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Spain To Maintain Protectionist Towing Rules

Spain to maintain protectionist towing rules

Spain To Maintain Protectionist Towing RulesSource: Puertos del Estado

Barcelona, Spain (PortSEurope) January 31, 2019 – Spain’s national ports agency Puertos del Estado has drafted a regulation maintaining the requirement for tugboats operating services at ports in the country be under the Spanish flag.

This condition, called flag reserve, was rejected by the Spanish competition watchdog in December in a report as “a protectionist measure that was used in the past as a reaction to international competition”.

The regulator asked the government to eliminate the clause, considering that the management of the technical-nautical services presents in Spain “a wide margin of improvement”, since “monopolistic companies usually charge excessive fees.”

However, Puertos del Estado has discarded the request of the competition watchdog, since it considers that the flag reserve ensures the adequate provision of the service, avoid “predatory” practices and protects the employment.

Source: Las Provincias

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