The regional government has asked the citizens how they would prefer the sustainable tourism tax to be spent. An online poll revealed an 80% preference for environmental protection and conservation, a result which comes as no surprise. Depending on which options the citizens are presented with, then the citizens - more often than not - will reply with an answer that might have been hoped for: among certain elements of the government at any rate.
Were the government to follow this preference, then the tax would become an eco-tax, but as we have been informed, by the finance minister, it is not an eco-tax: that was something they did thirteen years ago. This tax is different. And the government still isn't clear as to how it intends spending it.
One person who has made his views clear is the prime minister. Mariano Rajoy is not in favour of eco-taxes or other taxes directed at tourists. As pointed out previously, such a view avoids the fact that he and his government increased taxes - indirect ones - aimed at tourists: the tourist rate of IVA (VAT). This was, in a sense, a national tourist tax, but of course no one ever referred to it as such.
It isn't totally beyond the bounds of possibility that a new national government might pursue a national tax, though this would almost certainly require Podemos being at the centre of the next government's policy-making, which it may not be. Such a move would be interesting in that it could well end up being challenged in law because of regions' statutory rights over tourism policy. Hypothetical though this might be, tourist taxes are being talked up (or down) in different parts of the country. The Canaries had dismissed a tax, but the idea still keeps cropping up. The city of Seville is said to be looking at one. The Valencia region may yet introduce one.
In other tax developments, the Més lead candidate for Congress, Antoni Verger, has been speaking again about his party's wishes for air travel, a component of which would be local management of airports through which, he believes, it would be possible to reduce the airports' taxes on airlines, i.e. the charges for landing rights and handling. Rather more significant, though, is the powerful lobby of Europe's five largest airline concerns. Air France-KLM, IAG, the Lufthansa Group, Ryanair and easyJet are calling on the European Commission to act "immediately" in taking concrete measures to reduce airport taxes. They argue that, while these charges have increased by an average of two-thirds in the past ten years, the supply side (i.e. the airlines) has been lowering its charges, in other words its ticket prices.
The airlines' lobby complains about "airport monopolies on a grand scale", which is something that can be applied to Aena, and these leading airlines believe that a mandated lowering of taxes would create employment and contribute to general economic growth. One hesitates to suggest that the lobby's intervention will lead to significant cuts, as there is the Spanish example to bear in mind: the National Competition Commission has forced a reduction in taxes for next year, but it is certainly not great. But the fact that the matter has been placed on the Brussels agenda might result in something more substantial, which could only be of benefit locally in Mallorca, where Palma has the third highest (all year) charges in the country.
Showing posts with label European Commission. Show all posts
Showing posts with label European Commission. Show all posts
Saturday, December 12, 2015
Sunday, February 02, 2014
Oil Politics: Balearics and Canaries
"It's all about the price of oil," lamented Billy Bragg. The oil men in the White House didn't give a damn, but one in particular gave enough of a damn to give the appearance of a justified, non-oil-driven adventure by bringing along whichever ally, irrelevant or not, he could. José María Aznar was such an ally. If he was then mocked for being "Tony's little friend", he must have been Bush's very tiny friend. All about the price of oil.
In 2002, a royal decree of the government of José María Aznar was finally approved and published in the Official Bulletin. It paved the way for oil prospecting off the coasts of Fuerteventura and Lanzarote in the Canary Islands. It was a decree with the backing of Aznar, the then vice-premier, Mariano Rajoy, and the environment minister at the time, the now disgraced ex-president of the Balearics, Jaume Matas.
For various reasons, this prospecting didn't happen. One was that the Spanish Supreme Court blocked Repsol's attempts to start exploration in 2004. This was after the government had changed and Aznar was no longer prime minister. But while the arguments over the exploration centred on the environmental impact, in the background were international political issues.
Following 9/11, the American Government moved to strengthen its relations with Morocco, and a free trade treaty was signed between the two countries. Morocco became the first African country to have such a treaty. This, however, was problematic for Spain. And the reason why was oil. Or the possibility of oil and to which country it might actually belong.
If you look at a map you will see that the Canaries lie off the coast of Morocco. Only a comparatively short distance to the south is the disputed territory of Western Sahara. Morocco claims sovereignty over Western Sahara, a territory which, under US-led pressure at the United Nations, Spain was forced to give up in 1975; the UN doesn't recognise Morocco's sovereignty claims. Exploration for oil off Western Sahara started, at the behest of the Moroccan Government, in 2002. It has since come to a halt, partly because of the lack of clarity over legal status. But the point is that oil fields which may or not exist off the Canaries could extend into territorial waters that are not Spanish and are either Moroccan or Western Saharan.
The trade agreement and cosier relationship between the US and Morocco were problematic for Spain because it needed (or would need) US support in any dispute over rights to oil. Was it all about the price of oil? Well, there are those who would argue that the only reason Aznar and Spain sided so strongly with Bush against Saddam wasn't so much to do with oil in Iraq but to do with oil in the Atlantic.
The international politics may have shifted since then, but the arguments are still the same, and they have been boiling up in the Canaries. An oil platform belonging to Cairn Energy sits in readiness for drilling work on behalf of Repsol to start this year. Aznar is no longer prime minister, but his one-time second-in-command is, and the Partido Popular administration has given the go-ahead to prospect for what could amount to 38 million barrels of oil a year.
Opposition in the Canaries has come from hoteliers and others in the tourism industry, from environmentalists and from local politicians in the regional government and at island councils. It is only really the Canaries business confederation that supports the national government in undertaking a venture which, for some in the Canaries, amounts to the islands being treated "like a colony" and being exploited against their wishes.
There is a much more tangled web surrounding the exploration off the Canaries than that to do with a subterranean sea mountain which runs from a location some 70 kilometres from the mainland at Cabo de la Nao to 45 kilometres off Ibiza. It is this mountain that has been designated for oil exploration. At one end is rare seaweed; at the other, in the waters near Ibiza, is posidonia sea grass, which is not unique to the Balearics but is otherwise also rare. The opposition to the exploration is as unified in the Balearics as it is in the Canaries, but it has a notable difference; the political leadership in the Canaries is not Partido Popular.
So, one has a situation in which the regional PP in the Balearics opposes the national PP. President Bauzá is against the exploration because of the potential harm that could be caused to tourism. Whether the opposition, in more general economic terms, is right is another matter. At least in the Balearics, though, there are no international politics to be concerned with other than those of a European Commission nature. And the EC, for one, needs convincing as to environmental safeguards.
In 2002, a royal decree of the government of José María Aznar was finally approved and published in the Official Bulletin. It paved the way for oil prospecting off the coasts of Fuerteventura and Lanzarote in the Canary Islands. It was a decree with the backing of Aznar, the then vice-premier, Mariano Rajoy, and the environment minister at the time, the now disgraced ex-president of the Balearics, Jaume Matas.
For various reasons, this prospecting didn't happen. One was that the Spanish Supreme Court blocked Repsol's attempts to start exploration in 2004. This was after the government had changed and Aznar was no longer prime minister. But while the arguments over the exploration centred on the environmental impact, in the background were international political issues.
Following 9/11, the American Government moved to strengthen its relations with Morocco, and a free trade treaty was signed between the two countries. Morocco became the first African country to have such a treaty. This, however, was problematic for Spain. And the reason why was oil. Or the possibility of oil and to which country it might actually belong.
If you look at a map you will see that the Canaries lie off the coast of Morocco. Only a comparatively short distance to the south is the disputed territory of Western Sahara. Morocco claims sovereignty over Western Sahara, a territory which, under US-led pressure at the United Nations, Spain was forced to give up in 1975; the UN doesn't recognise Morocco's sovereignty claims. Exploration for oil off Western Sahara started, at the behest of the Moroccan Government, in 2002. It has since come to a halt, partly because of the lack of clarity over legal status. But the point is that oil fields which may or not exist off the Canaries could extend into territorial waters that are not Spanish and are either Moroccan or Western Saharan.
The trade agreement and cosier relationship between the US and Morocco were problematic for Spain because it needed (or would need) US support in any dispute over rights to oil. Was it all about the price of oil? Well, there are those who would argue that the only reason Aznar and Spain sided so strongly with Bush against Saddam wasn't so much to do with oil in Iraq but to do with oil in the Atlantic.
The international politics may have shifted since then, but the arguments are still the same, and they have been boiling up in the Canaries. An oil platform belonging to Cairn Energy sits in readiness for drilling work on behalf of Repsol to start this year. Aznar is no longer prime minister, but his one-time second-in-command is, and the Partido Popular administration has given the go-ahead to prospect for what could amount to 38 million barrels of oil a year.
Opposition in the Canaries has come from hoteliers and others in the tourism industry, from environmentalists and from local politicians in the regional government and at island councils. It is only really the Canaries business confederation that supports the national government in undertaking a venture which, for some in the Canaries, amounts to the islands being treated "like a colony" and being exploited against their wishes.
There is a much more tangled web surrounding the exploration off the Canaries than that to do with a subterranean sea mountain which runs from a location some 70 kilometres from the mainland at Cabo de la Nao to 45 kilometres off Ibiza. It is this mountain that has been designated for oil exploration. At one end is rare seaweed; at the other, in the waters near Ibiza, is posidonia sea grass, which is not unique to the Balearics but is otherwise also rare. The opposition to the exploration is as unified in the Balearics as it is in the Canaries, but it has a notable difference; the political leadership in the Canaries is not Partido Popular.
So, one has a situation in which the regional PP in the Balearics opposes the national PP. President Bauzá is against the exploration because of the potential harm that could be caused to tourism. Whether the opposition, in more general economic terms, is right is another matter. At least in the Balearics, though, there are no international politics to be concerned with other than those of a European Commission nature. And the EC, for one, needs convincing as to environmental safeguards.
Saturday, November 10, 2012
MALLORCA TODAY - Europe gives waste imports the go-ahead
The European Commission has reported in favour of the import of solid combustible waste to Mallorca and of its burning at Son Reus where the incinerator complies with a European directive.
See more: Ultima Hora
See more: Ultima Hora
Thursday, March 15, 2012
The Pressure Of Tourism Recommendation
Another day, another barometer. The barometer used to be a contraption hanging on the wall in your great aunt's house that was intended to measure something to do with weather. Next to it would hang a piece of old seaweed, and consulting a combination of the two would lead to the conclusion that it was about to snow or to be 80 degrees (in old money). It was a de rigueur wall adornment for great aunts' houses, a device employed not solely as a means of weather forecasting but as a guide to the daily arthritis bulletin and as a way of keeping small children quiet while they stood and stared at the damn thing in the hope that its gauge might move.
The barometer has been updated for the modern marketing era. It is now what used to be called a survey. And in keeping with modern times, the barometer has gone European. The European Commission's "Eurobarometer" not only has 27 member-state points on its changing-conditions compass it also has those for wannabe EU members, for couldn't-care-less, not-about-to-be EU members (Norway) and for members that have no chance of being members as they are not European (Israel).
The thirty-four member and non-member states have been surveyed - sorry, barometered - as to what their people think about tourism. The Commission does this each year, which is good of them, and no one of course takes any notice of the results. Oddly though, the 2012 barometer might just demand slightly more attention than usual.
Most of it is almost totally pointless, as in, for example, the discovery that 48% of respondents the length and breadth of the European Union and other parts of Europe as well as parts that aren't Europe go on holiday for rest and recreation. Well, not entirely pointless, as what are the other 52% doing?
You will be able to amaze your friends with the knowledge, as I am being good enough to tell you, that the Czechs, with a huge 65% of the vote, come in at number one in saying that natural features, including weather, would make them revisit the same holiday destination. This is a full 7% lead over the Dutch in second place. Coming in tailed off in this category are the people of the Former Yugoslav Republic of Macedonia. A lousy 24% rated natural features, which makes one wonder what would entice a Former Yugoslav Republic of Macedonian to go on holiday anywhere. Or perhaps they mistook the Eurobarometer question for the Eurovision Song Contest and gave the answer as "Serbia".
Reassuring for Spain and therefore Mallorca among all this barometering is that Spain is the most visited country. And given that the Brits are so important to the local tourism industry, it might be noted the UK is Eurobarometer champion in the quality of accommodation as a reason for revisiting a destination category. 48% of Brits are happy with accommodation, while the Estonians are the least happy, a miserly 12%.
Where the Eurobarometer does get interesting, and trust me that it does, is the bit about how holidaymakers come to make decisions about where to go on holiday and what influences this decision. What do you think? A TV ad perhaps? A magazine article? Both do, but to nothing like the degree that you might think. The most important influence is personal recommendation. 52% of respondents are swayed by the views of friends, colleagues or relatives. A mere 7% are influenced by either a TV ad or by something in a magazine or guidebook.
If this isn't a persuasive case for the power of word of mouth over other forms of promotion, it would be hard to know what it is. And it is the combination of word of mouth and technology that makes for a powerful means of tourism selling. We're back of course to social media and to how they are defined.
40% of respondents also say that an internet site influenced them. Of this 40%, you can be pretty sure that Trip Advisor or something similar was one of these sites. It differs from the obvious social media, but Trip Advisor is very much a part of broader social marketing via the internet or mobiles. And its recommendations are from those who travellers don't know personally (as are its recommendations to avoid a destination).
The conclusion from this is clear. Forget the expensive TV ads. When it comes to tourism promotion, harness the power of word of mouth and the media which enable it. This is the barometer of the change in how holidays are chosen. And it is a change across the whole of Europe.
Any comments to andrew@thealcudiaguide.com please.
The barometer has been updated for the modern marketing era. It is now what used to be called a survey. And in keeping with modern times, the barometer has gone European. The European Commission's "Eurobarometer" not only has 27 member-state points on its changing-conditions compass it also has those for wannabe EU members, for couldn't-care-less, not-about-to-be EU members (Norway) and for members that have no chance of being members as they are not European (Israel).
The thirty-four member and non-member states have been surveyed - sorry, barometered - as to what their people think about tourism. The Commission does this each year, which is good of them, and no one of course takes any notice of the results. Oddly though, the 2012 barometer might just demand slightly more attention than usual.
Most of it is almost totally pointless, as in, for example, the discovery that 48% of respondents the length and breadth of the European Union and other parts of Europe as well as parts that aren't Europe go on holiday for rest and recreation. Well, not entirely pointless, as what are the other 52% doing?
You will be able to amaze your friends with the knowledge, as I am being good enough to tell you, that the Czechs, with a huge 65% of the vote, come in at number one in saying that natural features, including weather, would make them revisit the same holiday destination. This is a full 7% lead over the Dutch in second place. Coming in tailed off in this category are the people of the Former Yugoslav Republic of Macedonia. A lousy 24% rated natural features, which makes one wonder what would entice a Former Yugoslav Republic of Macedonian to go on holiday anywhere. Or perhaps they mistook the Eurobarometer question for the Eurovision Song Contest and gave the answer as "Serbia".
Reassuring for Spain and therefore Mallorca among all this barometering is that Spain is the most visited country. And given that the Brits are so important to the local tourism industry, it might be noted the UK is Eurobarometer champion in the quality of accommodation as a reason for revisiting a destination category. 48% of Brits are happy with accommodation, while the Estonians are the least happy, a miserly 12%.
Where the Eurobarometer does get interesting, and trust me that it does, is the bit about how holidaymakers come to make decisions about where to go on holiday and what influences this decision. What do you think? A TV ad perhaps? A magazine article? Both do, but to nothing like the degree that you might think. The most important influence is personal recommendation. 52% of respondents are swayed by the views of friends, colleagues or relatives. A mere 7% are influenced by either a TV ad or by something in a magazine or guidebook.
If this isn't a persuasive case for the power of word of mouth over other forms of promotion, it would be hard to know what it is. And it is the combination of word of mouth and technology that makes for a powerful means of tourism selling. We're back of course to social media and to how they are defined.
40% of respondents also say that an internet site influenced them. Of this 40%, you can be pretty sure that Trip Advisor or something similar was one of these sites. It differs from the obvious social media, but Trip Advisor is very much a part of broader social marketing via the internet or mobiles. And its recommendations are from those who travellers don't know personally (as are its recommendations to avoid a destination).
The conclusion from this is clear. Forget the expensive TV ads. When it comes to tourism promotion, harness the power of word of mouth and the media which enable it. This is the barometer of the change in how holidays are chosen. And it is a change across the whole of Europe.
Any comments to andrew@thealcudiaguide.com please.
Saturday, March 10, 2012
MALLORCA TODAY - Balearics' call for European agricultural aid
Further to yesterday's notice about Asaja, the agricultural businesses association, minister Biel Company has met with the European Union agriculture commissioner to ask for greater European aid to the Balearics, noting the current discrepancy between the Balearics and the Canaries (25 million euros versus 268 million).
See more: Diario de Mallorca
See more: Diario de Mallorca
Sunday, March 04, 2012
MALLORCA TODAY - Agreement sought for jonquillo catch
Following the intervention by European Commission which has stopped the jonquillo catch this season and so deprived fishermen in the north of Mallorca of up to 400,000 euros worth of fish, the regional government has submitted a plan that will allow the catch to resume next year.
Thursday, September 15, 2011
MALLORCA TODAY - Brussels to be alerted over Muro golf course
Environmental watchdog GOB says that it intends to bring to the attention of the European Commission what it believes is the plan of the Balearic Government to unblock protection orders relating to the Son Bosc finca in Muro and so permit the development of the long-talked-about golf course.
Sunday, April 10, 2011
MALLORCA TODAY - Palm beetle goes to Europe
Rosa Estaràs, the Partido Popular MEP for the Balearics, has asked the European Commission about mechanisms for obtaining help in trying to eradicate the palm beetle that has been devastating palm trees in Mallorca, especially in Pollensa.
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