Transport minister expresses optimism on bus reform

Offer from Spanish company 'much lower than that from Arriva', but government subsidies will still have to increase.

'Negotiations with Autobuses de Leon going well' Video by Ray Attard

Speaking at the end of a tripartite meeting on maritime affairs with ministers from Greece and Cyprus, transport minister Joe Mizzi expressed his satisfaction with the ongoing negotiations between government and a possible provider for the new bus service.

Declining to go into details, Mizzi said that talks with Spanish company Autobuses de Leon were going well and that he would be in a position to give more details in the coming weeks. The minister also declined to give a start date but added that there will be other meetings this week, after which he would be able to announce dates.

When asked whether the fares would be higher, Mizzi said the proposed service "would be affordable”, adding that the running costs are lower than those of Arriva, the previous operator.

Mizzi would not reveal the amount in annual government subsidy requested by the Spanish company, but said that it was “much lower than the €45 million requested by Arriva.”  He added that the subsidy would have to increase from what it was in Arriva's last year, but that this was justified by the increased coverage and routes.

Arriva used to receive €10 million a year in subsidies, while the Spanish company is rumoured to have been offered a subsidy of between €25 and €29 million per year.