Subsidies for connectivity increase the air supply in the Canary Islands by 4%

The Government of the Canary Islands reported yesterday that the subsidies promoted by the Ministry of Tourism to recover air connectivity allowed the supply of air seats to the islands to increase by 4% in 2021 compared to 2019, the year before the pandemic. Through the public company Turismo de Islas Canarias, the Ministry allocated 3,550,000 euros, 1.4 million more than originally planned, to 23 airlines that operated domestic flights, with the European Union and with neighboring third countries with destination to the Archipelago in October and November of last year.

“The increase in places confirms the relevant role that this subsidy system plays, which are necessary to guarantee the profitability of the routes with the Canary Islands, compensate for the disadvantage of the islands in attracting air traffic and thus encourage the arrival of national tourists and international ”, assured the Minister of Tourism, Yaiza Castilla. In total, the airlines operated 3,040,711 seats to the islands in October and November 2021, 125,000 more than in the same period of 2019, in the pre-pandemic period, when the companies offered 2,914,182 seats to the Archipelago.

The total amount subsidized per airline was calculated according to the incentives per flight seat operated, which could be up to six euros in the case of international commercial flights and up to three euros in national commercial flights. The maximum threshold that each company could obtain within the framework of this grant was set at 300,000 euros, the note adds.

This last call for grants was added to two previous ones also framed in the context of the pandemic, the first of them approved in November 2020 and valued at almost one million euros, and the second focused on the months of April and May for a value of 500,000 euros. The counselor insists on the need to arbitrate mechanisms that compensate for the competitive disadvantage via Canary Islands prices due to its remoteness from other competing destinations in the Mediterranean area, ensuring that connectivity is what the islands require. “With these actions we managed to increase the profitability of the air routes to the Canary Islands, in a complicated context in which the mobility restrictions caused by the pandemic have caused the biggest stoppage in history in the airline industry.”

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