Alternattiva Demokratika has heavily criticised Labour's proposal to slash the surcharge by 50%. Dr. Harry Vassallo stated that this proposal is economically unsustainable unless energy production achieves superior efficiency levels and unless whoever is in government gets serious about electricity theft which is still very substantial. It is utterly foolish for Dr. Sant to make such promises without stating how they will be financed.

Further he said that this proposal, which Dr. Vassallo ironically calls 'an expensive electoral trick' is environmentally irresponsible, since it tries to create the impression there are no consequences, apart from economic, of energy consumption. The message Labour is sending out is one that people should not be careful any longer.

AD party spokesperson on the Economy and Finance, Edward Fenech said that "it is a fact that the electricity surcharge has placed a heavy burden on many families. It is also inescapable that the steep rise in the price of oil made the introduction of a surcharge, or a rise in electricity rates, inevitable. In fact even Dr. Sant acknowledges that a surcharge is required because he has not proposed to abolish it completely. There should be universal agreement that the price of electricity has to reflect the price of oil on international markets. While we disagree with Dr. Sant's rash proposal of a 50% discount on the surcharge we also believe that government has not shown sufficient sensitivity of the impact this surcharge is having on people's spending power. Ironically this government is using "calculator politics" to deal with the surcharge."

Mr. Fenech added that "in our budget proposals we indicated the way forward. We proposed that the surcharge mechanism should be changed so that there are different rates of surcharge that "kick-in" according to consumption levels on a per capita basis. Therefore if a household is making a serious effort to save on energy, the rate of surcharge applicable on that household will be a lower one than the present rate. However above average consumption levels should incur a higher level of surcharge. At present the surcharge mechanism makes no distinction between efficient users and inefficient users. Our proposal is designed to be revenue neutral and therefore will not cost the country anything. Dr. Sant's proposal will cost the taxpayer Lm 25 million each year. It is ironic that this proposal costs the same amount as another irresponsible proposal made before the election in 1998 of having a 2-month tax holiday."

Dr. Harry Vassallo concluded by saying that, "renewable energy can replace 12% of the energy now generated from fossil fuels in Malta but we still do not have the means to tap into this resource and our energy bills are about to be inflated by fines for excess CO2 production. The manner in which the two other political parties have dealt with the electricity generation and its cost is typical of the kind of political bickering that leaves the population with increasing bills and no serious alternatives. The Nationalist government has introduced the surcharge; however there has been no serious commitment in suppressing electricity theft that could significantly lower the surcharge. The government continues to neglect our alternative energy potential. On the other hand Labour is making economically unsustainable and environmentally destructive proposals in an attempt to win votes. AD criticizes both other parties, but proposes alternatives that are economically manageable and environmentally responsible. This is the kind of political behaviour the Maltese can expect of us when we are representing them in parliament."

Ralph Cassar, spokesperson on energy and the environment said that AD has already published its proposals for greater energy efficiency and renewable energy production. He said that it is clear that the price of energy from fossil fuels will continue to increase and no government can guarantee that it can control the price of energy generated from such sources.