The Malta Independent 26 July 2026, Sunday
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The ministry at the helm

Emmanuel J. Galea Sunday, 26 July 2026, 07:36 Last update: about 3 hours ago

Gozo Channel begins this month with new leadership, and the appointments deserve genuine support. Dr Marlene Cini brings legal expertise, governance experience, and deep familiarity with the company itself. Her appointment as the first female chairperson marks a milestone worth noting. Ronald Sultana has assumed a distinct, full-time chief executive position with substantial duties. Their competence is not in question; the concern lies with the system they are inheriting. Gozo Channel remains a monopoly tightly connected to the Gozo Ministry.

This situation presents a threat, even to exceptional leadership. A chairperson should establish her own standards and guide the company accordingly. Historically, the ministry has preferred to dictate the direction. Thirteen years of this arrangement led to queues, losses, and a lack of direction. Separating the chair from the CEO may look good in theory, but it makes little difference if ministers still have to approve every major decision. Autonomy entails a board that sets and answers to its own targets. It involves recruiting based on operational needs rather than political considerations. The key test for these appointments is autonomy, not just the calibre of the appointees.

Reflect on what ministerial oversight has achieved since 2013, as the record is clear. The European Union approved a subsidy of touching €700,000 each year. A 2019 update, still undisclosed by the government, increased this amount significantly. By 2024, taxpayers were providing €16 million to cover the company's expenses. The public service obligation (PSO) contract expired in October 2017 and remains unrenewed. The European Commission has stated that the monopoly violates EU competition rules. Court rulings invalidated successive tenders because of irregularities in the bidding process. One tender collapsed in circumstances that still define the company's reputation. Gozo Channel chose as its fast ferry partner a company registered barely days earlier. Its shareholders, hoteliers and food producers, possessed no shipping experience whatsoever. Virtu Ferries, a compliant bidder with decades at sea, saw its offer rejected. A court declared that agreement irregular and cancelled the entire process outright. Serious investors rightly sought opportunities elsewhere. Operating without a legal contract for nine years is not management; it is aimless.

The financial data tells a similar story from a different perspective. Parliamentary data showed 181 fixed employees and 150 workers hired through private contractors. Despite this, overtime costs amounted to €2.7 million over 2022 and 2023. The company sustains annual losses of nudging ten million euros, fully subsidized by taxpayers. The temporary MV Nikolaos cost over €10,000 daily for seven years. Its replacement charter, tendered just last week, will cost €10,600 daily. As of January 2026, a fleet plan includes two new ferries by 2029, but the procurement process for these ships has not advanced past the initial planning phase.

Meanwhile, Gozitans experience the company's performance through hours spent waiting at Ċirkewwa. During every holiday and weekend, the scene repeats with long queues of cars and overfilled ferries. Families endure August heat waiting for later crossings, affecting hauliers and perishable goods. The archaic first-come, first-served vehicle boarding system dates back to 1979. This outdated practice is unacceptable for a national transportation service. The persistent queues are not because of unpredictable demand but to inadequate management. The webcam at Ċirkewwa has become the most consulted indicator on the island.

Years ago, the government promised Gozitan residents a priority lane at Ċirkewwa, which has yet to actually materialise. Infrastructure Malta constructed a €7 million Gozo-bound road lane in 2024, offering no boarding preference for residents. Returning Gozitans still wait behind day-trippers heading for a swim at Ramla. This disregard for residents' priorities feels provocatively insulting to the island community. Residency should be acknowledged at the boarding point, not just through subsidized fares. The promise re-emerges before each election and fades away afterward.

Inactivity defines the company's approach to both its fleet and its terminals. The three core vessels entered service between 2000 and 2002, a generation ago. Marshalling areas at Mġarr and Ċirkewwa remain unchanged while vehicle volumes double. The ticketing arrangement compounds the neglect with something approaching an accounting farce. Vehicles board at Ċirkewwa without any ticket; validation happens only at Mġarr. Reported figures suggest around 20,000 vehicles cross annually without ever appearing in records. They depart Malta counted, then vanish from the system before reaching Gozo's booths. A monopoly that cannot count its own vehicles cannot credibly price its subsidy.

Implementing digital booking systems provides a straightforward solution, with the technology already available. Airlines have long mastered timed reservations and dynamic scheduling. The fast ferry operates adequately with online ticketing and no queues. Motorists might reserve crossing times with Gozo Channel, easing traffic jams during busy periods. Providing live queue updates will distribute demand uniformly and enhance efficiency. Ensuring a residents' quota on every sailing will confirm the promised priority lane. Booking data will reveal demand patterns, informing schedules based on evidence rather than habit or political convenience. It requires software and determination, not new ships, to enhance passenger experience.

Establish high standards while the new leadership's goodwill remains. Share data regularly on punctuality, queue times, and subsidy per passenger. Conduct a staffing audit and cease recruitment through political channels. Publicice the Nikolaos contract and the 2019 addendum for transparency. Gozitans prefer gradual progress over concealed information. A company confident in its performance should have no issue sharing its data.

This brings us back to the monopoly, the underlying cause of these issues. Several argue that the lifeline route is too critical to be privately managed. However, the fast ferry transported 1.2 million passengers in 2025 under competition and private operation. A nine-kilometre crossing does not cause state ownership but reliable service, transparent procurement, and accountability to passengers. A lawful tender for the primary route will introduce necessary discipline. Brussels and the courts demand it, and taxpayers deserve it. Instead of deepening the company's reliance on the ministry, the government will loosen its grip. The possibility of competition sharpens managerial focus.

The new leadership deserves the opportunity to prove sceptics wrong. Grant the chairperson the freedom to set her standards and hold the chief executive accountable to passengers. Evaluate the company based on reduced queues, digitized bookings, and transparent tenders. This requires reforming an entrenched institution, not criticizing individuals. Gozitans will assess results at the terminal, not rhetoric at press events. Without cutting the strings, even the best conductor cannot play their own tune. This lifeline, now unhindered, can fulfil its intended purpose for Gozitans.

 


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