Car park privatisation repeal scuppers plans for various tenderers

A Cabinet decision to suspend the privatisation of 34 public car parks on 10-year concessions this week scuppered plans by various business organisations who were looking to tender for the lucrative tenders.

MaltaToday is informed that a number of companies were preparing to compete for the tender including organisations like Elbros, the Demajo Group, Bonnici Bros, Carol Calleja of CC car park, Big Bon, and Parkwell, amongst others.

A motion filed by Labour whip Joe Mizzi and MP Joe Sammut last week has however attracted support from Nationalist MP Franco Debono, who has pledged to amend the motion with a no confidence motion against transport minister Austin Gatt - a move that led to the U-turn on the privatisation plans.

One of the entrepreneurs who has been affected by the political developments on the public tender, Kenneth Demartino, is however rueing the Labour media's association of his commercial activity with transport minister Austin Gatt.

Demartino, whose KDM Group pioneered privately-managed and equipped car parks, decried the way he was associated as having curried government favour on what was an open competitive tender.

"The media depicts me like some sort of evil eye when I was the one to approach car park attendants and hear out their views on the matter whereas others decided to work against them," Demartino told MaltaToday.

"There is nothing wrong in expressing an interest in a privatisation process," Demartino said, referring to reports in the Labour press that he was leveraging his "friendship" with Austin Gatt to take control of the public car parks, be they granted by competitive tender or not.

"I never denied the fact that parking is not part of my core business but I do not intend ruining the livelihood of car park attendants and am competing in a competitive and fair manner. I don't mind speaking to the press, but that the press at times twists and turns certain things and fires certain allegations is highly unacceptable," he said.

Car Park attendants are currently registered and licensed with Transport Malta in accordance with the Motor Vehicle Regulations. They do not enjoy a title over the car park and are only legally allowed to receive gratuities rather than actually being paid for doing a service. They also do not pay any rent to government.

Transport Malta will licence the 34 public car parks to 24-7 operators who must provide security and CCTV camera surveillance, and obtain insurance against third-party damages.

Parking fees are to be determined by the operator, who will receive a ten-year contract.

The reform includes the upgrading of the sites to include road markings where necessary, and artificial lighting which will both be done by Transport Malta.