry cannot understand why the Transport Federation was complaining now about permits for two new hearses that were issued a year ago.

In a statement, the ministry said that the federation knew that the permits were issued following a judgment delivered by the Commission for Fair Trading in July 2004.

The federation knew that discussions had been held with the aim of reaching an agreement so much so that the Hearse Association, which forms part of the federation, had changed all vehicles after the government had exempted the hearse owners from paying the registration tax.

This exemption was given by the government within a more complex arrangement that included the introduction of a code of behaviour aimed to improve the service offered.

As the government implemented what it had promised, the association should adhere to the agreement reached, the ministry said.

On the new services given by open top buses and electric mini-cabs, the ministry said it believed that space should be given to new means of transport with the aim of increasing mobility. The two services went beyond the scheduled public transport service as the federation insinuated, the ministry added.

It is clear that these new services are annoying the federation. The government believed in competition, in spite of currents against it, because not only did it lead to more competitive prices, but also an improvement in services.