Labour says PN lacks energy credentials to criticise proposals

The Labour Party has dubbed a presentation given by Finance Minister Tonio Fenech as "amateurish" insisting that Fenech should be the last person to criticise Labour's energy plan given his "credentials".

Addressing a press conference at the party's headquarters, Labour's spokesman for the economy Karmenu Vella said he expected Fenech to declare "how, when and by how much" the PN expected to reduce the utility bills, given Prime Minister Lawrence Gonzi's assurances that the PN is committed to lower utility tarrifs.

"Instead we saw an amateur presentation with Fenech delivering contradictory statements, showing that he failed to understand our energy plan. Meanwhile, the PN's position on this sector remains unchanged," Vella said.

He added that Fenech should be the last person to criticise Labour over energy, given his "very weak credentials".

"We waited years for this government to present its energy policy and then we saw that its only policy was to increase tariffs, opt for the most polluting power station and commission a study to convert the Delimara power station to gas before it even started operating."

Vella added that Malta was fully dependant on oil, was not acting to meet its 10% renewable energy target and was hostage to oil prices.

Reacting to comments by Fenech that Labour's plan includes the purchasing of ships, Vella said that this was false. "Did this government buy ships to import the fuel to run the power stations?"

The PL went on to quote comments made by Profs Edward Mallia in the Times who said "the 'ship conundrum is another demonstaration of the sheer incompetence of Minister Fenech in energy matters".

According to Mallia, "the idea that we have to buy and own LNG ships is a knee-jerk reaction" by the minister.

Vella added that Fenech's press conference earlier in the day was a "positive step forward" after the Finance Minister said that the plan was "doable but not before four or five years".

According to Vella, this showed that Tonio Fenech went from describing the reduction of utility bills as impossible and a gimmick to confirming that it is achievable.

On his part, Labour candidate and energy plan frontman Konrad Mizzi went into detail to defend every aspect of his party's plan.

Defending the credentials of the Dutch consultancy firm DMV Kema - the same firm engaged by Enemalta to assess the BWSC plans - Mizzi said it was a "reputable, independent, international firm used worldwide".

Mizzi added that Tonio Fenech took 48 hours to react to the PL plan, "after having been briefed by Austin Gatt who prepared the presentation". He added that after taking two days to react, he could now understand why the PN believes that everything must take long to happen.

Mizzi also insisted that Labour's plan should not be judged by the "mediocre yardstick" of the Nationalist government.

He said that the minister should know that Labour's 10-year power purchase agreement was known as a gas purchase agreement abroad, contracts which were commonly used in the United Kingdom between gas suppliers and buyers.

Mizzi also said that two storage tanks will measure 20 metres in diameter with a collective capacity of 60,000 cubic metres of gas. He categorically denied that Labour's proposal had come from Bateman, the company which competed with BWSC for the Delimara power station extension.

The Labour candidate also referred to government's energy policy. He said that in its draft policy, government had shown its preference to an LNG terminal, but a floating one. According to Mizzi, government figures showed that this would have cost around €600 million.