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Study Group on Malta's Preparations
for EU Accession
Themes for Discussion
- Seminar March 2001
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Malta
Benny Borg Bonello
(1)
We feel that we can contribute in both
sectors i.e. economic and social. Our expertise is in the
economic sector since we believe that we can secure
consumers’ interest by first pressing for a more liberal
market and then for consumer protection. We are aware
that the Maltese market is small and will remain small
even if we join the EU. Thus most basic services will
still remain a monopoly. Basic services tend to effect
most society’s vulnerable sectors i.e. the senior citizens
and those with special needs. Since we focus our energy
towards the needs of these groups our association is
contributing to the social development of these Islands.
(2)
The present’s government obsession of having Malta join
the EU by the year 2003 is having disastrous
consequences. Whether we join or not, our economy needs
restructuring. However, we cannot restructure within two
years. First, this is breaking the social dialogue at the
seams. Secondly, it has brought about a widespread
uncertainty. This uncertainty has evaporated consumer
confidence with the consequence that markets are under
pressure with operators resisting all changes that are
required. Another consequence is that the government is
only adopting the minimum of the acquis as required by
Brussels with an informal promise not to be too vigilant
in their application and enforcement. This situation is
also inhibiting the progress in capacity building to
implement the legislation, which was enacted last year by
Parliament.
One particular problem that we, as a voluntary
organisation are facing is the lack of financial
resources. We do not receive any government aid. We only
received a Lm1,000 sum from the previous Labour
administration. We survive due to the dedication of a
small group of volunteers and through membership fees.
The normal yearly membership fee is Lm1 (about 2euros).
Senior citizens pay half the normal fee.
(3)
We were consulted at a late stage in the drafting of the
consumer protection legislation, which was enacted last
year. It should be noted that we were consulted much
later than the business lobby was and only after we
requested for such consultation. The majority of the
changes proposed were not adopted. We were lucky that the
legal drafters were conscious of the needs of the local
consumers and that we, through my being Chairman of the
Consumers’ Council during the previous Labour
administration, were able to influence the draft
legislation being proposed then. Since the present
government adopted most of the changes proposed by the
previous government, some of the changes that our
association wanted introduced were secured.
However, we were not consulted on any other legislation
that concerned the consumer. This is in spite of the fact
that last March we contacted all government Ministries to
inform them that we expected to be consulted being the
only registered consumer association on the Island. We
were ready to put forward our proposals to ensure that the
legislation introduced would suit the best interests of
the local consumers. Needless to say, we were not
consulted by most Ministries. One case in point was our
request to the Health Minister. We were aware through
newspaper reports that legislation, which would regulate
the medical personnel and thus patient rights was in the
pipeline (Health Professions Act and Food Safety Act).
The Minister informed us that we would be consulted at a
later stage which in practice means that we would be
consulted only once the Bill is published i.e. about two
weeks before the legislation is presented to Parliament.
As emphasised above, this is not an isolated instance
where government does not consider having consumer
representation. In fact, the consumer does not feature at
all in government's thinking.
(4)
With regard to social dialogue between the government and
civil society, there is no existent structure to handle
it. However, the government has published a bill to amend
the Malta Council for Economic Development (MCED). This
Council is going to be widened to include a civil society
committee. However, even in this instance, consumers have
not been included. In fact we had just written to the
Minister responsible asking for representation.
(5)
Again in this case we had faced the same situation - the
Consumer Association was not invited to attend for the
Malta EU Steering and Action Committee where Malta's
position re negotiations is discussed. It was only after
writing to Commissioner G Verheugen that the doors were
open. In fact today we are represented on several
Chapters.
With regard to the current state of play of the
negotiations, similar to others we are not much informed.
I believe that the main worry regarding negotiations is
that the Malta government is just accepting the acquis
without any reservation. This position has not been based
on any rational impact studies. In fact one criticism the
government is presently facing is that it had commissioned
impact assessment reports and has not published them.
(6)
Our organisation has decided not to take any position
regarding Malta's application to join the EU. This is
because, locally, this issue has turned into a purely
political issue. However, all members are allowed to
choose any side they wish. We believe that if our
association takes sides on this issue, this will not help
the local consumers. We need the support of all consumers
to face the present and future challenges.
(7)
As referred above after Brussels' intervention, we are
represented on several chapters. In fact we are now
represented on the following MEUSAC committees - Chapters
1, 3, 4, 6, 7, 9, 14, 19, 22, and 23. I think that the
problems faced in all fields are rather similar. I had
already pointed to several of them. The first problem is
that government is only looking at the acquis as something
to be adopted as part of our legislation. Implementation
is not viewed seriously. The problems of implementation
and enforcement are complicated by several factors.
First, it is the lack of political will. Secondly, the
government is giving behind the scenes guarantees that it
will not forcefully implement the acquis. Thirdly, we do
not have capacity building. Fourthly, the supporting
structures simply do not exist. Fifthly, the present
policy of political discrimination is making people feel
that they are not stakeholders in this political project
of joining the EU.
(8)
To date, we have only been involved in giving our opinion.
I think that we can become more involved especially in
tailoring the acquis according to our needs. It is only
then that people feel that the EU is worthwhile and that
this project is not a neo-colonialist ploy by Brussels.
(9)
We believe that with regard to expertise and commitment we
are both prepared and have the capacity to contribute
more. The only problem that we face is the lack of
resources. We are a purely voluntary organisation.
Unless we get resources and start having full time staff,
we can only provide very limited support in this
direction.
(10)
I believe competition is the most difficult aspect to
implement. From a consumer point of view, the small size
of the local market would require huge political will to
implement the acquis. Apart from that it would bring both
economic hardship to many as most of our economic
structure is subsidised in one way or another (this
includes tourism which according to one report was
contributing, directly and indirectly to about 40% of our
GNP).
(11)
We try to maintain the best relations with other European
associations. However, due to our limited resources we
are handicapped both in maintaining these relationships
and in increasing our participation. Membership fees are
very high for us and we participate only when someone is
carrying all the financial burden. As I already
emphasised, we do no get any help from the government.
Even though our policy is a purely neutral one with regard
to EU membership, we have always participated in any fora
that would bring us more closely to other international
bodies which might contribute to the improvement of
conditions for the local consumers. We would gladly
participate in such a structure especially since it would
give us a direct line to the EU without the need to go
through governments. This is something that we had
emphasised in our letter to Commissioner G Verheugen.
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