The European Commission has opened infringement procedures against Malta over its failure to abolish the monopoly for the importation, storage and wholesale of petroleum products.
According to the Accession Treaty Malta had to ensure that petroleum products could be traded through a licensing system by the 1st January 2006. The Commission stated that no trading licenses have been issued and Enemalta Corporation is still the only company authorized to import petroleum for the inland fuel market. The liberalisation of the inland fuel market in Malta had been set for late 2005, however it was set back. The Malta Resources Authority had said that the liberalisation was estimated to occur by the end of March 2006.
In turn, last April a consultation paper on the liberalisation of the inland fuel market was launched to bring Malta compliant with obligations it undertook at the time of accession to the European Union. The consultation paper included proposals related to the liberalisation of the importation, storage and wholesaling of fuels.
Under Article 31 of the European Commission Treaty, Member States are obliged to adjust any state monopolies of a commercial character so as to ensure that no discrimination regarding the conditions under which goods are procured and marketed exists between nationals of Member States.
The letter of formal notice, which is the first stage of formal infringement procedures includes a request for information concerning the matter. Malta has two months to reply.
See also:
Public consultation on liberalisation of fuel launched
By MaltaMedia News
Apr 19, 2006, 18:59 CET
Liberalisation of fuel sector being discussed
By Giselle Borg Olivier
Apr 12, 2006, 11:53 CET
Fuel market liberalisation set back
By MaltaMedia News
Dec 28, 2005, 14:46 CET