Gozo road project uses illegal concrete from unlicensed plant

A major road reconstruction project in Gozo — the route connecting Victoria to Marsalforn — has come under scrutiny amid allegations that illegally produced concrete is being used in breach of the conditions set under a €9 million public tender. The project, which is being overseen by the Ministry for Gozo, has raised serious concerns about compliance, oversight, and the enforcement of environmental and construction laws on the island.

According to reports and visual evidence shared publicly by the Gozo Ministry itself, concrete ready-mix trucks bearing the name of Prax Ltd were seen operating on the site. The company is reportedly tied to an unlicensed batching plant in Kerċem that has been functioning without a valid permit since 2019. Despite numerous media reports highlighting the issue, the plant has allegedly continued its operations without interruption.

The unlicensed Kerċem plant

The batching plant in question is said to occupy public land and is owned by Joseph Portelli, together with associates Mark Agius, commonly known as Ta’ Dirjanu, and Daniel Refalo. The facility’s continued operation despite lacking the necessary environmental and planning permits has long been viewed as emblematic of lax enforcement in Gozo’s construction sector.

Observers note that while smaller operators have faced enforcement actions for minor infractions, the Kerċem plant has been allowed to continue producing concrete openly. Critics argue that this apparent tolerance undermines both regulatory credibility and public trust in the rule of law.

Government response and ministerial denial

When contacted for clarification on whether the Ministry was knowingly using concrete from an illegal source, Gozo Minister Clint Camilleri publicly denied the allegations. Despite photographs and footage appearing on his own social media accounts showing Prax Ltd trucks at the site, Camilleri maintained that the project was adhering to all legal standards.

In a statement to media, a spokesperson for the Ministry for Gozo said:

“Upon verifications, the Contracting Authority (Gozo Ministry) is informed that the concrete is being supplied from one of the partners in the joint venture, which partner/source has a legal concrete batching plant.”

The Ministry placed responsibility for ensuring compliance on the project manager and the technical team, adding that the Ministry had full confidence in its public officers and project managers to ensure that “all contractual obligations were monitored, adhered to, and respected throughout the project’s lifecycle.”

Questions over joint venture structure

The road reconstruction project is reportedly being carried out by a joint venture between Prax Ltd and Gatt Tarmac Ltd, another Gozo-based construction company. Unlike Prax, Gatt Tarmac is known to operate a licensed batching and tarmac plant located in Għajnsielem.

However, investigations have suggested that concrete used in the project is being sourced not from Gatt Tarmac’s approved facility but from the illegal Kerċem plant operated by Prax. Eyewitnesses have observed trucks leaving the Kerċem site and delivering loads directly to the road project, contradicting the Ministry’s claim that materials were supplied from a legal facility.

Night operations and local disruption

Residents of Kerċem have also reported a marked increase in heavy vehicle movement during nighttime hours. Fully loaded Prax concrete trucks are said to pass through the village’s central streets at night en route to the construction site. This development has reportedly caused disturbances and raised safety concerns among locals, given the narrow residential roads and limited visibility in the area.

Further complicating matters, the Gatt Tarmac plant in Għajnsielem is confirmed to close operations at night, suggesting that concrete supplied for overnight work could not have originated there. This further reinforces claims that the illegal Kerċem plant remains active and is contributing directly to the public works project.

Pattern of repeated violations

This is not the first instance in which public projects in Gozo have been linked to the use of unlicensed materials from Portelli’s companies. In recent years, similar allegations surfaced during the construction of a swimming pool complex in Victoria. That facility, inaugurated by Prime Minister Robert Abela, was also reportedly supplied with concrete from the same illegal plant.

Portelli and his business partners have frequently been named in public discussions concerning overdevelopment and environmental degradation in Gozo. However, despite these controversies, their projects have continued to receive planning approvals and government contracts.

Regulatory gaps and accountability concerns

The situation highlights a broader issue regarding the enforcement of environmental and construction laws in Malta and Gozo. Analysts and industry experts argue that while robust legislation exists on paper, implementation often falters due to political interference or administrative inefficiencies.

Public procurement experts have emphasized that contracts funded by taxpayer money must strictly adhere to legal and ethical standards, including the sourcing of materials from licensed facilities. The use of concrete from an unlicensed plant, even indirectly, could potentially constitute a breach of public procurement regulations.

A retired public auditor familiar with similar cases stated that the situation “illustrates how conflicts of interest and weak oversight mechanisms can erode confidence in public institutions.”

Political context and public perception

The involvement of figures closely associated with the governing Labour Party adds a political dimension to the controversy. Although no formal wrongdoing has been established, perceptions of favoritism or selective enforcement of laws continue to fuel public skepticism.

Civil society organizations and environmental watchdogs have called for greater transparency and for the Planning Authority and the Environment and Resources Authority (ERA) to take decisive action against illegal construction operations. Some have also urged the National Audit Office to investigate whether public funds were misused or if procurement rules were violated.

Impact on Gozo’s environment and heritage

Environmental campaigners warn that unregulated concrete production can have serious ecological consequences. The extraction of raw materials, improper disposal of waste, and lack of oversight over emissions contribute to long-term environmental degradation. Gozo, known for its rural charm and natural heritage, has already experienced significant landscape alteration due to ongoing development pressures.

The continued operation of the Kerċem plant without an environmental permit could potentially exacerbate these issues, particularly if waste runoff or dust emissions affect nearby agricultural land or residential areas.

Call for investigation and reform

Given the magnitude of the public investment involved, there are growing calls for an independent review of the project’s supply chain. Legal experts stress that even if the Ministry acted in good faith, any verified use of unlicensed materials could render certain aspects of the project non-compliant under national and EU procurement rules.

An investigation could help determine whether the project contractor or Ministry officials knowingly overlooked the issue or whether communication breakdowns within the joint venture led to the use of illegal concrete.

Meanwhile, advocates for good governance continue to argue that such cases underscore the urgent need for structural reforms in public procurement and planning enforcement. Without effective checks and balances, they warn, similar incidents are likely to recur.

Conclusion

The controversy surrounding the Victoria–Marsalforn road reconstruction project exposes systemic weaknesses in Gozo’s construction oversight and public accountability mechanisms. While official statements deny any wrongdoing, mounting evidence and eyewitness reports suggest that illegal concrete from an unlicensed batching plant may indeed be part of the project’s supply chain.

As public scrutiny intensifies, the case is likely to test both the government’s commitment to transparency and Malta’s broader enforcement framework. Whether through independent investigation or regulatory intervention, the outcome will have lasting implications for how public works are managed — and how the rule of law is upheld — in Malta’s smallest island region.

FAQs

What is the main issue with the Gozo road project?
The project is under investigation for allegedly using concrete from an unlicensed batching plant in Kerċem, which violates tender conditions.

Who owns the illegal batching plant in Kerċem?
The plant is reportedly owned by developer Joseph Portelli and his associates Mark Agius and Daniel Refalo.

What does the Gozo Ministry say about the allegations?
The Ministry has denied any wrongdoing, claiming the concrete is being sourced from a legal partner in the project’s joint venture.

Who are the companies involved in the project?
The project is being carried out by a joint venture between Prax Ltd and Gatt Tarmac Ltd, both based in Gozo.

Where is the licensed batching plant located?
Gatt Tarmac operates a licensed batching plant in Għajnsielem, while Prax’s plant in Kerċem is not licensed.

Why are locals concerned about night operations?
Residents have reported noise and heavy truck traffic through Kerċem village at night, raising safety and disturbance concerns.

Has this issue occurred before?
Yes, similar allegations were made during the construction of a government-funded swimming pool complex in Victoria.

What are the environmental risks of using illegal plants?
Unregulated plants may cause pollution, dust emissions, and landscape degradation due to lack of environmental oversight.

Are there potential legal implications for the Ministry?
If proven that unlicensed materials were knowingly used, this could breach procurement and environmental regulations.

What happens next?
Calls are growing for an independent investigation to determine responsibility and ensure future compliance with public tender laws.