Video: Chanelle Demicoli, photos: Jonathan Borg
The government will not increase the 58c cost of living adjustment in spite of requests for it to do so, as this would create a precedent, Prime Minister Joseph Muscat said this morning.
Dr Muscat said the COLA amount was established by a special mechanism that is agreed upon by all social partners. The government, he said will not interfere in that process.
The Prime Minister said it is true that the 58 cent weekly compensation will not make any difference to families but insisted that, if the government increases the amount now, employers would demand a decrease in future, when the mechanism would establish a larger amount.
"I understand families. I know that the money you have never seems to be enough. That is why we will announce a number of initiatives that will help the most vulnerable in our society." Dr Muscat would not reveal what these incentives will be as it would be "imprudent" to announce the budget measures a few weeks before the actual budget speech.
The Prime Minister also explained that COLA is an adjustment not an increase. It is simply a means to give people back what they paid extra for the year before because of inflation. "Being happy about a big COLA increase amounts to boasting about high inflation. We are proud that inflation was very low, hence the small COLA amount."
PV tender investigation 'should not be taken lightly'
Dr Muscat was also asked about the PV panels contract awarded by the previous administration. Reacting to comments by Opposition Leader Simon Busuttil, who said on Sunday that the PN would shoulder responsibility if investigations confirm this was a case of corruption but Konrad Mizzi that should take the blame if the claims are a lie, the Prime Minister said Dr Busuttil was "hardly encouraging" whistle-blowers to come forward. "Would he take action against whistle-blowers?"
The facts are clear, said Dr Muscat. The exaggerated feed-in tariff had become a secondary factor at this point. The main concern was the unsigned bank document - the main document presented by the Alberta consortium. "Even a Local Council would check an unsigned bank document in awarding even the smallest of tenders, but the same cannot be said for the €35 million PV tender. This is a matter for the police and I will not turn the investigation into a political issue. I will not interfere but this issue cannot be taken lightly."
152 outdated laws to be repealed
Dr Muscat was speaking during a press conference in which the government announced a process to remove laws which are no longer valid but are still in force.
In all, 36 principal laws will be removed and another 116 subsidiary laws will also cease to exist. 9 laws will be consolidated. This, the PM, was part of an exercise to reduce bureaucracy and also bring Maltese legislation in line with current needs.
The repealed chapters include laws about coal, cereals, carrier pigeons and tobacco growing.
Justice Minister Owen Bonnici and Law Commissioner Franco Debono explained that the revision of laws will be carried out to remove irrelevant laws and make the code of laws simpler, more practical and more relevant to modern times. The last revision of Malta's code of laws was carried out in 1984.
PN reaction
Reacting to Dr Muscat's comments, the PN said the Prime Minister cannot be trusted on salaries and pensions. The PN said Joseph Muscat protested on the streets when the COLA adjustment was much higher than now. He had also promised to increase salaries to the living wage but the Prime Minister is now playing with words, first saying that the COLA increase will be €1.16 and then lowering in to 58 cents.
The PN accused the Prime Minister of charging high prices on fuel despite the fact that the international price of oil has gone down. The government is also telling pensioners to buy medicines that should be provided for free. He also cannot be trusted after asking PL MP and government spokesman to announce the 58 cent COLA increase when the same MP is pocketing €58,000 a year.
If the COLA mechanism worked out at 58 cents the government should compensate all families for the burden it is placing upon their shoulders through higher petrol and diesel prices and other hidden taxes, like the increased tariffs on exams.