Meta l-istat jinkoraġixxi l-evażjoni tat-taxxa

F’indirizz li għamlet nhar it-Tnejn liċ-Chicago Council on Global Affairs, Janet Yellen, Segretarju għat-Teżor tal-Istati Uniti, ippreżentat l-argument favur taxxa minima applikabbli għall-korporazzjonijiet multinazzjonali fuq livell globali, irrispettivament minn fejn huma bbażati.  Proposta ta’ din ix-xorta, kif rappurtat min-New York Times, ikollha s-saħħa li żżomm lil dawn il-kumpaniji milli jċaqilqu l-profitti tagħħom minn post għall-ieħor biex jevadu l-ħlas tat-taxxi dovuti minnhom.

Meta jitnaqqsu it-taxxi biex tinġbed l-industrija u n-negozju, emfasizzat  Ms Yellen, hemm is-sogru li mmissu l-qiegħ: fejn ser tieqaf? Ma nistgħux nibqgħu sejrin hekk. Il-kompetittività mhiex biss kif kumpanija tmur fil-konfront ta’ kumpaniji oħra.  Hi ukoll il-mod li bih nassiguraw  li l-gvernijiet ikollhom sistemi ta’ ġbir ta’ taxxa li jkunu stabbli b’mod li jistgħu jiġbru biżżejjed fondi x’jinvestu f’servizzi publiċi u jkunu f’posizzjoni li jirreaġixxu fi żmien ta’ kriżi. Hu meħtieġ li ċ-ċittadini bejniethom jerfgħu b’mod ġust il-piż tal-finanzjament tal-gvern.”

Din il-materja hi diġa fuq l-agenda tal-Unjoni Ewropeja. Hi opposta b’qawwa minn Malta, il-Lussimburgu, l-Irlanda u pajjiżi oħrajn.  L-argument dwar l-armonizzazzjoni tat-tassazzjoni hu parti integrali mill-ġlieda kontra l-evażjoni tat-taxxa u l-ħasil tal-flus.

Hu ta’ sfortuna li Malta (u pajjiżi oħrajn) repetutament abbużat mis-sovranità tagħha fuq materji ta’ taxxa. Huwa riżultat ta’ dan l-abbuż repetut li l-proposta dwar l-armonizzazzjoni tat-taxxa qabdet l-art b’mod li issa hi appoġġata ukoll mill-Istati Uniti tal-Amerka.  Malta rmiet il-vantaġġ kompetittiv tagħha billi abbużat minnu repetutament. Il-ħsara lir-reputazzjoni tal-pajjiż hi għaldaqstant awto-gol mill-kbar.

Malta ma tistax tkun kredibbli fil-ġlieda kontra l-evażjoni tat-taxxa u l-ħasil tal-flus jekk ser tibqa’ tiffaċilita l-evażjoni tat-taxxa fuq skala internazzjonali.  Xi snin ilu il-Grupp tal-Ħodor fil-Parlament Ewropew kien ippubblika studju intitolat Toxic Tax deals: when BASF’s tax structure is more about style than substance. Dan ir-rapport kien svela kif tul is -snin, il-kumpanija Ġermaniża ġgant tal-kimika BASF kien irnexxielha tevita u tiffranka l-ħlas ta’ biljun euro f’taxxi fuq 4 snin billi użat lill-Malta għal dan l-iskop. Dan sar billi kumpanija sussidjarja ġiet reġistrata f’Malta u t-taxxi dovuti, għax l-azzjonisti mhux residenti f’Malta, ħadu lura 6 euros minn kull 7 li kellhom iħallsu f’taxxa!

Il-każ tal-Korporazzjoni Amerikana Apple fl-Irlanda, kif nafu, wassal għall-evażjoni ta’ 13-il biljun euro f’taxxi. L-iskandlu Luxleaks fil-Lussimburgu ukoll wera kif dan il-pajjiż żgħir fost il-fundaturi tal-Unjoni Ewropeja ukoll kien qed jinkoraġixxi l-evażjoni tat-taxxa.

Dawn huma ftit mill-eżempji. Bla dubju hemm bosta oħra li s’issa huma moħbija mill-iskrutinju pubbliku. Bħala riżultat ta’ dan kollu madwarna għaddejja evażjoni ta’ biljuni ta’ euro ta’ taxxi, kontinwament. Malta, l-Irlanda, il-Lussimburgu u xi pajjiżi oħra jiġbru parti żgħira mit-taxxi dovuti bħala ħlas talli jippermettu din l-evażjoni ta’ taxxa fuq skala pjuttost kbira.

F’Malta dan kollu kien possibli bħala riżultant tal-hekk imsejjaħ “kunsens nazzjonali” bejn il-PLPN dwar il-qasam finanzjarju. “Kunsens” li ilu fis-seħħ numru ta’ snin. Il-ħsara lir-reputazzjoni ta’ Malta li seħħet u għad qed isseħħ bħala riżultat ta’ dan kollu, għaldaqstant, ma jġorriex il-Partit Laburista waħdu. Il-Partit Nazzjonalista ukoll għandu resposabbiltà xi jġorr. Għalhekk fuq dawn il-materji in-Nazzjonalisti u l-Labour dejjem iħokku dahar xulxin.  

Sfortunatament l-evażjoni tat-taxxa u l-ħasil tal-flus huma ħafna drabi konnessi. Bosta drabi fejn issib waħda issib l-oħra ukoll.

It-triq il-quddiem m’għandiex ikollha impatt fuq is-sovranità fil-qasam tat-tassazzjoni kif determinat mit-trattati Ewropej permezz tal-ħtieġa tal-unanimità f’materji konnessi mat-taxxa. Imma hemm bżonn urġenti li l-qasam tal-politika fiskali ukoll jinbena fuq prinċipji etiċi b’saħħithom. U mhux dan biss. Għandu jkun assigurat darba għal dejjem li Malta ma tibqax tiddependi minn dħul ġej mill-evażjoni tat-taxxa.

Għax id-dipendenza tal-ekonomija Maltija fuq l-evażjoni tat-taxxa (u l-bejgħ tal-passaporti) hi ta’ inkwiet kbir għall-pajjiż. L-industrija tal-evażjoni tat-taxxa hi sors ta’ dħul kif ukoll ta’ impiegi li it-tnejn li huma inevitabilment jintilfu fi żmien qasir. Wasal iż-żmien li nippjanaw għal futur nadif, futur li mhux iktar dipendenti fuq l-evażjoni tat-taxxa.

Ippubblikat fuq Illum: il-Ħadd 11 t’April 2021

When the state encourages tax evasion

In a speech delivered on Monday to the Chicago Council on Global Affairs, Janet Yellen, US Treasury Secretary, made the case for a global minimum tax applicable to multinational corporations irrespective of where they locate their headquarters. Such a proposal, reported the New York Times, would prevent companies from shifting profits to evade taxes.

Lowering tax rates to attract business, emphasised Ms Yellen, is a race to the bottom which has to be addressed. Competitiveness is not just how companies fare against other companies. It is also about making sure that governments have stable tax systems that raise sufficient revenue to invest in essential public goods and respond to crisis, and that all citizens fairly share the burden of financing government.

This issue is already on the agenda of the EU facing fierce opposition from Malta, Luxembourg, Ireland as well as others. The issue of tax harmonisation is an integral part of the fight against tax evasion and money laundering.

It is unfortunate that Malta (and others) have been repeatedly abusing its tax sovereignty. It is as a result of such repeated abuse that the proposal for tax harmonisation is gaining ground such that it now has the support of the United States of America too. As a result of greed Malta has squandered a competitive advantage by abusing it repeatedly and continuously. The resulting reputational damage is hence an own goal.

Malta (and the other countries) cannot be credible in the declared fight against tax evasion and money laundering if it keeps facilitating tax avoidance on an international scale. Some years back the Green Group in the European Parliament had published a study entitled Toxic Tax deals: when BASF’s tax structure is more about style than substance. This report reveals that over the years, the German chemical giant BASF used Malta to avoid the payment of one billion euros in taxes. This was done using the “legal” possibility to have tax refunds of up to six sevenths of the tax due in such cases where shareholders are not resident in the Maltese islands. Tax avoidance is tax evasion sanctioned by the state.

The Apple Corporation case in Ireland as a result of which another €13 billion in taxes were avoided is another example of tax evasion sanctioned by the state of Ireland. Luxleaks had also revealed countless of other examples as a result of which Luxembourg too embarked on state encouraged tax-evasion.

These are just some examples of many: the proverbial tip of the iceberg. There are undoubtedly countless of others, currently below the radar of public scrutiny, as a result of which the payment of billions of euros in taxes are being continuously avoided. Malta, Ireland, Luxembourg and other countries receive a small part of the actual tax due as a result of facilitating this state encouraged tax evasion.

Locally this scam is the result of the PNPL “national consensus” on financial institutions and fiscal policy in force for a number of years in Malta. The responsibility for the resulting reputational damage is thus not one to be shouldered by the Labour Party on its own, it has help from the PN which has continuously buttressed this abusive behaviour.

Unfortunately, tax evasion and money-laundering are inseparable twins!

The way forward need not impact the tax sovereignty afforded by the EU treaties through the unanimity rule on taxation issues. However, it necessitates ensuring that policy on all fiscal issues is also founded on sound ethical principles.

In addition to ensuring that fiscal policy is not in any way unethical it is about time that Malta does not any more, in any way, depend on tax avoidance.

The dependence of Malta’s economy on tax avoidance (and the sale of citizenship) is very worrying. The tax avoidance industry is a source of both revenue to the state and employment opportunities, both of which will be lost in the not-so-distant future. It is about time that we start planning for a cleaner future, a future that is, which is not dependent on the tax avoidance industry!

Published in the Malta Independent on Sunday : 11 April 2021

Patt Ġdid Aħdar

Patt Ġdid Aħdar (Green New Deal) hi tweġiba għall-kriżijiet li qed tiffaċċja s-soċjetà tagħna. Għandu jkollu l-mira li jirrikonċila l-istil ta’ ħajjitna – kif ngħixu, kif nipproduċu u x’nikkunsmaw – mal-limiti prattiċi u fiżiċi tad-dinja madwarna.

Hu vjaġġ li jista’ jittrasforma l-ħajja f’kull settur b’riformi radikali li jorbtu katina flimkien. Bħala riżultat nistgħu ngħixu f’iktar armonija man-natura.

Matul is-sena d-dieħla għandna nisimgħu dwar in-nisġa ta’ strateġija għal Patt Ġdid Aħdar fl-Unjoni Ewropea. Ursula von der Leyen, għandha mira ambizzjuża: trid li jkollha pjan dwar dan il-Patt Ġdid Aħdar lest għad-diskussjoni fi żmien mitt jum minn meta l-Kummissjoni Ewropea l-Ġdida tibda tiffunzjona. Dan bla dubju jkollu effett fuq kull pajjiż membru tal-Unjoni. Nistennew għaldaqstant li matul is-sena jkollna l-proposti tal-Gvern Malti ukoll f’dan is-sens.

Din hi triq li l-Ħodor Ewropej ilhom imexxu l-quddiem għal bosta snin u mhix koinċidenza li din il-viżjoni tal-Kummissjoni Ewropea l-Ġdida qed tieħu sura hekk kif il-Grupp tal-Ħodor fil-Parlament Ewropew kiber sostanzjalment fid-daqs.

Il-Patt Ġdid Aħdar hu dwar ferm iktar mit-tibdil fil-klima. Huwa ukoll dwar il-mudell ekonomiku li hu l-kawża tad-degradazzjoni ambjentali madwarna.

Fil-kummenti tiegħu huwa u jagħlaq id-diskussjoni dwar il-Baġit, il-Prim Ministru, pereżempju, spjega li l-qalba għal karozzi tal-elettriku tfisser ferm iktar milli sempliċiment nimpurtaw il-karozzi u li niżviluppaw l-infrastruttura meħtieġa għalihom.

Tfisser ukoll t-tmiem tat-taxxi tar-reġistrazzjoni tal-karozzi kif ukoll it-taxxi li jinġabru mill-bejgħ tal-petrol u d-diżil li dwarhom l-istima għas-sena 2020 hi ta’ €157 miljun, skont l-estimi tal-Baġit li l-Ministru tal-Finanzi ppreżenta reċentement fil-Parlament. Ma’ din is-somma wieħed irid jikkunsidra ukoll it-taxxa li tinġabar mar-reġistrazzjoni tal-karozzi li għas-sena 2020 hi stmata li tlaħħaq €55 miljun kif ukoll il-liċenzji tat-triq li jitħallsu kull sena, huma stmati li jlaħħqu €85 miljun oħra fis-sena finanzjarja 2020. Dan ifisser li fis-sena 2020 €297 miljun mid-dħul tal-Gvern ser ikunu dipendenti fuq il-karozzi, prinċipalment fuq karozzi privati. Sa mill-2018 bħala inċentiv favur l-introduzzjoni ta’ karozzi bl-elettriku kienet introdotta eżenzjoni mit-taxxa tar-registrazzjoni. Dakinnhar ukoll kienet tħabbret esenzjoni ta’ ħames snin fuq il-liċenzja tat-triq għal dawn il-karozzi. L-impatt tal-elettrifikazzjoni, għaldaqstant imur lil hinn mill-klima. Hemm impatt ukoll fuq il-finanzi pubbliċi għax ikun meħtieġ identifikazzjoni ta’ sostitut għal dan in-nuqqas ta’ dħul.

Hu ċar li l-inkarigu li Frans Timmermans ingħata dwar il-Patt Ġdid Aħdar prinċipalment ser ikun iffukat dwar il-politika tal-klima u kif l-Unjoni Ewropea għandha tilħaq il-mira ta’ status carbon neutral sal-2050.

Imma hemm iktar minn hekk ukoll. Ursula von der Leyen fl-ittra tagħha tal-10 Settembru 2019 fejn tfisser l-oġġettivi li jridu jintlaħqu minn Timmermans tgħid li “għandna nħarsu b’mod iktar wiesa’, mill-enerġija li nipproduċu u nużaw, b’inkoraġġiment għal investiment mis-settur privat u appoġġ għat-teknoloġija nadifa, inkluż għat-trasport li nużaw, l-ikel li nikkunsmaw u l-ippakkeġġar li narmu.” Dan ser jinkudi ukoll responsabbiltà kemm għall-ekonomija ċirkulari kif ukoll għal dik assoċjat mal-qasam marittimu, magħrufa ukoll bħala l-ekonomija l-blu.

Ursula von der Leyen temfasizza ukoll il-mira dwar it-tnaqqis tal-emissjonijiet tal-karbonju li tinsisti illi għandhom jiżdiedu ta’ l-inqas sa’ tnaqqis ta’ 50% sas-sena 2030.

Tagħmel emfasi partikolari wkoll fuq l-impatti soċjali ta’ din il-bidla billi tiffoka fuq il-ħtieġa ta’ transizzjoni ġusta prinċipalment f’dawk ir-reġjuni li huma dipendenti fuq l-industrija, fuq il-faħam, inkella fuq l-industrija tal-enerġija. Ma’ dan huwa ppjanat kemm attenzjoni dwar il-ħarsien tal-bijodiversità kif ukoll il-mira li jitrazzan kull xorta ta’ tniġġis.

Punt interessanti fl-inkarigu ta’ von der Leyen lil Timmermans huwa emfasi li l-politika ta’ tassazzjoni hi meqjusa bħala għodda essenzjali li għandha tintuża biex jintlaħqu l-miri tal-politika dwar il-klima. Dan ifisser li ser ikun hemm pressjoni sostanzjali fuq il-Gvern Malti biex jikkura l-allerġija li għandu għat-tassazzjoni, b’mod partikolari t-tassazzjoni ambjentali, għodda effettiva u importanti ħafna fl-implimentazzjoni tal-politika ambjentali.

Bla dubju ser nistennew il-proposti ta’ Timmermans u d-dibattitu imqanqal li ser isegwi!

Ippubblikat fuq Illum : Il-Ħadd 27 ta’ Ottubru 2019

 

A Green New Deal

The Green New Deal is a comprehensive response to the crises we face. It aims to reconcile our lifestyles – the way we live, produce and consume – with the physical limits of our planet.

It is a transformational journey consisting of sweeping, interlinked reforms at all levels and all sectors, the end result being a more harmonious relationship with nature.

During the next year we should be hearing about the formulation of a strategy for an EU Green New Deal. Ursula von der Leyen, has an ambitious target: her aim is to have an EU blueprint for a Green New Deal ready for discussion within the first hundred days of the new EU Commission being in office. Without a shadow of doubt this will have an impact on all member states of the EU, so as a result we should expect that, during the year, the Maltese Government will also publish its own proposals on the matter.

The European Greens have been advocating such a roadmap for years, and it is certainly no coincidence that the new EU Commission’s vision comes so soon after the Green Group in the European Parliament increased substantially in size.

A Green New Deal is much more than dealing with climate change – it also signifies a focus on the economic model underpinning the accumulating environmental degradation.

In his concluding remarks in the budget debate, for example, the Prime Minister explained that the electrification of private transport signifies much more than importing electricity-driven cars, and the development of an infrastructure for charging points.

It also implies doing away with car registration taxes as well as forgoing taxation collected from the sale of fuel which, for the year 2020, is estimated at €157 million, according to the budgetary estimates which the Finance Minister recently tabled in Parliament. To this substantial sum one must add the projected vehicle registration tax, which is estimated at €55 million and the circulation licence taxes estimated at €85 million for the financial year 2020. This signifies that €297 million of government income projected for 2020 is dependent on cars, mostly private cars and indicates the potential financial impact of the electrification of private transport, which will undoubtedly be spread over a number of years.

In order to incentivise the take-up of electric cars, an exemption from registration taxes on electric cars has been in effect since 2018. Similarly, an exemption on the payment of circulation taxes for the first five years is currently applicable – hence the argument that the issue is much more than climate politics. Consequently, it is also about economics and finance as the government will need to find a substitute for these taxes

Clearly, Frans Timmermans’ brief indicates that his Green New Deal proposals will be focused towards climate change politics and the EU’s attainment of a carbon neutral status by 2050. It is, however substantially more than that. In fact, Ursula von der Leyen states in Timmermans’ mission letter dated 10 September 2019 that “ we must look at everything from how we use and produce energy, unlock private investment and support new clean technologies, all the way through to the transport we use, the food we eat and the packaging we throw away.” This will include responsibility for both the blue economy and the circular economy.

Subsequently, von der Leyen emphasises carbon emission reduction targets must be increased to at least 50 percent by 2030. She furthermore underlines the need for focusing on cushioning against social impacts through ensuring a just transition – in particular in the industrial, coal and energy intensive regions to which will be added a focus on protecting our biodiversity and a zero pollution ambition.

An interesting twist is von der Leyen’s instruction to Timmermans to ensure “that our tax policies enable us to deliver on our climate ambitions.” This signifying that there will be considerable pressure on the Maltese government to seek a cure for its allergy to taxation, particularly environmental taxation, which is an important and effective tool in the implementation of environmental policy.

We await Timmermans’ proposals and the interesting debate that will undoubtedly follow.

published on The Malta Independent on Sunday : 27 October 2019

Politika dwar il-klima fl-Unjoni Ewropea

 

Il-politika dwar il-klima hi materja ewlenija li qegħda taħt il-lenti fil-laqgħat li Ursula von der Leyen, innominata bħala President tal-Kummissjoni tal-Unjoni Ewropea, qed ikollha mal-gruppi politiċi diversi fil-Parlament Ewropew.

Kemm il-Grupp tas-Soċjalisti u Demokratiċi kif ukoll dak Liberali fil-Parlament Ewropew ippubblikaw lista ta’ talbiet li għamlu lil von der Leyen dwar dak li jriduha tikkommetti ruħha dwaru imma li s’issa evitat. Fuq quddiem nett f’dan kollu hemm impenn ikbar dwar li politika meħtieġa biex ikun indirizzati l-impatti tat-tibdil fil-klima.

Min-naħa l-oħra, l-Grupp tal-Ħodor fil-Parlament Ewropew ħareġ stqarrija li permezz tagħha ta’ l-ġenb lill-kandidatura ta’ von der Leyen u dan għax, fi kliem Ska Keller, ko-president tal-grupp: “ma smajna l-ebda proposta konkreta, la dwar is-saltna tad-dritt u l-anqas dwar il-klima. Ġejna eletti b’mandat ta’ bidla u m’aħniex naraw kif din il-bidla tista’ sseħħ b’din il-kandidata.”

Azzjoni dwar il-bidla fil-klima hi prijorità u din il-prijorità għandha tkun riflessa fl-ambizzjonijiet li l-kandidat għall-Presidenza tal-Kummissjoni tal-Unjoni Ewropea trid tmexxi ‘l-quddiem. Sfortunatament hu magħruf li Ursula von der Leyen qatt ma tat prijorità lill-azzjoni dwar il-bidla fil-klima tul iż-żmien kollu li ilha attiva fil-politika nazzjonali tal-Ġermanja!

Tul l-għaxar snin li ġejjin, l-emissjonijiet tal-gassijiet serra fuq livell globali jeħtieġ li jonqsu b’iktar min-nofs. Anke iktar mit-tnaqqis ta’ 55% kif talab il-Parlament Ewropew kif ukoll mill-40% tnaqqis li s’issa aċċettaw il-pajjiżi membri. Dan fl-istess ħin li l-emissjonijiet netti għandhom jilħqu żero sa mhux iktar tard mill- 2050. Il-miri tal-ftehim ta’ Pariġi illum jiuffurmaw parti integrali mill-liġijiet tal-Unjoni Ewropea imma għad hemm ħafna ħidma x’issir biex dawn il-miri jitwettqu fir-realtà.

Soluzzjonijiet jeżistu biex ikunu ikunu indirizzati u trasformati l-enerġija, t-trasport, l-agrikultura u l-proċessi industrijali. Imma jeħtieġ li nkunu kapaċi li naħdmu flimkien biex l-impenn li jitwettaq il-Ftehim ta’ Pariġi mhux biss ikun onorat, imma li nkunu kapaċi nħajru oħrajn jagħmlu bħalna.

Minkejja l-wegħdiet li saru mill-pajjiżi differenti dwar emissjonijiet bħala parti mill-ftehim ta’ Pariġi xorta waħda jidher li ż-żieda fit-temperatura, sa tmiem is-seklu kurrenti, ser tkun ta’ madwar tlett gradi Celsius (3°C) fuq it-temperatura pre-industrijali. Dan meta nafu li iktar min-nofs din iż-żieda jkollha effetti katastrofiċi.

Diġà bdejna nduqu l-konsegwenzi bis-sħana tilħaq livelli ġodda, estremi ta’ għargħar u nuqqas ta’ xita u nirien li qed jagħmlu ħsara mhux żgħira f’kull rokna tad-dinja. L-affarijiet sejrin għall-agħar. Imma għad baqa’ ċans, kemm-il darba niċċaqalqu bla iktar dewmien.

Il-Gvernijiet m’humiex jieħdu l-inizjattiva. Mhux qed jindirizzaw dak li qed jirriżulta mir-riċerka xjentifika. Sfortunatament, uħud mill-Gvernijiet (u l-partiti politiċi li jiffurmawhom) jaraw kull azzjoni meħtieġa biex tkun indirizzata l-bidla fil-klima bħala ta’ xkiel għall-industrija u għall-ekonomija.

Sa minn meta saru tibdiliet fit-trattati Ewropej fl-1987, l-Unjoni Ewropea bdiet tieħu deċiżjonijiet dwar l-oqsma ambjentali b’maġġoranza kkwalifikata. Dan wassal biex ġiet sviluppata leġislazzjoni ambjentali li tiffaċilita politika Ewropea li tirrispondi għal dak kollu meħtieġ mit-tibdil fil-klima. Tul dan iż-żmien kollu, l-Parlament Ewropew kien dejjem fuq quddiem jinsisti dwar miri ċari u ambizzjużi fil-ġlieda kontra l-bidla fil-klima. Hu meħtieġ li anke l-Kummissjoni Ewropea timxi fuq dawn il-passi.

Hu għalhekk li hu meħtieġ li l-President approvat għall-Kummissjoni Ewropea tikkunsidra l-azzjoni dwar il-bidla fil-klima bħala prijorità u li tkun lesta biex il-Kummissjoni immexxija minnha taġixxi b’dan il-mod.

Ippubblikat fuq Illum : il-Ħadd 14 ta’ Lulju 2019

Climate Change politics at the EU

The politics of climate change is a main topic of discussion at the meetings which Ursula von der Leyen, European Commission President-designate, is currently participating in with the various political groups in the EU Parliament.

The Progressive Alliance of Socialists and Democrats Group, as well as the Liberal Group, have issued written demands to von der Leyen detailing the various policy commitments which they expect but not yet see. The politics of climate change is at the forefront of the requests made.

The Greens, on the other hand, have issued a statement rejecting von der Leyen’s candidacy, as in the words of Ska Keller, co-president of the group: “We did not hear any concrete proposal, be it on the rule of law or on climate. We have been elected on a mandate for change and we don’t see how change will be possible with this candidate.”

Action on climate change is a priority and this priority must be reflected in the ambitions which the European Commission President-designate puts forward. Unfortunately, it is known that Ursula von der Leyen has never prioritised climate action during her long career in German National politics!

Over the next 10 years, global greenhouse gas (GHG) emissions need to be more than halved (beyond the 55% reduction as requested by the European Parliament and surely beyond the 40% committed to by the EU Member States), while net GHG emissions must reach zero by 2050 at the latest. Attaining the commitments of the Paris Agreement is now enshrined in EU climate and energy laws but the European Union must do much more to make it a reality.

Solutions exist for transforming energy, transport, agriculture and industrial production systems. We must act together to fulfil our commitments to the Paris Agreement and beyond, and encourage others to do so too.

Notwithstanding the national pledges made as part of the Paris Agreement, we are on course for warming of about 3°C above pre-industrial temperatures by 2100. It is known that any increase exceeding 1.5°C will be catastrophic.

We are already at the receiving end, with global temperatures warming-up at unprecedented rates, floods, droughts and fires which are impacting our communities all over the world. It is getting worse. Yet it is not too late, provided we act without further delay.

Governments are not showing leadership in tackling climate change. They are not addressing the gap between the expectations of the citizens and the analysis of the scientists on one hand, and their decisions on the other.

Unfortunately, some governments, and the political parties which form them, see climate change policies only as an obstacle for industry and the economy.

Since the Treaty change of 1987, the European Union has decided legislation in the field of the environment on the basis of a qualified majority voting. This has allowed for the development of a comprehensive set of new environmental legislation and facilitated a concerted EU policy response towards climate change.

The EU Parliament has, most of the time, been the most progressive EU institution, demanding more ambitious targets and measures in the fight against climate change. It is about time that the EU Commission follows suit.

We need a European Commission President who considers climate change action as a priority and acts accordingly.

published in The Malta Independent on Sunday : 14 July 2019

Pesticides found in hair samples

Abstract and main results of report commissioned by the                                             

European Greens-European Free Alliance in the European Parliament

 

Pesticides are ubiquitous in our environment and food. Many pesticides are reported to induce health issues including cancer, neurological pathologies and endocrine disruption. The Greens/EFA Group set up a large-scale campaign to measure human exposure for a selection of 30 pesticides, reported as endocrine disruptors, among EU population.

Hair analysis has been chosen to investigate pesticides exposure because hair is a unique and reliable biomonitoring tool to investigate long term chronic exposure. Moreover, xenobiotics that are present in blood are incorporated into the hair structure during hair synthesis in the scalp and incorporated substances have increased stability. As hair grows about 1 cm per month, the analysis of each centimetre informs about average exposure over a one-month period. In addition, hairs are easy to sample and to ship to the laboratory.

148 hair samples were collected from 6 EU countries: Germany, Denmark, United Kingdom (Wales), Italy, France and Belgium between end of July and October 2018. Samples were analysed to search for a selection of 30 pesticides including insecticides, fungicides and herbicides.

Main results of the study indicate:

15 pesticides out of 30 were detected at least one time
 60.1% of analysed samples contain at least one pesticide residue
 23.6% of analysed samples contain at least two pesticide residues
 Most occurring pesticides are:
 fipronil (insecticide) found in 29.7% of samples,
 propiconazole (fungicide) found in 18.9% of samples,
 permethrine (insecticide) found in 18.9% of samples,
 chlorpyriphos-ethyl (insecticide) found in 10.1% of samples
 Highest proportion of sample with pesticide residues (84.6%) was found for the United      Kingdom (Wales)
 Lowest proportion of sample with pesticide residues (44.1%) was found for Germany
 Highest number of different pesticide residues (4) was found for 4 samples from     Belgium
 Highest concentration of pesticide residues (3941.9 pg/mg) was found for one sample       from France
Populations from the 6 countries studied are exposed to variable number and quantity     of pesticides depending on their country and their age category.

full report accessible here

Il-baġit : lil hinn mill-€s

Id-diska ta’ Liza Minelli “Money makes the world go round” donnha li hi t-tema li madwarha hu minsuġ id-diskors tal-Baġit li nqara mill-Ministru tal-Finanzi nhar it-Tnejn fil-Parlament. Il-messaġġ ċar li wasal fi djarna kien li l-flus u l-“ġid” li hawn jagħmlu possibli li tirċievi ċekk id-dar, kemm jekk għandek bżonnu kif ukoll jekk m’għandekx.

F’dawn iż-żmienijiet il-kelma taxxa donna saret kelma moqżieża fid-dizzjunarju politiku: għalhekk ġie suġġerit li n-nuqqas ta’ taxxi ġodda, inkella ta’ żieda fit-taxxi eżistenti kien element pożittiv fid-diskors tal-Onorevoli Ministru. Ċekkijiet għal kważi kulħadd. L-ewwel għal dawk li għandhom il-ħtieġa u mbagħad għall-parti l-kbira tal-bqija. Dak li kien jingħad li “jittieħed mingħand kull wieħed skont ma jiflaħ, u jingħata lil kulħadd skont il-ħtiġijiet tiegħu” donnu li ma għandu l-ebda piz illum meta nippruvaw nifhmu l-filosofija politika li fuqha hu mfassal dan il-baġit ta’ Gvern “Laburista”.

It-taxxa li tinġabar f’Malta donnha li hi utli biss meta tinġabar mingħand kumpaniji barranin li fil-waqt li joperaw barra mit-teritorju Malti jkollhom uffiċċju żgħir jew sempliċi letterbox f’Malta. Dan biex ikunu jistgħu jibbenefikaw minn rati ta’ taxxa sostanzjalment iktar baxxi minn dawk li jkunu soġġetti għalihom fil-pajjiżi fejn joperaw.

Diversi kumpaniji fis-settur tas-servizzi finanzjarji ukoll jibbenefikaw minn rati ta’ taxxa li bihom jiffrankaw sostanzjalment minn dak li jħallsu band’oħra.

Il-Gvern mingħalih li għamel opra. Fir-realtá qed jibgħat messaġġ li Malta tilqa’ li min irid jevadi t-taxxa f’pajjiżu, kemm-il darba jkun lest li jħalli xi ħaġa minn dak li jiffranka fil-kaxxa ta’ Malta!

F’dan il-kuntest l-istudju intitolat Toxic Tax Deals. When BASF’s Tax Structure is more about style than substance. ippubblikat mill-Grupp tal-Ħodor fil-Parlament Ewropew madwar sentejn ilu jispjega b’mod ċar x’inhu jiġri. F’dan l-istudju ġie konkluż li l-BASF, ġgant Ġermaniz fil-qasam tal-industrija kimika ibbazat f’Ludwigshafen, jagħmel użu minn differenzi fis-sitemi nazzjonali tat-taxxa biex jevita milli jħallas it-taxxi dovuti. Huwa stmat li, tul il-ħames snin bejn l-2010 u l-2014, BASF evitaw madwar biljun euro fi ħlas ta’ taxxi. Minflok ħallsu ammonti ferm inqas, b’ħajr lill-gvernijiet Maltin (blu u ħomor) talli għinhom jevitaw dawn it-taxxi kollha.

F’dan il-kuntest id-dikjarazzjoni tal-Ministru tal-Finanzi kontra l-evażjoni tat-taxxa u l-ħasil tal-flus jidhru dak li fil-fatt huma: eżerċizzju ta’ retorika. Inżommu f’moħħna ukoll il-kaz tal-Panama Papers, li kien stabilixxa l-fatt li membru tal-Kabinett u ċ-Chief of Staff fl-uffiċċju tal-Prim Ministru kellhom kumpaniji fil-Panama, pajjiż rinomat għall-evażjoni tat-taxxa, u dwar dan ma kienu ittieħdu l-ebda passi kontra tagħhom. Fid-dawl ta’ dan, id-dikjarazzjoni ta’ “qdusija” da parti tal-Onorevoli Ministru hi nieqsa minn kull kredibilitá.

Il-proposti tal-Baġit isaħħu ix-xibka soċjali u dan billi jgħinu finanzjarjament lill-vulnerabbli. Imma l-kwalitá tal-ħajja ma titkejjilx biss f’termini ta’ flus. Fil-Baġit hemm bosta miżuri ambjentali nofs leħja.

Il-ħarsien tal-karozzi huwa iktar importanti mill-kwalitá tal-ħajja għalina. Il-Gvern jikkunsidra li hu iktar importanti li jwessa’ t-toroq biex jiffaċilita ċ-ċaqlieq tal-karozzi u b’hekk jipprova jnaqqas il-konġestjoni. Loġika rasha l-isfel. Il-mira kellha tkun it-tnaqqis tal-karozzi mit-toroq tagħna għax dik hi l-problema. It-twessiegħ tat-toroq u t-titjib tal-infrastruttura bil-kostruzzjoni ta’ flyovers lil hawn u lil hemm iwassal biss għaż-żieda ta’ karozzi fit-toroq tagħna u b’hekk tikber il-problema tal-konġestjoni. L-unika soluzzjoni hi li jkun inkoraġġit bis-serjetá t-trasport alternattiv. Il-Gvern qiegħed fl-istess nifs jinkoraġixxi kemm lit-trasport alternattiv kif ukoll iż-żieda fenomenali ta’ karozzi: dan ifisser li għadu ma tgħallem xejn. Wara kollox huwa l-pjan nazzjonali tat-trasport imfassal minn dan il-Gvern stess li jpoġġi quddiemna l-mira tat-tnaqqis tal-karozzi mit-toroq tagħna. Imma jidher li l-Gvern qed iwarrab il-pjani tiegħu stess.

L-Gvern hu iktar interessat mill-ħarsien tal-karozzi milli mill-ħarsien tal-kwalitá tal-ħajja tagħna lkoll.

Dan hu biss eżempu wieħed. Hemm bosta oħrajn.

Il-Baġit qed jitlef l-oportunitá li jagħmel differenza f’numru ta’ oqsma fejn li troxx il-flus mhux biżżejjed.

 

Ippubblikat fuq Illum: Il-Ħadd 28 t’Ottubru 2018

Sven Giegold tkellem dwar il-preokkupazzjoni tagħna lkoll

Il-Membru Parlamentari Ewropew Sven Giegold, mill-Grupp tal-Ħodor, Ġermaniż,  ġie Malta ippreokkupat dwar is-saltna tad-dritt f’Malta. B’dak li sema’ kemm dam hawn spiċċa ippreokkupa ruħu ferm iktar.

Fuq il-blog tiegħu stess, fil-fatt jgħid hekk: 

“The delegation of the Parliament came seriously concerned over the rule of law in Malta and left even more worried. We learnt a great deal, gathered important evidence and were promised even more.

The police and the attorney general have demonstrated an unwillingness to investigate and failure to prosecute corruption and money laundering.”

X’qalulhom mela, biex tawhom din l-impressjoni ħażina.

Sven Giegold ikompli jgħid :

“Publically available information and even reports by Malta’s anti-money laundering body FIAU have repeatedly not triggered investigations. Individuals and financial institutions involved were not searched, evidence not gathered. This protected high government officials such as prime minister’s chief of staff Keith Schembri and minister Konrad Mizzi from prosecution as well as financial instiutions such as Pilatus Bank and Nexia BT.”

Bħalna lkoll Sven Giegold ifforma l-opinjoni li r-rapporti tal-FIAU ġew injorati. Jidher li wasal għall- konklużjoni li ma saret l-ebda investigazzjoni dwar il-kontenut ta’ dawn ir-rapporti. Għax kieku saret investigazzjoni u din waslet għall-konklużjoni li ma kien hemm xejn minn dak li jintqal fir-rapporti, nimmaġina li l-Kummissarju tal-Pulizija kien jgħidlhom lid-delegazzjoni tal-Parlament Ewropew li “investiga u ma sab xejn”.

Imma ma jidhirx li intqal dan il-kliem għax il-konklużjoni ta’ Giegold, liema konklużjoni taqbel magħha Ana Gomes is-Soċjalista Portugiża li qed tmexxi d-delegazzjoni, hi ċara daqs il-kristall :

“Publically available information and even reports by Malta’s anti-money laundering body FIAU have repeatedly not triggered investigations.”

Din hi l-preokkupazzjoni tagħna lkoll: li l-istituzzjonijiet qegħdin hemm għalxejn.

Tax avoidance: does Malta play a role?

On 30 August, the European Union, through Competition Commissioner Margrethe Vestager, ordered Apple Corporation to pay €13 billion in unpaid taxes to the Irish state.  The EU ruling considered that the special tax treatment of Apple, whose tax bill was substantially reduced, amounted to unlawful state aid.

In November 2014, through Luxleaks, we learnt of tax avoidance schemes in Luxembourg and elsewhere, as a result of which billions of euros in tax were being avoided by multinational corporations.

The EU has subsequently launched various investigations into the favourable tax treatment which Luxembourg, The Netherlands and Belgium have granted to various multinationals.

As a contribution to the on-going debate on tax avoidance in the EU, the Green Group in the European Parliament has recently published a study on the tax avoidance strategies adopted by the industrial giant BASF, the largest chemical company in the world.

Founded in 1865, BASF has its headquarters in Ludwigshafen, Germany, from where it manages a €70.4 billion turnover with production sites in 80 countries.

Malta features in this report together with Belgium, the Netherlands and Switzerland.

Over the years, BASF has used mismatches in national tax systems in order to avoid paying its taxes. It is estimated that, over a five-year period spanning 2010 to 2014, BASF avoided the payment of close to one billion euros in taxes.

Chapter VIII of the report, published by the Green Group in the European Parliament, deals with Malta. It refers to the existence of a BASF subsidiary in Malta which held €5.07 billion in assets. These assets where transferred to a new German subsidiary, BASF Finance Malta GMBH, which was managed from an office in St Julian’s, thereby creating the eligibility for preferential tax treatment which could amount to as much as a refund of six-sevenths of all tax payable in Malta.

All this is a clearly planned movement of profits through generous loopholes as a way of avoiding most of, if not all, of the taxation which would be due under normal circumstances.

This abuse of the differences in national tax systems needs to be addressed urgently. As rightly stated by Malta’s Finance Minister Edward Scicluna at a Luxembourg ECOFIN meeting last September, the way forward lies in coordination at an EU level and not in the harmonisation of the national taxation systems, as some EU member states are insisting.

Tax competition has a role to play as an important tool that small and peripheral countries in the EU have at their disposal. No one should expect these countries to throw away the small advantage they have, but it should be clear that this should be used responsibly and in no way should it buttress the urge of multinationals to circumvent the national taxation system where their profits are generated.

Profits should be taxed where they are actually generated and not elsewhere. The EU needs to end – once and for all – not only tax evasion but also tax avoidance resulting from loopholes in national tax rules. For this to happen, the member states must not only be vigilant, but must also refrain from encouraging tax avoidance through the creation of more loopholes.

Tackling tax evasion and tax avoidance seriously will mean that taxes are paid where they are due, thereby funding the services and infrastructure that is required in a modern, civilised society. This can only happen if more companies pay their dues. Tax competition need not be a race to the bottom.

published in The Malta Independent on Sunday – 4 December 2016