A Court judgment confirmed WasteServ's 2021 decision to stop payments to GreenPak for the delivery of non-recyclable material, the government's agency said Tuesday. But, in reply, GreenPak said "no conclusive or enforceable outcome has yet been reached since the Court's ruling remains subject to appeal."
In its ruling delivered yesterday, the Court rejected GreenPak's claims amounting to around €900,000, confirming that WasteServ acted correctly, WasteServ said.
In 2021, WasteServ had refused to pay for waste that did not meet recycling standards, it added.
WasteServ said it had consistently maintained that GreenPak was obliged to deliver recyclable waste consisting of paper, cardboard, plastic, and metal. However, at the time, around half of the material delivered was non-recyclable, and in many cases, damaging to WasteServ's operations and interests.
Despite this, GreenPak continued to demand payment, equivalent to €48 per tonne, for material that was not only unrecyclable but often hazardous. WasteServ said it believed it would be unacceptable for a government-owned company to use public funds to pay for such waste.
Reacting to the judgment, WasteServ CEO Richard Bilocca said: "WasteServ has already implemented various reforms to improve Malta's recycling performance and will continue to do so with even greater determination."
The reforms introduced by WasteServ were crucial in safeguarding public finances and driving improvements in national recycling performance. At the time, WasteServ's recyclables output stood at 19,000 tonnes; by 2025, this figure is expected to exceed 24,000 tonnes, reflecting the success of these ongoing reforms.
In reply, Greenpak said it is incorrect for WasteServ to say the Court has backed it (WasteServ) in its irregular decisions to withhold payments or that GreenPak's claims have been rejected.
"Neither do these media reports mention the Court's decision in finding WasteServ liable to pay GreenPak a substantial amount of money with interest by way of compensation for services rendered, including the sum of almost €200,000 which WasteServ inexplicably failed to pay GreenPak. As such, no conclusive or enforceable outcome has yet been reached since the Court's ruling remains subject to appeal," GreenPak said.
GreenPak added it is in consultation with its legal advisers to ensure that all necessary actions are pursued through the appropriate legal avenues.
"Unlike WasteServ's irresponsible actions, GreenPak will make no further comment at this stage while the matter is still pending before the local courts. Updates will be provided as and when appropriate," GreenPak said.