Issue link: https://maltatoday.uberflip.com/i/241771
5 News maltatoday, WEDNESDAY, 15 JANUARY 2014 Seven-storey hotel proposed at Ghadira JAMES DEBONO THE owner of the Costa del Sol restaurant is proposing a brand new 7-storey hotel on the site of an existing car park on the northwestern shore of Ghadira beach. The application, presented by Anthony Curmi in December, foresees the demolition of the existing Costa del Sol restaurant and the construction of a hotel, beach bar, an underground carpark and new residential units. Curmi is not the owner of the entire site because the car park on which most of the development is being proposed is governmentowned land. However, the application presented to MEPA states that the government has been notified of the application and has "granted consent to such a proposal". The application states that the development will require the felling of trees and would alter vehicular routes. The permit for the Costa del Sol restaurant was issued in 1979. In 1983 Curmi applied for the construction of a first floor and garages, but the permit was never issued. Curmi had presented an application to develop a 260 room fourstar hotel on the same site in 1994. But the Authority considered the application a non-starter. The original proposal also foresaw shifting the arterial road leading to Cirkewwa towards the west to increase the site area of the hotel. The case officer had pointed out that both the entire Costa del Sol beach club and the site of the proposed hotel belonged to the government. The North West Local Plan does not envision the development of a hotel on the site. In 1994, the nearby Mellieha Bay hotel had objected to the proposal because of the massive scale of the project. They also pointed out that they also have an interest in the land on which the proposed hotel is located, which is government property and that no public tender had been issued. The Planning Authority refused the application on 5 December 1997; which coincided with the two-year Labour administration. In its decision, the authority argued that the development was located outside development zones in an area where no hotel development is foreseen by the structure plan and the draft local plan issued in 1995. The case officer also pointed out that the project would involve the transfer of a considerable stretch of coastal area from public to private ownership and would detract the scenic value of the area. Subsequently, the developer appealed arguing that the development was set to take place on degraded land and that he had no intention to hinder public access to the beach. In 2000, the Planning Appeal's Board; composed of Simon Micallef Stafrace, Lino Bianco and Samuel Formosa took note of "procedural errors" in MEPA's processing of the case and ordered The application foresees the demolition of the existing Costa del Sol restaurant (inset) the authority to start processing the case again. In fact, the local plan approved in 2006 took note of the appeals board decision asking MEPA to reconsider the application. But plans for the area were put on hold MEPA pending decisions on Ten-T road project. One of the options considered by the previous government was the relocation of the arterial road from the foreshore to an inland location, converting the existing road into a pedestrian priority area. One of the proposals directly impinged on the car park area. The controversial proposal was shelved following protests by environmentalists and the owners of the Mellieha Holiday Complex. The scramble for Ghadira In the past decade MEPA has approved a number of developments on this part of Mellieha. These included the Sellum development – owned by Tumas Group – on the northeastern fringe of Mellieha and a major extension of the Sea Bank hotel, which was controversially approved in 2010. In 2007, MEPA also issued an outline permit for 30 new units at the Mellieha Holiday complex, popularly known as the Danish village. Six years later, MEPA still has not issued a full permit for this development. MEPA is also faced with a controversial applications for a beach concession for the Mellieha Holiday complex on a small stretch of garigue, sand and rocks situated between the first beach opposite the Seabank Hotel, and the larger beach opposite the bird sanctuary. Mellieha Bay Hotel, which is partly owned by Mizzi Associated Enterprises Ltd, had also presented an application to develop 98 new units including 47 bungalows on the pristine area surrounding Mellieha Bay Hotel in 2007. Banks reaping good profits, but keeping borrowing rates high CONTINUED FROM PAGE 1 Schembri said that while the European Central Bank sets the base rate for interest rates, neither the government nor the Central Bank can control the premiums charged by private commercial banks. "I believe corporate social responsibility demands that banks do not appear as being greedy. This information should be made public, for people to realise the difference between the profits being registered by banks, and the need for greater access to credit for SMEs." Bank lending to business firms in Malta shrunk "at a record pace", according to data supplied to the European Central Bank, declining at annual decline of 10.4% according to the latest monetary statistics. The trend confirms a general feeling amongst businesses and SMEs who have found access to credit particularly problematic in 2013. In its latest monetary statistics, the Central Bank remarked in September that loans to businesses continued to decrease, particularly in the construction sector and the accommodation and food service activities. Bank loans to the construction industry had increased by a massive €300 million in 2010, to €1.1 billion. Before 2010, the loans to the industry increased by an average of €50 million a year. Since 2010, the rate of bank loans to the construction industry has been decreasing steadily, down to €960 million. Schembri told MaltaToday that there was a general thirst for credit facilities. "Banks should reduce loan interest rates as an incentive for private economic growth. The take-up of the Bank of Valletta Jeremie Loan confirms this," Schembri said, referring to the European Investment Fund's Jeremie Initiative (Joint European Resources for Micro to Medium Enterprises). In 2013, 602 loan facilities were granted to 533 SMEs for the value of €48.6 million. Schembri also said that interest rates for deposit holders remained considerably low compared to high interest rates for loans. "One of the aims of the Central Bank's presentation in the parliamentary committee is to expose this difference. It's a question of striking a balance between both interest rates." Central Bank governor Josef Bonnici has called on Maltese banks to reduce their rates for loans to businesses, bringing them into line with their European counterparts. "Interest rates on loans to businesses are currently around two to three per cent higher in Malta as compared to Germany, the Netherlands, Finland, Austria and Luxembourg," he said. "A closer alignment of margins with those of our peers appears to be warranted. The recently-proposed Budget measure to conduct a review of bank charges to businesses makes sense. The benefits of having a robust banking sector would then be passed more fully to the rest of the economy," he said. The government has asked the Malta Financial Services Authority and the Malta Competition and Consumer Affairs Authority to examine the interest rate pass through and to put forward their recommendations. In reactions to his speech, Bank of Valletta chairman John Cassar White said the high margin between the rates for borrowers and depositors had to be sufficient to make up for credit losses, banking infrastructure, and to give shareholders a fair return. BOV recently reduced its busi- ! ! ! ness lending base rate by 15 basis points while raising rates payable on deposits with a maturity longer than one year, by up to 50 basis points. An HSBC spokesman said that it was important to maintain a proper balance in the banking system between deposits and loans. "The growth rate in Malta has been ! above average throughout the economic downturn." On its part, the Chamber of Commerce has welcomed a Budget proposal for a review of bank charges, but said that it also wants an assessment of the impact that lower interest margins are likely to have on banks, due to tighter EU rules on their capital requirements. ! !!!!!!!!!!!!!!!"#$$%&'()#*%+,#-.%/#-*0&()#*! "1&01,%.,#+,&221% "#"$%!&'('%)*+',-!*")."$++'!/)"!+$%-$!01223412567!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!! Measure 413.A1B Setting up of a Tourist Hub! The Xlokk Action Group Foundation announces that it is launching a call for proposals for Action 413.A1B under Axis 4 LEADER. This action will create and offer new packages both to local and foreign tourists who are interested in discovering the region in more depth while live a first-hand and hands-on experience. This hub will also serve as a point of promotion/sale for artisanal regional products. This Action forms part of the XAGF's Local Development strategy. For this call of applications, public funds with a total of !100,000 have been allocated. Only teh Local community, Business community, Catering establishments, Private entities, Local councils and National authorities proposing projects within XAGF's territory can apply for this action. Beneficiaries will be granted up to 80% financial assistance should the proposed investment be selected. This call will open on 24th January 2014 and will close on 28th February 2014, 12.00p.m. Applications must be submitted by hand to the offices of XAGF at 269, Main Street, Qormi by the 28th February, 2014 - 12.00p.m. More information may be obtained by phone on 2099 8008 or by email on info@galxlokk.com. Applications and guidance notes can also be downloaded from www.galxlokk.com Rural Development Programme for Malta 2007 – 2013 LEADER Programme The European Agricultural Fund for Rural Development: Europe Investing in Rural Areas Co-financing Rate: 80% European Union, 20% Government of Malta !