The Gozo fast ferry service is not financially feasible and the government must intervene to keep it afloat, according to the two companies that operate the service.

"After a year of experience in operating the service and after trying to make it feasible for many months, we have not succeeded. The service is not financially feasible. Very simple. And someone must intervene," Virtu Ferries CEO Henri Saliba told a Gozo parliamentary committee on Monday.

"We're confident that the service could create a multiplier effect in Gozo and grow the Gozitan economy. We want to do that and we're striving to get there, but the service we are operating  is not feasible."

Gozo Fast Ferry director Mark Bianchi addressed the committee shortly afterwards and confirmed that his company shares Virtu's concerns.

Earlier this month, the operators had already hinted that they were not doing as well as they hopedand that they have not yet reached their financial goals.

Saliba said the number of passengers was not enough to generate enough revenue to keep up with the operational costs, especially fuel costs.

"We are investing in the service and we want to keep growing because there is a lot of potential. We want to see more Maltese people dining in Gozo and more Gozitans going to Valletta in the evenings, and more tourists. But we're also trying to strike a balance between retaining the service and not losing money," he said.

Both operators said they want to offer the best service to Gozitan workers and will continue to tweek timetables as conveniently as possible.

The issue of timetables has often been a bone of contention between the operators and Gozitan workers over the past year.

"This service has been a game-changer. It changed many Gozitans' lives for the better, but we cannot operate a 5-star service without 5-star revenue," Bianchi said, adding that they have done everything they could to keep the Gozo fares low and share a ticket system that enables Gozitans to buy a return ticket before boarding one company's ferry and be able to return on the other company's ferry.

Saliba said the operators are already in talks with the Government and would present their audited figures in the coming days and decide "where to take it from there".

The fast ferry service started operating in June last year and so far it has transported half a million passengers between the islands. Almost 29% of them were Gozitans.

Gozo Minister Clint Camilleri, who was present for the meeting as part of the committee, said he is hopeful that the post-pandemic tourist numbers rise to increase feasibility, but he also argued that commercial viability should not be the only factor determining whether an essential service should continue.

"Gozo is a double insulated island, and a service like this is essential. Let's keep discussing and we will find a solution. If we keep cooperating, we can overcome these challenges," he urged the operators.

Gozo Tourism Association CEO Joe Muscat followed, arguing that while the service was exceptionally helpful for the Gozitan economy and workers' wellbeing, he was concerned that the number of trips had been substantially reduced from last year.

"When the service kicked off last June, the companies collectively operated 24 trips from Gozo and 22 trips from Malta daily. This June, they are only operating ten trips each way," he said.

"If we're not careful, this could be the beginning of the end of the service."

He also said tourist activity in Gozo could be increased by offering cruise liner passengers packages for evening trips to Gozo via the fast ferries.

He said that without a fast ferry and without it ever being advertised, by 2019, 4% of cruise passengers were making their way to Gozo each year. With better advertising and package offers, the tourist market could increase considerably.

Last week during another meeting of the same committee, Gozo Business Chamber CEO Daniel Borg complained that the fast ferry services had changed from what was once an extremely competitive environment to an "unacceptable" system of monopoly.

On Monday, Saliba said he hoped that comment was a 'mistake' and that the problem of ferry departure times was the least of the concerns, and can be easily solved.