Contractors object to new tipping fees

The Federation of Building and Civil Engineering Contractors has warned about the possible consequences of raising the fees for tipping at landfills.

It was reacting to a report that WasteServ Malta Ltd (a government-owned company) had decided to practically double the tipping fees for construction and demolition waste with immediate effect.

WasteServ officials have apparently intimated that these fees would have to go up to Lm1.18 per tonne, over three times the present rate of 39 cents.

FOBC said it was never consulted about the matter.

The federation asked whether WasteServ had considered the implications for existing contracts of such a sudden, unplanned increase.

"Who will bear the increase? The tight margins within which contractors operate mean that they cannot absorb such a sudden massive increase. This is a development cost and contractors are only giving a service and should not therefore bear this extra financial burden," it said yesterday.

FOBC called on WasteServ to either give at least six months notice of any required increase or refund the increase in the case of existing signed contracts.

"Construction is a service industry and it cannot absorb further government-induced costs," it said.