Election night two years ago - Balearic regional election, just to make clear - was notable for the disaster which everyone suspected was going to strike the Partido Popular and for the beaming smiles on the faces of Biel Barceló and other members of Més. This coalition of a party's time had arrived, even if it was only with slightly under 14% of the vote.
The collapse of the PP signalled the next few weeks of at-times heated negotiation. Eventually the pieces fell into place. Més, PSOE and Podemos agreed on change (and we're never allowed to forget these agreements). The government would be different. There was to be, among things, an anti-corruption office (which has yet to be manned or even established) and bucket loads of participation and transparency.
A key difference was to be the absence of any stench of scandal. The PP, with ample justification, was labelled the party of the corrupt. This, however, was a not entirely accurate description of the Bauzá regime. There was much wrong with that regime, but scandal was in minimal supply. It was knocking around elsewhere - in Palma most notably - but even that only emerged later (and as yet still allegedly). Such relatively squeaky-cleanliness didn't prevent Més (and others) adding PP corruption to the list of their potential vote winners.
Almost two years on from that joyous (for Més) election night, the platitudes have worn thinner than they originally were. Casting the Més contracts affair in a similar fashion to the one-time Unió Mallorquina is somewhat fanciful, because it is not in the same league as the UM. Indeed, it may turn out that nothing illegal has happened. But there is a similarity in that a partner in a government pact has brought crisis to a PSOE-led pact. President Armengol can assert that her government remains "strong", but she's desperate to keep up appearances. It has never been strong by its very nature. It is now weak and terminally ill.
A firewall has been erected around Barceló. Armengol has helped to build it. Such is the government's weakness that it cannot afford Barceló to go. This started to become ever more obvious as Armengol sought ways of shoring up the government which would prevent Més from walking out on it and forcing a new election. Transparency proved to be a main bargaining point. In the end, Més accepted losing the portfolio to PSOE.
For the time being, the government can continue as it is, pretending that all is well and "strong". The anti-corruption prosecutor may have to something to say about this or he may not. Meanwhile, though, the affair is not going away. Podemos believe that Més should assume greater responsibility, meaning that they believe there should be other ministerial resignations. Certain conspiracy theories are doing the rounds regarding the timing of the revelations about the contracts. One has to do with Antoni Noguera in Palma, who arranged a contract with Jaume Garau. Was the timing something to try and prevent him taking over as mayor in June?
There are also further questions about the contracts and Garau. It has now also been revealed that when he was in charge of European funds during the 2007-2011 administration, he awarded a contract of over half a million euros to a consultancy to take charge of the operational programme for funds for the period 2007 to 2013. In 2013, when he was no longer a government senior official, he became joint administrator of that consultancy.
The tasks for which the contracts were drawn up are being queried as well. Were they in fact necessary or indeed appropriate? When the contracts were first revealed, I wondered about more than one of them. For instance, there was the study of the "business fabric" in the Balearics. This was awarded by Barceló. He may be the vice-president, he may be responsible for innovation and research, but isn't the business fabric an issue for a different ministry, i.e Iago Negueruela's employment, trade and industry ministry? Negueruela is with PSOE.
What about the "barometer of tourist satisfaction", also awarded by the tourism ministry (via the Balearic Tourism Agency)? The Gadeso research organisation already has such a barometer. Perhaps the ministry wanted one which would reveal rather better barometers of satisfaction than Gadeso's does.
If the government survives until it's time for the 2019 election, what will the contracts affair mean for Més? The party's retaliation in the past few days has been to go back to calling out the PP, even dragging up ancient political scandal such as the Rasputin case. This reveals its already electorally weakened condition. It has little else to fall back on, and the electorate is unlikely to fall for such diversionary attempts. There was supposed to have been transparency and cleanliness. There has been neither.
Showing posts with label Contracts. Show all posts
Showing posts with label Contracts. Show all posts
Tuesday, April 11, 2017
Friday, March 31, 2017
The Contracts Of A Pact
Pact. The Spanish media refer to the pact ("pacto" in Castellano) as a convenient shorthand. It overcomes the constant need to explain that the Balearics is governed by two parties which are in government and one which isn't. It's an odd pact. One of convenience, which is just as conveniently labelled a pact.
There have been previous pacts. They have comprised fully paid-up governmental political parties. The pact before the current one fell apart. There was a de-pact impact. The remaining members of that pact, once the Unió Mallorquina (UM) was booted into corrupt touch, were PSOE and the Bloc, which itself was a pact. Its prime constituent was the PSM, i.e. Mallorcan socialists. They are now the main force behind Més, a further pact within a pact. Confused? It's hardly surprising.
The high ground, morally and politically, was occupied by the pact survivors. They surveyed the wreckage of the de-pact. It had mostly been inflicted on the tourism ministry, from which a succession of UM ministers were removed (two of them are inside). The Bloc part of the two-thirds pact was gifted former UM terrain. Not tourism but environment. Such was the continuity of pact policies that the PSM overturned certain UM decisions. It was evident that the pact had not been singing from the same environmental hymn sheet.
Pact members essentially have their own domains. This is how they are kept sweet (hopefully). They pursue their individual agendas and then, under the collective harmony of consensus and dialogue, seek to inflict them on the others. The current pact has, as a consequence, had numerous conflicts hastily renamed consensus and dialogue. Podemos has caused nearly all of them. These, though, have been policy conflicts. There is a further dimension. Crisis.
The local media love a crisis as much as a pact. Podemos has seemingly survived the crisis brought about by the now former speaker of parliament Xelo Huertas. The need has arisen, therefore, for a new crisis. We have one - Més. And for old time's sake the tourism ministry isn't a million miles away from it.
This, one should stress, is not a crisis of UM magnitude. We are not talking thievery. It is a crisis that is above board but one which nevertheless falls under a category marked "fishy". In local terms it is also labelled "a dedo" - handpicked.
To try and summarise, the Més crisis has to do with contracts awarded by Més politicians, to the fore of whom is Biel Barceló. The tourism minister (also innovation and research and government vice-president) has an old chum called Jaume Garau. His company ran the Més election campaign. It has been revealed that this same company has been awarded half a dozen contracts valued at a little over 150,000 euros. They include one for studying tourism satisfaction (cost 21,500) handed out by another old chum of Barceló's, the director of the Balearic Tourism Agency, Pere Muñoz.
The largest one (over 55,000 euros) was for a study of Balearic business fabric. It was awarded by the vice-presidency. Others - all for 21,500 euros - have been for the environment ministry (Vicenç Vidal, Més), a deputy mayor of Palma (Antoni Noguera, Més), and two for the transparency and culture ministry (Ruth Mateu, Més). With the exception of the study of the business fabric, they all apparently fall under a system of awarding small contracts which don't have to be advertised or put out to tender. The contract amounts, which are all the same, do appear to comply with a value that doesn't require a tender. In fact, Barceló has explained that all of the contracts were offered to other companies. He admits, though, that it "doesn't look good".
The Partido Popular, for one, agrees that it doesn't look good. Barceló has reminded the PP that under President Bauzá, Gaura was also awarded contracts (total value slightly higher than the six Més contracts). The PP accepts this but points out there was no possible conflict of interest. And it is the relationship between Barceló and Garau which goes to the heart of the "crisis". In a nutshell, he's being accused of favouring his mate.
The government, meanwhile, is requesting information from the relevant ministries (and presumably also Noguera) about the contracts. It will want to assure itself that they complied with ethics and transparency. This in itself, though, sounds a little odd. Barceló is, after all, the vice-president. Is he to scrutinise himself?
There isn't any suggestion of anything illegal. There is also general agreement among political parties that Garau and his company are highly professional. The issue, though, is one of perception: one of not looking good.
Is it a crisis? Is the pact about to suffer the de-pact impact? Unlikely. But Barceló should know all about contracts with questions attached. He made a habit of asking the PP about its.
Index for March 2017
Baltasar Picornell - 5 March 2017, 19 March 2017
Bauzá versus Company - 26 March 2017
Brexit and British holidaymakers - 17 March 2017
Children's football match violence - 23 March 2017
Competitiveness in the Balearics - 24 March 2017
Corruption investigations - 3 March 2017, 16 March 2017
Count Rossi and Civil War - 8 March 2017
English language - 15 March 2017
Fira del Ram - 13 March 2017
Flights' increase at Palma - 25 March 2017
Holiday compensation claims fraud - 1 March 2017
Hotel prices and tour operators' row - 18 March 2017
Holiday rentals and property - 22 March 2017
Més and contracts - 31 March 2017
Paying for Son Dureta - 2 March 2017
Pop-up hotels - 21 March 2017
Pottery - 6 March 2017
Resort redevelopment - 14 March 2017
Sa Pobla church organ - 27 March 2017
Spring and Mallorca promotion - 20 March 2017
Sustainability and tourism - 9 March 2017
Terraferida and Airbnb rentals - 28 March 2017
Tour operators and hotel prices - 12 March 2017
Tourismphobia - 11 March 2017
Tourist tax - 4 March 2017
Transport policy - 10 March 2017
Trilingual teaching - 7 March 2017
Valtonyc and free speech - 30 March 2017
There have been previous pacts. They have comprised fully paid-up governmental political parties. The pact before the current one fell apart. There was a de-pact impact. The remaining members of that pact, once the Unió Mallorquina (UM) was booted into corrupt touch, were PSOE and the Bloc, which itself was a pact. Its prime constituent was the PSM, i.e. Mallorcan socialists. They are now the main force behind Més, a further pact within a pact. Confused? It's hardly surprising.
The high ground, morally and politically, was occupied by the pact survivors. They surveyed the wreckage of the de-pact. It had mostly been inflicted on the tourism ministry, from which a succession of UM ministers were removed (two of them are inside). The Bloc part of the two-thirds pact was gifted former UM terrain. Not tourism but environment. Such was the continuity of pact policies that the PSM overturned certain UM decisions. It was evident that the pact had not been singing from the same environmental hymn sheet.
Pact members essentially have their own domains. This is how they are kept sweet (hopefully). They pursue their individual agendas and then, under the collective harmony of consensus and dialogue, seek to inflict them on the others. The current pact has, as a consequence, had numerous conflicts hastily renamed consensus and dialogue. Podemos has caused nearly all of them. These, though, have been policy conflicts. There is a further dimension. Crisis.
The local media love a crisis as much as a pact. Podemos has seemingly survived the crisis brought about by the now former speaker of parliament Xelo Huertas. The need has arisen, therefore, for a new crisis. We have one - Més. And for old time's sake the tourism ministry isn't a million miles away from it.
This, one should stress, is not a crisis of UM magnitude. We are not talking thievery. It is a crisis that is above board but one which nevertheless falls under a category marked "fishy". In local terms it is also labelled "a dedo" - handpicked.
To try and summarise, the Més crisis has to do with contracts awarded by Més politicians, to the fore of whom is Biel Barceló. The tourism minister (also innovation and research and government vice-president) has an old chum called Jaume Garau. His company ran the Més election campaign. It has been revealed that this same company has been awarded half a dozen contracts valued at a little over 150,000 euros. They include one for studying tourism satisfaction (cost 21,500) handed out by another old chum of Barceló's, the director of the Balearic Tourism Agency, Pere Muñoz.
The largest one (over 55,000 euros) was for a study of Balearic business fabric. It was awarded by the vice-presidency. Others - all for 21,500 euros - have been for the environment ministry (Vicenç Vidal, Més), a deputy mayor of Palma (Antoni Noguera, Més), and two for the transparency and culture ministry (Ruth Mateu, Més). With the exception of the study of the business fabric, they all apparently fall under a system of awarding small contracts which don't have to be advertised or put out to tender. The contract amounts, which are all the same, do appear to comply with a value that doesn't require a tender. In fact, Barceló has explained that all of the contracts were offered to other companies. He admits, though, that it "doesn't look good".
The Partido Popular, for one, agrees that it doesn't look good. Barceló has reminded the PP that under President Bauzá, Gaura was also awarded contracts (total value slightly higher than the six Més contracts). The PP accepts this but points out there was no possible conflict of interest. And it is the relationship between Barceló and Garau which goes to the heart of the "crisis". In a nutshell, he's being accused of favouring his mate.
The government, meanwhile, is requesting information from the relevant ministries (and presumably also Noguera) about the contracts. It will want to assure itself that they complied with ethics and transparency. This in itself, though, sounds a little odd. Barceló is, after all, the vice-president. Is he to scrutinise himself?
There isn't any suggestion of anything illegal. There is also general agreement among political parties that Garau and his company are highly professional. The issue, though, is one of perception: one of not looking good.
Is it a crisis? Is the pact about to suffer the de-pact impact? Unlikely. But Barceló should know all about contracts with questions attached. He made a habit of asking the PP about its.
Index for March 2017
Baltasar Picornell - 5 March 2017, 19 March 2017
Bauzá versus Company - 26 March 2017
Brexit and British holidaymakers - 17 March 2017
Children's football match violence - 23 March 2017
Competitiveness in the Balearics - 24 March 2017
Corruption investigations - 3 March 2017, 16 March 2017
Count Rossi and Civil War - 8 March 2017
English language - 15 March 2017
Fira del Ram - 13 March 2017
Flights' increase at Palma - 25 March 2017
Holiday compensation claims fraud - 1 March 2017
Hotel prices and tour operators' row - 18 March 2017
Holiday rentals and property - 22 March 2017
Més and contracts - 31 March 2017
Paying for Son Dureta - 2 March 2017
Pop-up hotels - 21 March 2017
Pottery - 6 March 2017
Resort redevelopment - 14 March 2017
Sa Pobla church organ - 27 March 2017
Spring and Mallorca promotion - 20 March 2017
Sustainability and tourism - 9 March 2017
Terraferida and Airbnb rentals - 28 March 2017
Tour operators and hotel prices - 12 March 2017
Tourismphobia - 11 March 2017
Tourist tax - 4 March 2017
Transport policy - 10 March 2017
Trilingual teaching - 7 March 2017
Valtonyc and free speech - 30 March 2017
Saturday, May 12, 2012
Guarding Lives - Or Not
The exceptionally warm weather for early May has led to the beaches being busier than might normally be the case. But not all beaches are as busy as they might be, because there is an absence of personnel one would hope would be there. We are, I'm afraid, back once again to Pollensa's beaches.
It is simply no good the town hall trotting out one of its annual excuses as to the tardiness with which beach management is finalised, the excuse of gaining clearance by the Costas. The town hall has no credibility in this regard, not, that is, when other town halls in the area can manage to commence arrangements for beach management in time for the official 1 May start of the tourism season (or earlier in some instances).
Personally, I couldn't care less whether there were sunbeds and umbrellas, but then I am far from being everyone. They form a service that is expected, and one that is expected to operate throughout the season and not once the town hall finally gets its backside into gear.
It isn't just the beds and parasols, though. There are also the lifeguards. On Pollensa town hall's website, the announcement of the tender for beach safety had allowed for submission up to 7 May, a week after the season started. The website also announced that this was "urgent". I'd say it was urgent.
The fiasco with Pollensa's beach management is such that the town's mayor should have the courtesy to issue a clear explanation as to why Pollensa is so lethargic when other towns are not. This should not be an explanation made in a town hall meeting, but in wider communication with the public, the whole of the public, including the town's many foreign residents and tourists.
Unfortunately, the town hall doesn't go in for this sort of communication. Very few town halls in Majorca do. Their press and public relations are poor to the point of being negligible. And then they wonder why dissatisfaction grows.
To return to the issue of the lifeguards, there is a further PR dimension to this, i.e. the fact that there was a spate of drownings last summer in Muro, Can Picafort and Pollensa. These were not attributable to inaction by lifeguards or emergency services, as they were as a consequence of cardiac arrest being suffered by mainly elderly swimmers. But any drowning isn't good for business, and if lifeguards are not to be found, then it's worse for business.
At least Pollensa appears to be allowing for the possibility of contracts running for three years when it comes to beach management, which will be something, but not for the safety service, which will still be renewable annually. Why? Who knows? It will probably be because of the Costas Authority; but then it always is.
Any comments to andrew@thealcudiaguide.com please.
It is simply no good the town hall trotting out one of its annual excuses as to the tardiness with which beach management is finalised, the excuse of gaining clearance by the Costas. The town hall has no credibility in this regard, not, that is, when other town halls in the area can manage to commence arrangements for beach management in time for the official 1 May start of the tourism season (or earlier in some instances).
Personally, I couldn't care less whether there were sunbeds and umbrellas, but then I am far from being everyone. They form a service that is expected, and one that is expected to operate throughout the season and not once the town hall finally gets its backside into gear.
It isn't just the beds and parasols, though. There are also the lifeguards. On Pollensa town hall's website, the announcement of the tender for beach safety had allowed for submission up to 7 May, a week after the season started. The website also announced that this was "urgent". I'd say it was urgent.
The fiasco with Pollensa's beach management is such that the town's mayor should have the courtesy to issue a clear explanation as to why Pollensa is so lethargic when other towns are not. This should not be an explanation made in a town hall meeting, but in wider communication with the public, the whole of the public, including the town's many foreign residents and tourists.
Unfortunately, the town hall doesn't go in for this sort of communication. Very few town halls in Majorca do. Their press and public relations are poor to the point of being negligible. And then they wonder why dissatisfaction grows.
To return to the issue of the lifeguards, there is a further PR dimension to this, i.e. the fact that there was a spate of drownings last summer in Muro, Can Picafort and Pollensa. These were not attributable to inaction by lifeguards or emergency services, as they were as a consequence of cardiac arrest being suffered by mainly elderly swimmers. But any drowning isn't good for business, and if lifeguards are not to be found, then it's worse for business.
At least Pollensa appears to be allowing for the possibility of contracts running for three years when it comes to beach management, which will be something, but not for the safety service, which will still be renewable annually. Why? Who knows? It will probably be because of the Costas Authority; but then it always is.
Any comments to andrew@thealcudiaguide.com please.
Thursday, August 12, 2010
Under-Cooked: Tour operators' profits down
The tour operators are facing significant drops in their profits, Thomas Cook issuing a profits' warning. The reasons are not too difficult to work out. Like all other parties in the tourism industry this year, the tour operators have not been immune to economic pressures and the totally unexpected. The good news in all this is that there are some remarkable bargains to be had, "The Guardian" reporting yesterday that anything up to 60% off can be expected once the school holidays are over, while 40% off this month can be obtained. The less good news is destinations that are on offer, the Balearics heading the list.
With TUI, Thomas Cook and others suffering falls in profit, a question that has to be asked is what this might mean for next season. There was some indication that tour operators' prices had risen this year in the expectation of a better year, one that has failed to materialise. Price rises in 2011 might be on the cards, but they would be folly, especially for some destinations, including Mallorca and the Balearics.
The island's hoteliers have come to the end of their contract arrangements for next year: they can expect no or only a one per cent increase in their own prices. One per cent is the maximum that the tour operators will give them. Yet, you have a situation in which certain hotel associations, such as the Alcúdia-Can Picafort one, are saying that up to 30% of places have been left unsold in July and August this year; some hotels have reported far worse.
But go further behind all this, and one finds a rather mysterious situation, or one that is being alleged by hotels in Puerto Pollensa. Against the background of a potential rise in all-inclusive there, hotels have accused the tour operators of not selling holidays to Pollensa, the operators claiming that hotels are sold out, when they are not. The hotels also reckon that the tour operators have been diverting clients, who would have booked in Puerto Pollensa, to hotels elsewhere.
Without knowing the precise nature of the contractual agreements tour operators might have with different hotels in different resorts, it is hard to comment on this. If what the Puerto Pollensa hotels allege is true, and they say it is, albeit that "sources" preferred to maintain anonymity when this was reported on a few days ago in "The Diario", might this be interpreted as a bit of pressure to conform with a tour operator desire to change the status of offers at certain hotels - to all-inclusive, in other words?
In the same Guardian article, a spokesperson for travelsupermarket.com says that there will be a "bloodbath" of last-minute deals in September and October. If the tour operators are going to get so badly burned this year, might we be facing a different sort of bloodbath, that of hotels not being contracted with? It is already the case that individual hotels are making pre-emptive strikes, effectively removing themselves from under the tour operators umbrellas and going for independent, direct bookings in a far more aggressive fashion than has been the case until now. It may be that others have to do likewise. What they can expect as revenue from the tour operators will not increase in real terms; indeed it is down this year in many instances. And to what extent will they be willing to take the tour operator shilling in return for offering something - all-inclusive - that many are loathe to?
2011 is going to be a lively year. It could also be make or break for many hotels, assuming they are not already broken.
Any comments to andrew@thealcudiaguide.com please.
With TUI, Thomas Cook and others suffering falls in profit, a question that has to be asked is what this might mean for next season. There was some indication that tour operators' prices had risen this year in the expectation of a better year, one that has failed to materialise. Price rises in 2011 might be on the cards, but they would be folly, especially for some destinations, including Mallorca and the Balearics.
The island's hoteliers have come to the end of their contract arrangements for next year: they can expect no or only a one per cent increase in their own prices. One per cent is the maximum that the tour operators will give them. Yet, you have a situation in which certain hotel associations, such as the Alcúdia-Can Picafort one, are saying that up to 30% of places have been left unsold in July and August this year; some hotels have reported far worse.
But go further behind all this, and one finds a rather mysterious situation, or one that is being alleged by hotels in Puerto Pollensa. Against the background of a potential rise in all-inclusive there, hotels have accused the tour operators of not selling holidays to Pollensa, the operators claiming that hotels are sold out, when they are not. The hotels also reckon that the tour operators have been diverting clients, who would have booked in Puerto Pollensa, to hotels elsewhere.
Without knowing the precise nature of the contractual agreements tour operators might have with different hotels in different resorts, it is hard to comment on this. If what the Puerto Pollensa hotels allege is true, and they say it is, albeit that "sources" preferred to maintain anonymity when this was reported on a few days ago in "The Diario", might this be interpreted as a bit of pressure to conform with a tour operator desire to change the status of offers at certain hotels - to all-inclusive, in other words?
In the same Guardian article, a spokesperson for travelsupermarket.com says that there will be a "bloodbath" of last-minute deals in September and October. If the tour operators are going to get so badly burned this year, might we be facing a different sort of bloodbath, that of hotels not being contracted with? It is already the case that individual hotels are making pre-emptive strikes, effectively removing themselves from under the tour operators umbrellas and going for independent, direct bookings in a far more aggressive fashion than has been the case until now. It may be that others have to do likewise. What they can expect as revenue from the tour operators will not increase in real terms; indeed it is down this year in many instances. And to what extent will they be willing to take the tour operator shilling in return for offering something - all-inclusive - that many are loathe to?
2011 is going to be a lively year. It could also be make or break for many hotels, assuming they are not already broken.
Any comments to andrew@thealcudiaguide.com please.
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