Fuerteventura Local News from EL SOL NEWS

Our sources have indicated various members are upset with Ryanair and the public, in which they have denounced the organization. Numerous members were not happy with the way Ryanair had held up its side of the bargain, specifically in marketing of their companies in the in flight magazine. Could it be that the island has lost 23 flights a week because an advertisement was put in the wrong place? Unfortunately this is what happens when you give a duty for the public good to a group of businessmen, who over many years have made their money, and don’t stand to benefit DIRECTLY from the arrangement that was made. Responsibility must lie within the Cabildo, who were naive enough to think that these people could detach themselves from their own personal gain long enough to look at the whole picture of what is best for Fuerteventura.

In a statement issued by the Camera de Commercio the President, Gregorio Perez, ( he is also a member of the A.I.E.) called for Carlos Cebria (President A.I.E) to publically speak about the dispute, the image of the island and the integrity of the A.I.E. He also called for all the businesses of the island along with the administrative bodies to unite in the promotion of Fuerteventura.

Questions El Sol would like to have answered:-
What will happen to the 300,000€ sitting in A.I.E. bank account
(Maybe it should be diverted to a fund for bankrupt small businesses)
Do the A.I.E. have any credibility left to deal in further negotiations on behalf of the island of Fuerteventura?
Who in the Cabildo was responsible for this .

After a month of waiting with baited breathe about the future of Ryanair services to the island , Ryanair has (10th December) announced officially that ALL ROUTES to the island will cease from the 31st of January 2009.

This is a catastrophic blow to the Islands economy, in particular the small business sector; the bars, restaurants, estate agents and service providers. The statement issued by Stephen McNamara, Public Relations Director of Ryanair, states clearly that the blame for this breakdown of the continuation lies firmly with the AIE, the organization charged with promoting tourism on the Island.

Michael Crawley is quoted below: -

“This is a very black day for Fuerteventura and one which will have a severe impact on tourism and the livelihoods of its islanders. Ryanair’s lowest fares and no fuel surcharge have delivered huge tourism revenues and over 250,000 annual passengers will now be lost to/from Fuerteventura. At a time when Spanish tourism numbers are falling Ryanair’s passenger traffic continues to grow as our fares continue to fall. However, the AIE has now taken a huge gamble with the livelihoods of the local tourism industry by blatantly reneging on its contractual commitments and losing Ryanair’s 23 weekly services to the island.

Ryanair previously called on the AIE to comply with its contractual agreements and provided them with 30 days notice to remedy their contract breach, this notice period has now lapsed with no action having been taken to maintain Ryanair’s presence in Fuerteventura. Therefore, we are faced with no choice but to end all Ryanair flights to Fuerteventura from 31st January.”

Ryanair will be pursuing money owed to them through the Spanish courts and believe that the members of the A.I.E. hold personal responsibility for these sums, should they not be prepared to settle them on a collective basis.

In a meeting convened in Corralejo on the evening of Tuesday 9th of December members of the tourist board were at pains to tell those assembled that an offer of some 80% of the money owing to the company, had been made and that they were awaiting a response. When asked whether this was a little late given the deadline for settlement expired on the 6th the representatives felt that they could do no more until this offer had at least been acknowledged.

At the meeting, the tourist board officials went to great lengths to explain that their intention in setting up the A.I.E., was to negotiate with low cost airlines to bring tourists to the island. This agreement was reached in 2007 and everything was fine until the credit crunch/crisis reared its ugly head. The original sum promised to A.I.E, apparently €1,000,000, as a means of procuring contracts became less and the number of tourists became more. This is never a recipe for success and inevitably something had to give. The solution, it was decided, was not to pay. As panic set in, particularly amongst the small businesses, an offer was made to Ryanair to pay an estimated 80% of money due to the company. The official version of events was that the Cabildo was awaiting an answer to this offer.

Considerable money has been spent this year in promoting the island in Poland, insomuch as to bring 250 Polish travel agents to the island and to tour them around and show them the great beauty and attractions that it possesses. It could be that this money would have been better spent making up the 20% shortfall in the money owing to Ryanair (a figure rumoured to be of about 100,000€). Instead we loose 23 weekly flights, which regularly bring over 5000 tourists here each week throughout the year.

So why was this situation allowed to prevail? Could it be if we look at the make up of the AIE committee that the answer lays there? The organization itself has representatives from the car hire business, and a museum, but the bulk of them are hoteliers and developers. In the main these people provide accommodation direct to the tour operators and it is fair to say that their interests lie in others directions other than the independent tourist of the type that will utilize Ryanairs services. The majority of tour company business that comes to Fuerteventura with the tour companies is, these days, on an all-inclusive basis, which in its own way has had very negative effects on the local economy, particularly in regard to the restaurants and bars of the island.

The small business association of Caleta de Fuste (AECA) is also a member and has been very vocal in supporting the efforts of the community in registering its objections and concerns about letting the Ryanair routes go. The opinion has been voiced that Caleta de Fuste does tend to benefit more from the passengers that Ryanair bring here therefore is it fair to assume that those with there business interests in the far north and south of the island will not be as keen to see a continuation?
Golf developments feature in the committee, namely Salinas and Playitas, and one can assume that they will certainly have seen some benefit from the Ryanair clients.
When trying to assess or indeed point the finger of blame for the breakdown of this arrangement then it all gets a little murky with no one person prepared to stand up and says “yes it was me, I decided not to pay Ryanair because………..”