Gonzi and Muscat cross swords in television debate

In the first televised debate between Prime Minister Lawrence Gonzi and Labour leader Joseph Muscat, the two leaders  clashed over a number of issues including utility bills and the economy on Friday night's edition of Xarabank on TVM.

In a somewhat diluted debate, Muscat insisted that the Labour Party in government will reduce water and electricity bills, however refrained from saying how his party will do so. On his part, Prime Minister Lawrence Gonzi hinted that the government might reduce income tax in the forthcoming budget.

Muscat said that a Labour government will offer a "united team that will create a new middle class. We believe in the country as I am sure everyone does. We will create a future that unites us all."

The PN leader Lawrence Gonzi said the PN has been the agent of the major changes this country has gone through over time. He added that the people will soon be asked to decide who will run the country for the coming five years and said that the PN deserves to be trusted with the country's future. 

Starting off the debate, Muscat accused Gonzi of taking the country in the wrong direction because of the wrong decisions taken by the Nationalist government in the last four years.

Muscat said: "The cost of living is going up and jobs are drying up while working conditions are deteriorating. The quality of life is regressing and the expensive utility bills have hit the middle class hard."

He slammed the Prime Minister for taking the electorate for a ride by failing to maintain the promises he made in 2008, especially in regards to reducing the income tax from 35% to 25%.

In his very first intervention, Lawrence Gonzi revealed that a manufacturing company already operating in Malta will expand its operations by investing $50 million in a new line of production.

He said details of the new investment will be revealed at a later stage due to the pending announcement to international stock exchanges.

"While, Muscat is here to announce that all is gloom and doom I am here to give you encouraging and positive news," Gonzi said.

Muscat said that he was glad to hear that a company is investing in Malta, however he noted that when the two leaders last had a debate the Prime Minister promised that a Brazilian company would be investing in Malta, but this never materialised.

However Gonzi quickly retorted and said that the Brazilian aviation company had set up its headquarters in Malta and was leading its operation in Libya from Malta.

The PN leader pointed out that the 2013 Budget will be presented shortly but if the government fails to have the budget approved, "everyone has to shoulder the responsibilities of their actions."

He added that Malta has the third lowest rate of unemployment in the EU 27 and said that the government has continuously stepped up its investment in education.

Gonzi said that the main priorities for the country are education, jobs and health and despite the country's difficulties in recent years the government still did well in these sectors.

Muscat lambasted Gonzi for failing to back up his talk with action and said that the PN leader did not keep his 2008 electoral promises and said that "Nobody believes Lawrence Gonzi any longer."  

In reaction, Gonzi said that if anyone was not backing up his talk with facts, this was Joseph Muscat.  He went on to challenge Muscat to explain his proposals on utility bills.

"How will you reduce the utility bills? When and by how much will you reduce them? Will the bills be reduced for everyone or for a few?" Gonzi asked Muscat.

Joseph Muscat responded by saying that Labour will publish its electoral manifesto when the Nationalist Party does.

"We will reveal our promises when Gonzi tells us what his are. The only difference is that we will maintain and deliver 100% of our promises. What is sure is that the high bills are putting jobs and the economy at risk," Muscat said.

"How do you claim that everything is going pear shaped and everything is going wrong when we have had €350 million through Malta Enterprise which resulted in hundreds of new jobs being created," Gonzi replied.

"I am here to speak about facts," he said and went on to accuse Muscat of playing hide and seek by not saying  how he will reduce utility bills.

Pressed to explain why the Nationalist government did not maintain its promise to reduce income tax, Gonzi said that his government could not maintain the promise to lower the income tax bends because he is "responsible and honest" but hinted that the government was still in time to introduce such tax cuts.

"We have not introduced the cut, for the time being, and I stress, for the time being," Gonzi said.

As the debate turned to education, Muscat was pressed to give his word that student stipends will not be revised, as had happened in the previous Labour government in 1996 despite assurances that they would not, he said: "I am Joseph Muscat the leader of the Opposition and I promise that the University stipends will not be reduced."

On the John Dalli resignation from EU Commissioner both Gonzi and Muscat agreed that the case must be dealt with caution and prudence.

Gonzi said that he had no contact with the European Commission president Juan ManuelBarroso over the matter in the meetings the two had in recent weeks.

He also pointed out that he had not read the OLAF report which and said that the report should be published, however he noted that this was not his prerogative.

"I have no control over the investigations but I hope that the allegations against all persons involved are proved wrong," Gonzi said.

The PN leader said that the Attorney General will not publish the report by the EU's anti-fraud office, OLAF that led to John Dalli's resignation pending Police investigations.

On his part Muscat said the country cannot let the situation degenerate and said that the two parties are in agreement on how the case should be dealt with.

He said Dalli is not being attacked by Labour as it did in the past because Dalli represented the whole country as EU Commissioner. Muscat also pledged his support for the appointment of designate Commissioner Tonio Borg. 

Alternattiva Demokratika chairperson Michael Briguglio was given a few minutes to air his views on the two main parties.

In his brief intervention, Briguglio said that while the government had been relatively successful in running the economy during the international crisis, it lost its majority in Parliament and was continuously postponing the general election.

He also hit out at the Nationalist government's is "too conservative because it does not want to grant equal rights to gays and other minorities."

Turning his sight on Labour, the Green Party chairperson said that there is a contradiction in Labour's proposals to create a new middle class while being opposed to increase the minimum wage.

He also said: "It is irresponsible to promise that utility bills will be reduced in the midst of an international energy crisis. Being everything for everyone could take Labour to government but it will have to face the consequences once in government."

Right side of history, Muscat celebrated the victory of Partnership when the electorate had voted in favour of joining the EU. He also hit out at the Nationalist Party for opposing divorce and said that Alternattiva Demokratika had always been on the right side of history by being in favour of EU membership and divorce.

"You know where you stand with us," Briguglio said as he appealed for undecided votes to vote for the Green Party.