Charter SMEs Demand Cancellation of the Agreement for New Concessions at Ports IB

The Association of Small and Medium-sized Charter Enterprises (6th List) has submitted a formal request for the annulment of agreement 10397, published in the Official Gazette of the Balearic Islands (BOIB) on October 17, 2024, which requires companies to participate in a public tender for the award of mooring and ramp authorizations for vessels engaged in tourist and recreational activities at port facilities managed by Ports IB.

According to the association, the new tender terms are "completely inappropriate" and "contrary to the interests of local businesses". In their application, the companies denounce that the procedure jeopardizes the economic viability of their activities, the job stability of their employees, and the continuity of their operations. Furthermore, they claim it favors large corporations and negatively affects the local economy.

One of the main reasons they request the annulment of this upcoming tender is that they consider the public tender terms inappropriate. "The terms establish that 80% of the weight in the awarding process is based on the economic offer, which constitutes a disguised auction. Moreover, this system favors large companies with greater economic capacity and distorts competition," the association's secretariat states.

Currently, this process is generating uncertainty among local companies who do not know what will happen to their contracts and how it will affect the job stability of workers, "putting many families who depend on these activities at risk," they acknowledge.

The Association of Small and Medium-sized Charter Enterprises (6th List) has expressed its concern over the new tender terms. "The new procedure not only endangers the economic activity of our companies but also creates a climate of uncertainty that could harm many families. We demand that the authorities review this procedure and provide guarantees for the continuity of local businesses," they stated.

One of the reasons for calling this public tender, as Kiko Villalonga, manager of Ports IB, stated a few weeks ago, is that "there is a waiting list of more than 600 6th List vessels for the provision of maritime transport services, boat rentals, water activities, moorings, and ramp use." The association insists that "the market is already saturated and the entry of new competitors would not benefit the sector but would generate more conflicts in a highly competitive environment, affecting the quality of service."

For these reasons, the affected companies consider that Ports IB should allow them to continue operating without imposing additional restrictions, as they have met all their fiscal and administrative obligations. And that other bodies do not impose the same restrictions. The affected companies hope that the process will be reconsidered and that a more equitable model is sought that does not harm local small and medium-sized enterprises.