Majorca to launch contreversial new rules following Ibiza's June 1 crackdown

1 week ago 10

The Spanish holiday destination of Majorca is to take its first-ever step to slash the number of cars both on the island and travelling to it in a bid to alleviate growing saturation. President of Majorca's government, Llorenç Galmés has confirmed that in the coming days, he will present the draft of the bill to regulate the entry of vehicles into Mallorca. 

It will be made public on June 13 before the government groups and later transferred to the Mobility Commission. Mr. Galmes said the regulation seeks to limit the number of vehicles that arrive on the island and that are not taxed in the Balearic Islands, in addition to proposing a cap on the fleet of rental cars that circulate in Majorca. The Parliament will have to definitively approve this rule in the coming months.

The president confirmed it will be the first time that a measure like this has been promoted to try to solve the saturation that is experienced on the island's roads, and follows the example of Ibiza and Formentera. He said that last year, the first cargo study in history was commissioned, which indicates that in 2023 alone, almost 400,000 vehicles entered through the island's ports, 108% more than in 2017.

"We have already held meetings with the main affected sectors, and we already have the support of the transporters and most of the rental car associations. They are decisive and transcendental measures that we want to approve with the maximum dialogue and consensus," he says.

The process is as follows: the plenary session of the council will establish the vehicle ceiling on an annual or biannual basis, and preference will be given to electric and non-polluting cars. Vehicles of residents, those of people with reduced mobility, emergency vehicles and security forces, as well as those for the transport of goods and commercial distribution, will be exempt from the ban. In addition, those who do not reside on the island but own a home will be able to drive with one vehicle per property as long as it is fiscally domiciled in that home.

Ibiza will implement its own new rules from June 1st. Tourists who want to bring their cars onto the island need to apply for authorisation and pay a daily fee of a Euro. But if they want to hire a car instead, it is also likely to cost more, as all hire car companies will now be subject to a new tax, depending on the number of vehicles in their fleet.

The charges will apply from June 1 to September 30 and have already stirred huge controversy. The Balearic government has rejected all the arguments and says it will not ditch the new law, which is aiming to massively cut congestion on Ibiza's roads. With effect from today, anyone wanting to bring a car onto Ibiza can do so as the website https://ibizacircular.es (available in English) goes live. It explains all of the rules and exceptions.

The National Federation of Car Rental Companies (Feneval) has warned the Ibiza council that it will launch a multi-million-dollar liability claim in the event that a court declares the regulation illegal. In a harsh statement, the employers’ association stated that the measure "calls into question legal certainty, the competitiveness of the sector, and the right to the free movement of people and goods," denouncing that the limitation "generates direct harm to car rental companies."

The executive president of the association, Juan Luis Barahona, considered that the law "breaks market equity, limits competition, and creates clear legal uncertainty," and therefore, public administrations must assume their liability for the economic consequences this decision may entail.

Among other issues, Feneval insisted that the rental vehicle fleet represents no more than 10% of the cars and motorcycles that circulate daily in Ibiza, so these companies cannot be classified as the main problem of road congestion.

"The rental car industry is being singled out as the main culprit of road congestion, and we are forgetting that the industry itself does not generate demand on its own, but rather caters to the tourists who decide to come. Therefore, we are attacking the consequence and not so much the cause," the president insisted.

Feneval has asked public administrations to reconsider implementing quotas, reiterating that the measure will harm businesses and the jobs they create, as well as citizens and tourists, who will see their mobility limited this summer. Under the new rules, only 16,000 rental cars will be allowed in Ibiza, compared to the almost 28,000 that rent-a-car companies had requested.

Tourists bringing cars onto the island will be allowed to do so provided the maximum quota of 4,168 has not been reached. Those who opposed the new charge said six euros for six days, for example, was too much and would harm tourism. But the Ibiza council is sticking to its guns and says the cuts in vehicles have to be done for sustainable reasons and to alleviate the island.

Of the legal action announced by the hire car companies, it says it will not be threatened or intimidated  and "is responding to the general interest of the island and its citizens, who are demanding control and limitation measures to preserve balance and sustainability."

"This complaint from rent-a-car companies only demonstrates that the limitation is real. Before the season has even begun, almost 12,000 (11,786) rental vehicles have already been cut, and they will not be circulating on the island's roads this summer. We have set a firm roadmap and threats will not intimidate us," said a spokesman.

According to this tax ordinance, vehicles owned by individuals or legal entities (with the exception of those who own rental vehicle fleets) residing on the island of Ibiza will not be required to pay the tax "as long as the vehicles have their tax domicile on the island."

Motorcycles and vehicles owned by non-residents of Ibiza who own a home on the island will also not be required to pay the €1 daily tax. This exemption will apply only "to one vehicle per owner, as long as it is proven that the vehicle is tax domiciled in that home."

Vehicles owned by residents of Formentera, Menorca, or Mallorca "who prove they regularly need to travel to Ibiza for work" will also not have to pay the €1 daily fee. Vehicles belonging to people with reduced mobility, official and public service vehicles, including those used by law enforcement agencies, firefighting vehicles, ambulances and healthcare vehicles, hearses, civil protection vehicles, public and school transportation, taxis, waste disposal vehicles, and public cleaning services will also not have to pay the €1 daily fee.

The new website includes a question and answer section in English https://ibizacircular.es/#FAQ

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