Here is a video of what was going on:
Excuse the clothes and look please, I picked up the bike 2 days before I left and had worked on it for ~6 hrs under the Sicilian sun, late July. No shade, no work clothes, and all I had was a socket and wrench set, incomplete and 2 screwdrivers

Now here's what I know of the bike. Its a 1979 P150X with a Polini 177, SI 24/24, and "P200 gears". Air filter with no drilled holes. In the video it has a SITO exhaust (not the SITO+, it looks exactly like a stock exhaust with no expansion into the box). After the fact, I believe it doesn't have the stock engine in it since there was a Ducati CDI and I believe it should be points. Not sure. I didn't grab the engine number. The carb is set with 55/160, 160/BE3/110.
I cleaned the carb with carb clean and compressed air. Under the filter I had found paint chips. Found paint chips in the tank too. Drained and cleaned, filled with new premix. Adjusted A/F mix screw. Adjusted clutch. Turned the engine over while observing the rotary pad. Made a video (see below). Boston scooter people told me it looked good. Nevertheless, the problem remained.
A Polini expansion pipe and 115 MJ came with the bike. I put both on and re-did my test. This time I could start from a stop and go uphill but it took A LOT of feathering to make it happen. The engine didn't feel too healthy while I was doing it. Like I could keep it going but it felt so weak and wanting to die compared to my stock Stella going up worst hills.
Turning the engine, observing rotary pad:
So basically I'm just looking for ideas as to what could be wrong so I can prepare myself with tools/parts for when I return next summer.
Thanks, Alex