Another box ticked

As far as electoral promises go there has been a growing momentum in implementation since the historic result of the 2022 general election.

This is one of the hallmarks that distinguishes the Robert Abela administration and things look destined to gain even more pace at a time of robust economic growth.

A case in point is the next box to be ticked in the disability, voluntary and consumer affairs sector with the granting of broader competence to the Consumer Claims Tribunal - electoral pledge number 944 to be precise.

The Tribunal is an important last-lap judicial body to hear and decide on consumer claims which are not amicably resolved following a process before the Office for Consumer Affairs within the Malta Competition and Consumer Affairs Authority (MCCAA) or a registered consumer association.

There has been a progressive trend in the treatment of consumer affairs. In 2021 consumers were given the opportunity open a case in front of the Tirbunal for claims of up to €5,000. This represented a significant leap from the previous ceiling of €3,500.

But now, an even bigger leap is being achieved. In line with our electoral pledge the ceiling for claims filed before the Tribunal has been raised to €10,000.

This will ensure that a majority of claims before the Office for Consumer Affairs will eventually be referred to the Tribunal and so precluding the need to go to Court.

The beneficiaries of these changes will be the consumers themselves, most of whom will not need to go to court or incur any legal expenses. They will also be assured of a quicker process of deliberation and, where deemed necessary, compensation.

This broader competence means that claims related to package travel, home maintenance and refurbishment, purchase of new and second-hand cars, and energy sources like solar panels - all of which often cost more than €5,000 - can finally be referred to the Tribunal for a decision.

This development is also accompanied by other changes, among them the hearing, by mutual consent, of proceedings via video-conferencing, and the appointment of new arbiters to help deal with the expected upsurge in claims.

Changes to the Consumer Law will, among several other updated procedures, also provide for the setting up of an online portal wherein the consumer can make their claim and the trader file their response.

Statistics show a growing tendency towards more efficient resolution of complaints and certainly an increasing awareness on the part of all those involved in litigation.

A 10-year analysis of these statistics reveals a significant drop in the number of consumer claims. In 2013 consumer claims reached a total of 232, but dropped to 57 by this year (end of April 2023).

Numbers have actually been plummeting in these past 10 years, a credit to consumers, different bodies and authorities in the sector.

The same trend is inevitably reflected in the number of open cases still on the Tribunal’s table.

There were 306 in 2013 and there are 79 thus far this year. The proficient decision-making process has no doubt helped in resolving a substantial majority of cases.

Similarly, during these 10 years there have been a total of 1,454 Tribunal decisions, with a related drop in the number of withdrawn cases, from 90 in 2013 to 17 so far.

The consumer landscape is a major indicator of things as they stand in the retail, packaged goods and random services sectors.

It is also a reflection of what needs to be done to prepare for the future. Dynamic changes, for example, are occurring in the market for retail and consumer goods.

There are new challenges for both consumers and traders as awareness and rights come head to head with new operating environments, market saturation, slackening population growth and more discerning but less loyal consumers.

It is our duty to make sure these challenges, on both sides of the consumer arena, are kept in focus as we seek to keep the sector strong and sustainable at the same time.