Issue link: https://maltatoday.uberflip.com/i/510672
maltatoday, WEDNESDAY, 13 MAY 2015 News Comparisons are odious, but sewage plants are necessary Better a university on outside-development zones than a sewage treatment plant? The Prime Minister's comparison needs qualifying, JAMES DEBONO says For a populist like Joseph Muscat, it is easy to compare the unsightly sewage treatment plant at Smart City with the glitz of a new brand new university and the rarefied air of an educational establishment. Muscat seems oblivious to the fact that before Malta built its three waste-water treatment treat- ment plants – in Anchor Bay, ras il-Hobz in Gozo, and at Ta' Barkat between Marsaskala and Xghajra – all of Malta's sewage was dumped at sea. Interviewed on one radio on Sunday, Muscat claimed that while the former government proposed an oDZ sewage plant, his govern- ment would give the people of the south a university. But the comparison is unfair: building over 90,000 square me- tres of land creates new environ- mental problems, including traffic, pollution and construction waste; the development of sewage treat- ment plant actually made the sea around us cleaner. Before the commissioning of Ta' Barkat, 20 million cubic metres a year of raw sewage – untreated faeces to illustrate the idea further – went down the drains and found their way in Wied Ghammieq, to be pumped out a few metres off the coast. The prevailing winds and cur- rents, and the intermittent mal- function of the pump, usually meant that the the waste discharge often ended up being carried along the Xghajra coast to Zonqor Point, past St Thomas Bay and down to Marsaxlokk. These problems have not been entirely eliminated, because of regular malfunctions to the plant, which is often clogged with farm- waste disposed illegally into the public drains. But despite these hitches, the three plants had a positive impact on the marine environment, mak- ing most of Malta's coastline safer to swim in. Malta now boasts of having the second cleanest bath- ing water in Europe, after Cyprus. Necessarily, they had to be lo- cated on the coastline – which is outside development zones – but they were beneficial to the envi- ronment, except for the fact that a valuable resource like treated sewage is still being dumped at sea instead of being recycled. This problem is now being cur- rently addressed through the in- stallation of technology aimed at further purification of water to make it better suited for use by farmers. Questionably, in 2007 the Na- tionalist government relocated the largest plant –originally en- visaged at Wied Ghammieq – to a pristine site at Ta' Barkat to ac- commodate the new Smart City. Ghammieq was already the site of a sewage outfall, so its rede- velopment as a sewage treatment plant would have had a lesser im- pact on the environment. Unlike Sadeen's 'American Uni- versity', the actual development of Smart City took place on a built- up and derelict industrial area which was included in develop- ment zones in 2006. But the project paved the way for two developments on pristine land: the new 643-metre dual carriageway between Smart City and Zabbar, yet to be approved by MEPA, and the Ta' Barkat plant, spread over 45,000 square metres, and processing 50,000 cubic me- tres of sewage every day. Doing this meant MEPA had to change local plans that had only been approved a year earlier, so that the sewage plant could be relocated and for the new road to pass on farmland. The changes were done without a Strategic Environment Impact Assessment – a requirement for all plans which have an impact on the environment. In 2009, the European Commission found no breach in the way the new local plans were approved without a SEA. Changing the goalposts again Eight years later MEPA has to change its approved policies again to accommodate the Amer- ican University, because the area at Zonqor Point is already desig- nated in the local plan as part of a proposed national park. Any change to this designation requires an amendment to the lo- cal plan, which earmarks l-Ghas- sa tal-Munxar in Marsaskala and the coastal stretch Zonqor Point and Blata l-Bajda (Xghajra), as a natural park. And yet, the office of MEPA chief executive officer Johann Buttigieg has deemed the site ear- marked for the campus 'accept- able'. on his part, Muscat says the natural park will be "complemen- tary" to the oDZ campus devel- opment. The developers, Sadeen Group, have also committed to part-finance the natural park. Effectively it turns out that the developers will be taking part of the proposed natural park, which already carries the seal of approv- al in a legally binding local plan. Despite designating the area as a natural park as far back as 2006, the PN government did not pro- ceed to approve a management plan to implement these policies. In fact, part of the site was pro- posed for the relocation of a holi- day caravan site in 2009, but the idea was scrapped after NGos objected. Nine years later under a Labour government the natural park is effectively being reduced in size to accommodate an oDZ cam- pus. Montebellos' Jerma still plagued by creditors Matthew Vella DEvELoPErS' appetites have been whetted by the proposed 'American University' at Zonqor Point for the redevelopment of the derelict and abandoned Jerma Palace Hotel in Marsaskala, but third-party claims will hamper attempts to turn the coastal property back into its multi- million potential. owners Peter and Jeffrey Monte- bello, of JPM Brothers, still have to settle outstanding debt claims with BAWAG Bank for a multi-million loan taken out with Gemxija Crown Holdings, for the construction of Mistra Heights after a €42 million loan was called in, back in 2010. And an accountant who demand- ed €3.5 million for his services to the Montebellos was granted a precau- tionary warrant in court to stop the sale of the Jerma Palace Hotel and the surrounding land. The accountant, Charles Sciriha, of Management Support Services, filed the claim against JefPet Limited, a company owned by Geoffrey and Peter Montebello, who purchased the Jerma Palace Hotel in 2007 from Libyan investment vehicle Lafico. Sciriha claims the amount rep- resents outstanding fees for con- sultancy services and representa- tion for the Montebellos in various negotiations, including the sale of the land previously occupied by the Jerma Palace Hotel. Sciriha was engaged in 2009 on a consultancy, entitling him to a per- centage of the sale proceeds and profits if two projects JPM Brothers had undertaken with Kuwaiti com- pany Gemxija Crown Limited, went ahead. Gemxija and JPM Bros owned the land in Xemxija that will now be de- veloped at Mistra ridge. Six parcels of land owned by the Montebellos, in total comprising 3,215 square metres and valued at €3.87 million, were scheduled to go on sale by court auction. Sciriha claims that once negotia- tions on the Jerma sale reached an advanced stage, the Montebellos terminated his contract, claiming that he had abandoned his respon- sibilities – an allegation Sciriha strongly denies. The contract between the parties stipulated that the consultancy fee was to be 5% of the hotel sale: the value of the land, the share trans- fer to the buyer, and the remaining profit. The Montebellos say the €3,525,000 demanded by Sciriha was incorrect, and that the fee would be paid upon the conclusion of the sale of property, the signing of a promise of sale agreement, or the sale of the defendant's shares in the company. None of those events had taken place. The land on which the Jerma Pal- ace Hotel was built originally be- longed to the Franciscan Conventu- als and Ivan Burridge, and was sold to San Tumas Holdings, which in turn sold it to the Libyan Lafico in 1976. Corinthia used to manage the hotel through a management agree- ment. The hotel was never developed since closing down in the 2000s and then sold to JPM Brothers. At some point in 2009, the Tumas and Gasan groups were seeking advice on transforming the Jerma Palace Hotel into a potential 'Portomaso of the south', when JPM Brothers were hoping for an urgent sale of the property to settle outstanding loans with banks and creditors. Peter and Jeffrey Montebello of JPM Bros, still have a pending appli- cation at MEPA for the demolition of the abandoned hotel and its sub- stitution with a five-star hotel and residential units. The application was passed to a case officer to assess the devel- opment proposal in terms of the Structure Plan and other estab- lished policies. Financial trouble forced the Mon- tebellos to search for buyers for the site, namely the late magnate George Fenech and Joe Gasan. The plan never materialised: a MEPA policy undertaken by former chair- man Austin Walker was that hotel development should not be turned into residential development, but kept as tourist accommodation and hotels. Gasan had then told MaltaTo- day that he was only consulted on the proposal. "All I know is that I was asked for my opinion but after I looked into the Jerma proposal I backed out because I didn't like the fact that the Montebello broth- ers were pressuring to hurry up the deal. They were asking for just a few weeks to conclude." Joseph Muscat wants to give the south a university on ODZ land, 'not a sewage plant' The proposed new five-star hotel and residential units never materialised