Hospitality executives welcome energy proposals, express concern over gas dependance

The Malta Association of Hospitality executives (MAHE) welcomed the developing national debate on energy, and expressed its appreciation that the cost of utilities, a vital component in the cost of hospitality, is now being addressed by all political parties.

"The MAHE welcomes the proposed reduction in electricity rates being proposed by the Labour Party, while also appreciating the fact that Prime Minister, as reported from Germany, stated that the Nationalist Party manifesto will also address lowering the utility rates," MAHE said.

MAHE president Charles Martin said that "such reductions in the running expenses of all hospitality properties will directly translate into the net profit of all companies."  

A positive impact on the profitability would make the industry more sustainable, while it will also  have a positive effect on the available spending power of each household with a possible effect of more trade generated to hotels and restaurants, increasing the multiplier effect of such a move.

The association said that it approves any initiatives that will directly help in securing the livelihood of all employees working in the hospitality industry.  

"We augur that as a consequence of such profitability, this will be translated into better employees' working conditions and an upgrade of tangible standards in all our properties.  We also augur that this would also lead to much desired training to all employees working in the industry as this would lead to a higher quality service for all our patrons," Martin said.

MAHE said that while endorsing the use of gas to fire the power station, it was concerned should Malta depend only on just one supply source. The association called for alternative supplies to guarantee Malta's electricity generation.  

"Basing our supply just through the proposed gas pipeline with Europe, could prove very costly not just for the hospitality industry but to the nation as a whole," the association said, adding that their concerns arise from what had happened a few years back between Russia and Ukraine when the gas pipeline to Europe was closed with such consequences for the European citizens.

"We augur that the generation of power in the country is treated in a non-partisan manner so that we will have the best possible solution for the benefit of the Maltese nation."