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Pouring oil on troubled petrol station owners

Is the government running out of fuel when it comes to thrashing out its problems with the petrol station owners? MIRIAM DUNN traces back the issues that have dogged this sector over the past year

The news just one week ago that petrol station owners had decided against striking this weekend might have brought a sigh of relief to motorists, but the issues that lie behind the threat of industrial action are still far from solved.

Carlo Cini, spokesman for the Association of General Retailers and Traders, which represents the petrol station owners, told MaltaToday that the decision to withdraw the fuel strike directive was taken last Friday following a meeting held between representatives of the petrol station owners and Economic Services Minister, Josef Bonnici.

But whether the government manages to avert the threat of further strike action will now depend on its ability to make some progress in fresh talks, which are scheduled to be held this week.

Somewhat ironically, one of the issues that triggered the threat of strike action was related to the commission on fuel sales, which was just about the only problem that the government had managed to solve.

The petrol station owners had long been complaining that the commission they were receiving on fuel sales did not reflect the increased costs they had incurred when they took over the maintenance and running of the pumps from Enemalta and installation of the automatic pumps almost four years ago.

Although an agreement was reached on this issue, the GRTU last week said that Enemalta had not implemented it.

The petrol station owners’ other long-running gripes relate to two separate issues – the opening hours at their garages, which they need to thrash out with the government and the delivery of petrol, which has to be sorted out with Enemalta.

The opening hours’ controversy dates back to the time when the automated petrol pumps were first introduced. Although widely recognised as a success, they have not been without their problems, mainly for the petrol station owners themselves.

Initially the petrol station owners’ primary objective was to increase the commission on the fuel to help compensate for the considerable outlay they had made for the equipment.

But another serious problem they still need to see solved is regularising garage opening hours, which has been slow coming, mainly because it requires legislative changes.

At present, the closing time for garages, according to the law, is 7pm, but during discussions with the government, the petrol station owners had agreed to an earlier closing time, following the introduction of the automated pumps. However, until this agreement is enshrined in the law, some petrol stations which are not GRTU members have been staying open later, which the association regards as unfair competition.

On this issue, the petrol station owners seem to be satisfied that the government has given them a clear sign of commitment, especially since the Trade Licences Act, which would cover the issue, is being drafted.

And, as Mr Cini told MaltaToday yesterday, the police have given the GRTU an assurance they will close down the offending garages.

But the other problem, relating to the delivery of fuel, could need greater wrangling with Enemalta before it is resolved.

The petrol station owners have made it clear they would like the chance to take some responsibility for the delivery of fuel to their premises, mainly to help improve the service.

Although Mr Cini stressed that it was not the petrol station owners’ aim to "take over Enemalta", and that his members simply wanted the chance to collect the fuel themselves, the corporation seems to be touchy about the issue.

It will now depend on whether any progress is made at a meeting scheduled to take place between the two sides next week.

According to Mr Cini, the petrol station owners are keen to settle the long-running dispute, but the problems are certainly far from solved. And the operators’ patience has been tried many times in the past, not least because of the length of time it has taken for there to be a sign that solutions could be on the horizon. In fact, the petrol station owners almost took industrial action on two separate occasions before this latest threat, once last year for the Santa Maria feast and then again at Christmas.

As the GRTU spokesman explained, the last few years have not been easy for petrol station owners and, contrary to popular belief, petrol sales failed to increase with the introduction of automatic machines.