Speech of MDA President Sandro Chetcuti at AGM 2015
Saturday, February 6th, 2016
The following is the full text of the speech by MDA President Sandro Chetcuti at the Annual General Meeting on Thursday, 4 February, 2016, at Le Méridien St Julians Hotel & Spa:
I start today immediately on the theme we have for you today: ‘A strong economy; a healthy environment’ [Ekonomija soda, Ambjent b’saħħtu]. A strong economy because we truly believe because you can never have a healthy environment if the economy will be on the way down. It is very important that these two phrases which unfortunately we sometimes cause them to be in conflict with each other, the economy and the environment, or unfortunately we politicise them, we truly believe that they simply go hand in hand.
A strong economy, a sound environment
Saturday, February 6th, 2016
Sandro Chetcuti confirmed for two-year term as MDA president
Malta Developers Association President Sandro Chetcuti stressed the new guiding theme of the MDA, A strong economy, a sound environment, at the fifth annual general meeting of the association where he was confirmed as president for a two-year term.
He stressed that the two go hand in hand. “You can never have a good economy, if you neglect the environment,” he told a packed audience at Le Méridien St Julians Hotel. He had before him Prime Minister Joseph Muscat, Opposition Leader Simon Busuttil, several government ministers, MPs from both sides of the House and many senior government officials.
MDA ON NEW HOUSING AUTHORITY RENTAL SCHEME
The Malta Developers Association (MDA) refers to the new rental scheme launched by the Housing Authority through which property owners can rent their premises to the authority, which will then sublease it to tenants at subsidised rates.
The idea of using existing vacant building stock for rents to persons who qualify for social assistance in housing originated from one of the many suggestions made to Government before the Budget by the MDA, which had also suggested that a fixed rent for a predetermined period could be incentivised by a reduction in income tax from rents, as actually indicated in the announced scheme.
However, instead of allowing for a free rental market with tenants dealing directly with owners and then registering the lease when applying for subsidy, the scheme has become one where owners lease to the Housing Authority, which in turn sub-leases to the tenants.
This is in fact a major obstacle for the success of the scheme. Owners would normally seek to know who the prospective tenants are before they enter into a rental agreement and should not be obliged to accept anyone who obtains a sub-lease from the Housing Authority.
This would have avoided a lot of expensive bureaucracy and expenses on the part of the Authority, which will now be responsible for potential damages made to properties by its sub-lease holders.
With the announced scheme the property owners concerned will lose all control of their property and what happens to it, much as what used to happen in the past in the case of requisition orders.
It is a pity that such a good initiative has been smothered at its inception in this way rather than being allowed to flourish, something that would not have happened had the Housing Authority consulted interested stakeholders before finalising the scheme.