Labour dismisses PN’s ‘fallacious’ fuel arguments

Labour argues that fuel prices in Malta are now cheaper than the EU average. 

The Labour Party dismissed the PN’s concerns over the cost of fuel, arguing that the price of fuel in Malta is cheaper than the EU average.

Quoting European Commission statistics, the PL said that petrol is 13c cheaper than the EU average and that 70% of Europeans are currently faced with more expensive fuel prices.

Shadow energy minister Marthese Portelli on Tuesday reiterated her call on the government to reduce fuel prices, arguing that they do not reflect the global market price of oil.

Brent crude slipped to below $50 a barrel on Monday due to acceleerated production from Opec countries like Saudi Arabia and Iraq and Iran’s recent announcement that it will raise production as soon as sanctions linked to its nuclear programme are removed.

“Although oil hasn’t been this cheap on the market for several years, the Maltese people are yet to benefit from it through a substantial reduction in fuel prices,” shadow energy minister Marthese Portelli said in a statement. “When Brent crude had cost $130 a barrel, unleaded petrol had cost €1.38 per litre while diesel had cost €1.31. Now that Brent crude has plummeted to under $50 a barrel, petrol costs €1.35 per litre and diesel costs €1.26.

“This confirms that the government is blatantly robbing from the public [by keeping fuel prices high] and that the recent reduction in gas prices was completely superficial.”

Dismissing Portelli’s argument as “negative”, Labour argued that petrol prices have already been reduced eight times and diesel prices seven times since its election to government.

It added that the previous Nationalist administration had increased fuel prices by 36% and electricity prices by 71% when the global price of Brent crude had increased by a mere 4% - “decisions that, when combined, cost the average family €1,500 each year”.