Category: Archive – 2012

Following last year's controversy on the opening of shops on public holidays that fall close to special occasions which are deemed to be very important shopping days, where the GRTU strongly advocated for the outlets to be given the opportunity to open without the legal obligation to pay €700 euro's per shop, there seemed to be an agreed commitment by Government that during 2012 the issue would have been managed over a whole year basis.

 

 

 

 

 

The GRTU therefore presented its request, which is simply a formality as bureaucrats also have access to calendars so the exercise could be done automatically really. Now we are informed that in spite of last year's commitment, Government still has failed to decided in time to liberate the 10th of February, an important shopping day in view of Valentines Day.

The GRTU therefore regretfully informs all shops who had planned to open on 10th February that they may have to incur the extra charge if they are not already exempt as Government has refused GRTU's request on behalf of all retailers who wished to open.

We are told Government is still deciding on the other four days which the GRTU has presented.

Report says that gains made by the Single Market Act – will not claw back all the losses caused by the crisis – National industry ministers and European Union policy-makers meeting in Copenhagen this week will hear businesses demand that more public services should be outsourced to the private sector to promote growth. 

A report published yesterday indicates that gains made by the Single Market Act – the European Commission's blueprint for opening up the single market – will not claw back all the losses caused by the financial crisis.

The study, carried out by Copenhagen Economics and commissioned by the Confederation of Danish Industry, a member of Business Europe, predicts a loss of potential gross domestic product (GDP) of 20% in the EU between 2008 and 2017, representing €240 billion per year. Implementing all the priorities listed in the Single Market Act would increase the overall GDP of the EU an estimated 5%.

With no room left for further loosening of fiscal policy in the EU's member states, the report's authors suggest that, to help make up the shortfall, the EU needs to make it easier for the private sector to deliver services normally run by public bodies. This, they add, could lead to a 10%-20% increase in cost savings.

Breaking ‘taboos'

Sinne Backs Conan, a European affairs director with the Confederation of Danish Industry, said that a major increase in the use of the private sector was a "taboo" that had to be broken, in the same way as the financial crisis was forcing the EU to look at pension reform and tax harmonisation. "The private sector can unlock growth. We have to be more radical," she said.

 

 

In a bid to advocate its proposal for the European Energy Community as a means of achieving a common EU energy policy, the European Economic and Social Committee (EESC) and European think-tank Notre Europe brought together prominent EU decision makers, stakeholders and civil society representatives at a major conference.

"We are dismayed by the slow progress on developing the internal gas and electricity market. The time has come to put forward a daring proposal for the European Single Energy Market and the creation of a European Energy Community", said Staffan Nilsson, President of the European Economic and Social Committee. This idea was initially mooted by Jacques Delors, former President of the European Commission and founding President of a Paris-based European think-tank, Notre Europe, co-organiser of the conference. In a recent opinion, the EESC endorsed the concept and expanded on it.

The EESC calls for a joint approach to energy production, transmission and consumption. "It is a matter of necessity. Doing it alone is no longer an option, as this pushes energy prices up, jeopardises supply security and does nothing to get us closer to the low-carbon society we are aiming to achieve", added Mr Buffetaut, President of the EESC's Section for Transport, Energy, Infrastructure and the Information Society.

"The EU, the member states and all involved would let citizens down if they did not tackle these challenges in a spirit of solidarity and responsibility", said Anna-Maria Darmanin, Vice-President of the European Economic and Social Committee, adding that this should ideally be done within a European energy community. In this context, Martin Schulz, EP President, emphasised that this project would smooth our way towards low-carbon society by helping to create new jobs and more growth.

Günther Oettinger, European Commissioner for energ, said there would be greater emphasis on common infrastructure projects in the coming years. "This move would help to bind together Europe's hitherto separate 'energy islands'", added Jerzy Buzek, MEP, former President of the European Parliament.

Mr Oettinger struck a cautious note, however, pointing out that some of the EESC's proposals might not be feasible under the current treaty. "Although the Lisbon Treaty has extended the EU's powers in the energy field, some of the key decisions such as the energy mix remain in national hands", he said.

The EESC backed Mr Delors' idea of creating "a European gas purchasing group" to strengthen the bargaining power of Member States and companies. It suggested establishing a common supply structure for gas and other fuels, which would ensure consistency in negotiations and help to reduce prices. Martin Schulz highlighted that integration within the EU should help to secure Europe's external energy supplies. "Common purchasing power could go a long way towards preventing internal tensions between Member States", commented Jerzy Buzek.

In a written message to the conference, Jacques Delors highlighted the European Energy Community's potential for boosting the legitimacy of the European integration process in the eyes of the public. "By re-launching European integration in a concrete policy area and meeting citizens' need and expectations, the European Energy Community is a political project that could mobilise people".

In his statement, Mr Delors also supported the EESC's idea of setting up a European civil society forum tasked with monitoring energy issues such as infrastructure development, market conditions or consumers' rights. By constituting a channel of dialogue with decision-makers, the forum would ensure civil society's involvement in development of the EU's energy policy.

Following the conference, a joint declaration to be signed by Staffan Nilsson and Jacques Delors will call for rapid and operational steps towards the integration of EU energy policy. The conference was jointly organised by the European Economic and Social Committee and Notre Europe, a Paris-based European think-tank founded by Jacques Delors.

System would enable groups of consumers to bring compensation claims against companies – An EU-wide system to enable groups of consumers to bring compensation claims against companies has moved a step closer this week when the European Parliament gives its formal support to the idea – but squabbling between EU officials and member states persists, delaying the introduction of legislation.

MEPs voted following unanimous approval by the Parliament's legal affairs committee, on a report on collective redress drawn up by Klaus-Heiner Lehne, a German centre-right MEP. The European Commission has been dragging its heels on the matter, having launched various consultations involving separate directorates-general dating back to 2008.

However, the intervention of the Parliament and decisions by some member states to delay the introduction of national law, has increased pressure for a formal proposal from the Commission in the coming months.

Joaquín Almunia, the European commissioner for competition, is making the running on the issue, but discussions also involve John Dalli, the commissioner for health and consumer policy, and Viviane Reding, the commissioner for justice, who is less enthusiastic about the idea.

Group compensation

An EU collective redress law would allow groups of consumers to obtain compensation for damages from companies in any member state. About half of EU member states have their own systems, but they differ widely. So-called forum shopping – where litigants choose the jurisdiction where they will most likely win – is commonplace.

There are vast differences between countries, but most national governments have informally suggested that they believe there is a need for EU legislation to create a level playing-field. "Ministries for economic affairs see the need more than ministries of justice, which usually consider their legal system to be supreme," said one EU official. "So not only do attitudes differ from one member state to another, but also within the member states."

In January, the Economic Sentiment Indicator (ESI) rose by 1.2 points in the EU and by 0.6 points in the euro area, to 92.8 and 93.4, respectively – the first pick-up in sentiment since March 2011. The improvement was mainly driven by increasing confidence in the services sector and – to a lesser extent – among consumers and in the construction sector. Among the largest euro-area Member States, sentiment improved in Germany (+2.3) and Spain (+1.8), while it deteriorated in France (-2.1), Italy (-1.1) and the Netherlands (-1.0). As to large Member States in the rest of the EU, sentiment increased in both the UK (+5.0) and Poland (+2.7). The ESI is above its long-term average only in Germany.

 

Confidence in industry improved only marginally in the EU (+0.4), staying just below its long-term average, while it remained unchanged in the euro area. In both regions, managers had a more positive assessment of their companies' past production and their export order books. At the EU level, firms also expressed increasing optimism about expected production and the current level of order books, though these improvements were partially offset by a worsening in the assessment of stocks of finished products. In the euro area, production expectations were unchanged, while managers' assessment of their order books deteriorated. On the other hand, euro-area managers were more positive about their companies' stocks.

Confidence in services rebounded in both the EU (+2.9) and the euro area (+2.0), thanks to more positive assessments of the past business situation, past demand, and expected demand. Confidence in construction also improved in both the EU (+1.2) and – albeit to a lesser extent – in the euro area (+0.6). On the contrary, confidence in retail trade worsened significantly in both the EU (-2.7) and the euro area (-3.3).

Managers revised their employment plans upwards in all business sectors except for retail. At the same time, expected selling prices were also revised upwards across all sectors.

Confidence among consumers improved by 1.3 points in the EU and by 0.6 points in the euro area, mainly on the back of easing unemployment fears in both regions. Consumers' assessment of the expected general economic situation and their own financial situation improved at the EU level, but remained unchanged at the euro-area level.

Confidence in financial services – not included in the ESI – increased in both the EU (+6.0) and in the euro area (+9.1), on the back of more optimistic managers' expectations about demand for their companies' services. Managers also assessed recent developments in the business situation and demand more positively.

According to the quarterly survey of the manufacturing sector, also carried out in January 2011, managers' expectations of export volumes increased in both the EU and the euro area, while at the euro-area level there was also an improvement in managers' appraisal of their competitive position on foreign markets outside the EU. Capacity utilisation increased marginally. At 80.2% in the EU and 79.9% in the euro area, capacity utilisation remains still below its long-term average.

Last week the renewable energy sector had a very cordial and productive meeting. The meeting was held at the GRTU in Valletta, and various topics that are either hindering the sector or may be improved were discussed. Section President Noel Gauci would like to thank all those that attended and those who sent the survey by email. Results are published below.

 

The issues raised during the meeting were as follows;

Retailers have always been given guidelines and requested to adhere or desist. Nowadays these are being followed to the letter by the vast majority of suppliers, but should authorities also have some sort of guidelines to make renewable energy more customer friendly and attractive in Malta? Some actions that need to be taken are;

– Stipulate a timeframe within which Enemalta should send its

people to install the meter that measures exported electricity

– Stipulate a timeframe within which clients that have been

promised a rebate recover such funds

– Indicate what the feed in tariff will be like after the 8 years that are currently being committed by Enemalta

Another issue was the need to create a one stop shop for suppliers and customers alike so that one would not need to run from the supplier to Enemalta to MRA and MEPA etc. We believe that MRA should create an office that caters for such liaising where clients and retailers can go and get answers for their queries. The office should also accept to liaise with the retailers in case the client decides to appoint them to do so. For this purpose a special document to be signed by the client should be created and available online. Such office should always be manned and personnel should be adequately trained. This to solve the issue that many times one does not find the right person available for specific questions at MRA.

The installation period for new domestic photovoltaic schemes should be increased to one year. This has already been increased from 6 months to 8 months during the last scheme, but since the same amount of money is yielding more installations, the timeframe has again proved to be too short and in some cases could affect the quality of workmanship. Retailers believe this should be taken seriously and there is a consensus that in the future the timeframe should be twelve months.

The need for a new scheme for domestic PV. The group believes that we should not wait until we have finished all our installations to start discussing a new scheme, but that GRTU must ensure that if there is no funding available, discussion start to seek funding from PPCD like it did last year. Noel Gauci informed the members that the issue has already been raised with PPCD and we are awaiting for the next meeting to see the outcome.

Current feed in tariff rates are unfair. One could be purchasing electricity from Enemalta at 36 cents or even at 72 cents per KW, while selling the equivalent KW at 25c. For this reason high electricity consumers who have large amounts of space where they can install PV's refrain from doing so as they feel robbed. We believe that MRA should re negotiate the power purchase agreements so as to ensure that PV owners have a fair option where they can buy and sell at the same rate, or what is more commonly known as net metering. This system is used as long as the owner generates not more than what he produces. In the event of over production, the rate of 25 cents would apply.

The need for Enemalta/ARMS to recognize domestic accounts as residential.

A survey was also carried out among the members of the section. The results were as follows;

Kuntent bl-iskemi tal gvern?

Iva – 50% Le – 50%

Fejn jistghu jitjiebu?

Feed in tariff

More frequent or open-ended schemes

Longer application time

Less paperwork

Delays in processing applications

 

Qed ikun hemm zmien bizzejjed ghall applikazzjonijiet?

Iva – 25% Le – 75%

 

Xi jxekklek l-aktar waqt l-iskemi?

Short periods of applications

Certain procedures until these are approved

Bureaucracy in certain areas, such as limitation to change equipment when the manufacturer launches a new version due to shortage supply if this is in the client's favour value wise

 

Minn min jew mill liema dipartimenti tal gvern jew awtoritajiet tistenna li jsir xi haga jew li jista jsir iktar?

MRA grants division

Energy

Environment

 

In negozju tieghek zdid jew naqas?

 

Jekk kellek zieda fin-negozju tatribwixxi din iz-zieda ghall iskemi?

Iva – 100% Le – nil

 

Min naha l-ohra jekk kellek tnaqqis, ghaliex tahseb?

Excessive bureaucracy at MRA grants division

Long waiting times

Short application period

MRA too rigid on certain minor issues

 

X-tixtieq li jinbidel u jsir ahjar fl-ammisnistrazzjoni tal-iskemi?

Becomes more frequent

Better communication mra-client-supplier etc

Less red tape for PV clients

 

X-tahseb fuq il feed in tariff

 

Fejn tahseb li ghandna ninsistu l-aktar?

 

Fl-opinjoni tieghek, liema skemi kienu l-iktar ta success u li ghandna nuzaw bhala ezempju ghal skemi ohra?

 

Other comments

Radical change in SWH scheme

More schemes during the year.

The event will be held on 23-24 May 2012. This event will be attended not only by European SMEs but also by American and Asian entrepreneurs. Apart from sustainable energy and environment sectors, this time round the focus of the event will include also accessible construction that will enable elderly and disabled persons to live independently, better and comfortably.     

By participating you will not only have the opportunity to individually meet with companies active in these sectors and potential partners but we are also offering a full two-day programme which includes:

Seminars

A networking dinner

A visit to the world's currently most innovative construction projects in Stockholm.

Participants are entitled to financial assistance under the Trade Promotion Scheme where travel and hotel costs are subsidised.

For more information contact Abigail at GRTU on

State-aid rules should become more ‘efficient' under plan – Joaquín Almunia, the European commissioner for competition, announced proposals to modernise the European Union's state-aid rules, aimed at making them more efficient and effective.

Speaking at the European Commission's first Competition Forum inBrussels, Almunia outlined ways in which he wants the system overhauled better to meet the requirements of the EU's single market.

State aid has figured prominently in EU member states' responses to the financial crisis. The Commission has introduced emergency measures that allow governments to prop up their financial sectors. However, there is an acknowledgement within the Commission that there must be a more radical overhaul of the system if is to be used more effectively. One EU official said that the changes likely to be proposed would be the "most far-reaching reform of state-aid control in 50 years".

The Commission has extensive powers to police member states' use of state aid. At the moment, a country must notify the Commission every time it decides to provide state aid, and then must wait for the Commission's approval. Under the current regime, there is no distinction between state aid that will have a great impact on competition and aid that will have relatively little.

Quicker decisions

As part of the reforms, cases could be prioritised so that officials can focus more on those that have a bigger impact on the internal market. Commission officials believe that this will free up resources and allow them to devote more time to the most important cases, help them to reach decisions more quickly, and also let them start a greater number of own-initiative investigations into suspected breaches of the rules. Currently, the Commission waits for complaints before starting an investigation.

Among other changes, Almunia is expected to raise the possibility of making it easier for member states to provide what the Commission classifies as ‘good aid': the financial support that member states and the Commission agree is necessary for growth and economic recovery. This could include measures to boost the internal market as well as research and development and innovation spending. Likewise, rules could be modified so that so-called bad aid that does not boost the internal market could be banned.

The Commission's role in state aid is enshrined in the EU treaties. Financial support from governments is controlled to ensure that it does not distort competition and free trade. Mostly, state aid is prohibited – but there are some circumstances when it is allowed, notably to ensure a well-functioning economy.

State-aid rules have come into focus since the start of the financial crisis, which forced governments to make unprecedented interventions, particularly in the financial sector. Nicolas Véron of Bruegel, a Brussels-based think-tank, said that the Commission's role in state-aid decisions during the crisis had been substantial. "It has not been a yes-man, it has not been a rubber-stamping exercise," he said. "They have shown flexibility but have certainly not been toothless."

Today's Competition Forum is also due to discuss how competition can be used as part of the EU's overall policies to boost the EU's competitiveness and innovation and whether more can be done to ensure the competitive use of intellectual property rights.

Why did you become an entrepreneur? It was in my husband's business at first and then slowly I started my own.

How have you come to chose your line of business?

My shop is located in Mdina and being Mdina a tourist location I thought that souvenirs would do well

Where did you go on your last holiday?

Costa Concordia last June 2011

What is your earliest memory?

Many memories and nothing particular that I can currently remember but lately my son's wedding

If you could chose to be someone famous who would you be?

I am happy as I am but if I had to chose I would chose to be someone that is in a position to help others