AD says Labour ‘too optimistic’ on gas price

In a reaction to the Labour Party's proposals for energy, Green Party Alternattiva Demokratika (AD) chairperson Michael Briguglio welcomed the proposals, but warned that there was also a "problematic" side to the issue.

He said that Labour was being "too optimistic on the price of gas" and on time-frames. He said that the PL must be 'clearer' in its proposals.

"Like other fossil fuels, including heavy fuel oil, its price is likely to increase in the years to come, due to increase in global demand and limited supply,"  Briguglio said, adding that one must also factor in Enemalta's €800 million debt.

Countering the proposal for major private sector involvement in the plans, Briguglio said that AD's energy policy insists on a "leading role of the state in the energy sector, in massive investment in renewable, and in penalising waste whilst subsidising basic use of energy".

Briguglio stressed that Labour should present studies to back up its specific proposals, and questioned the proposed time-frames for the plan to take off, "as processes for tendering, environment impact assessments and other requirements for the construction of a power station take considerable time to be completed."

Regarding water tariffs, Briguglio said that  theft from boreholes must be stopped, adding that this reality is creating problems of unsustainability, which will eventually result in price increases - Briguglio welcomed the importance given to renewable energy.

Ralph Cassar, AD spokesperson for Energy, Transport and IT, called for the State to take the leading role in energy policy and supply.

"It should be ensured that energy use is sustainable, that energy poverty is avoided and that employment is not precarious. This also holds for energy provided by the private sector. If the private sector does not manage to reach these aims, the state should intervene and regulate in an effective manner," Cassar said.

He added that  "AD's energy vision is based on conservation and the careful use of resources, social justice and efficiency.  

"A wiser use of resources such as water means that more wealth and value added will stay in the country. By giving incentives to industries that use clean energy or by making better use of limited resources, employment will increase."

Cassar also called for the state to subsidise the basic consumption of energy while penalising waste.

"The state can make good for the expenditure required by progressive fiscal measures such as windfall taxes and taxes on harmful environmental practices.  Massive investment in renewable energy will reduce dependency on fossil fuels, which are facing inevitable price increases due to limited supply and increasing demand," he said.