Local gas supplier Easygas has filed a judicial protest against rival company Liquigas, requesting it to hand over €500,000 allegedly owed by way of refund on cylinders exchanged between the two companies. The protest was also filed against the Regulator, urging him to enforce the law.

Easygas said the non-payment by Liquigas of the €15 refund per cylinder was threatening to upset the local LPG market.

The issue revolves around a legal notice issued in 2016 whereby LPG suppliers were to exchange cylinders returned by the public, against a €15 refund, payable within seven days of the return of each cylinder.

Following talks with former Energy Minister Joe Mizzi, the companies had entered a temporary agreement whereby Easygas accepted payment of a partial deposit of €5 per cylinder, without prejudice to the outstanding €10 balance.

That agreement was to hold sway pending court action by Liquigas against the Regulator for Energy and Water Services and the relative minister.

However, a few weeks ago, Liquigas informed Easygas that it would no longer abide by that agreement.

Easygas said that for the last four years, Liquigas has actually defied the legal notice stipulating payment of the €15 deposit.

It said that since the legal notice, it returned over 50,000 cylinders to Liquigas giving rise to an outstanding balance of €500,000 which was set to increase for as long as the exchange of cylinders continued.

Easygas also lamented inaction by the authorities, pointing out that not only was the Regulator meant to ensure that all laws were respected and enforced, also impose fines and take remedial measures.

Failure to do so was seriously prejudicing Easygas whilst giving rise to a “flagrant” imbalance between the two rival suppliers.

Lawyers Karl Tanti and Kris Scicluna signed the protests.