NAO agrees to probe Magħtab incinerator contract: PN

Updated 10.45am with PL reaction

The National Audit Office has accepted a request to investigate the public call process for the waste incinerator project in Magħtab, the PN said on Thursday. 

The request was made by Opposition members in parliament’s Public Accounts Committee (PAC). 

In a statement on Thursday, the PN said that the NAO had informed the PAC chair that the request, Darren Carabott, Claudette Buttigieg, Graham Bencini, Rebekah Borg and Eve Borg Bonello last July, has been accepted.

The Labour Party said it welcomed any investigation and said the PN's former leader, MP Adrian Delia, has a massive conflict of interest in the project. 

The PN request followed concerns about whether the contract was awarded in accordance with good governance principles, amid allegations of irregularities in this multi-million-euro public project.

In October 2023, an international consortium that included a Maltese company won the tender with a €600 million offer.

However, one of the losing bidders filed an appeal, which was upheld by the Court, leading Wasteserv to revise its decision.

"The NAO has drafted terms of reference for the audit in line with the Opposition's request. These terms indicate that the investigation will analyse whether a proper evaluation was carried out, in accordance with principles of good governance, to assess a range of social, environmental, and governance-related factors," the PN noted.

"Among others, the investigation will examine the project's benefits, its environmental impact, and whether the interests of nearby residents were safeguarded.

"It will also evaluate the expected level of diligence and good governance by the Department of Contracts, government entities, ministries, Cabinet and any other relevant persons, particularly regarding accountability, transparency, and confidentiality in the tendering and monitoring process."

The party said it was significant that news of the investigation comes just days after Prime Minister Robert Abela’s "latest attempt to seize absolute control over more institutions and similar processes".

The Opposition recently brought over a motion in Parliament to repeal legal amendments that grant excessive powers to the prime minister over public procurement processes.

These changes, the PN believes, aim to give the prime minister greater control over appeals on contract awards, often benefiting individuals close to the Labour Party.

Labour: PN's hypocrisy knows no limits

In a statement, the Labour Party said it welcomed the NAO probe but accused of it having a major conflict of interest in the matter.

Its MP Adrian Delia is representing the prime objector to the winning bid, the party noted, and the PN was now "helping Delia delay the project in the hope of the most advantageous project falling through," it said. 

The PN was keen on damaging a major environmental project that the entire country would benefit from, and while it had criticised the decision to locate the incinerator in Magħtab it had failed to propose an alternative site, Labour said.