The GRTU in a statement today that it was disappointed with the announcement made by the Ministry for Education and Employment last Saturday, on the complete abandonment of the Smart Card Scheme.

“The Ministry’s concern with the Scheme is legitimate as GRTU has also reviewed the report of the National Audit Office and it indeed confirmed the problems we were well aware of. GRTU in fact had outlined a number of shortcomings and insisted that reviews were necessary but deciding to do away with the system as a whole defeats the purpose of the grant itself,” the Union said.

“GRTU represents retailers, partners in the smart card scheme, and our concerns have been made public throughout the period the scheme was operational up till last year’s Budget proposals where we argued against the unfair percentage fee charged on all transactions by the company administrating it as opposed to a flat rate transaction fee. Notwithstanding this, GRTU was in no way consulted on the foreseen abolition of the Scheme,” it said.

“We feel that the new system, as communicated last Saturday, can only increase instances of abuse. It lacks any kind of dissuasion or incentive for students to invest all the grant in items targeted at enhancing the students’ education.”

The GRTU added that it had insisted on the creation of a simple updatable database of items which a student would be allowed to purchase in relation to the programme of studies s/he would be following, similar to the list of books required. “Unfortunately students might now be more inclined to spend the least possible amount of funds on their educational needs.”

“Among other things, the National Audit Office outlined that students spent part of their funds mostly on sportswear and fitness equipment, mobile top-ups, and other non-educational items but it also explained how the system could be improved including a recommendation to re-issue the tender.

“We will therefore be moving from a situation where we know how much money is being spent and on what to a situation where everything is a mystery. The new system will not keep track on what students spend the money on as so far no real safeguards addressing this have been mentioned. We feel tax payer’s money deserve to be better accounted for,” the Union said.

“In addition the new system will also continue to aggravate the situation we have with the evasion of Eco-Contribution when purchases are made online.”

The GRTU pointed out that it is in no way against buying online as long as there is a level playing field where everyone competes fairly. Most students at some point or another buy laptops and other electronic devices such as notebooks, that are subject to Eco-Tax, a Maltese tax which is so far only enforced when purchases are made locally.

GRTU concluded that it will be calling on Mininster Bartolo to meet with urgency to discuss the issue. “GRTU feels that alternative solutions should be sought and that with some goodwill and consultation we can introduce an improved system that is effective, efficient and accountable.”

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