Press "Enter" to skip to content

Rent-a-Car Companys Could be Penalised

The National Association of Car Rental Providers (ARAC) has asked the Legislative Assembly of Madeira for an urgent hearing on the proposal to revise the regional decree that regulates rent-a-car companies.

For the association, “the proposal under discussion introduces disproportionate and economically penalising measures, unparalleled in any other Member State of the European Union and without adequate technical, legal or economic justification.”

The same association warns that the approval of the proposal will put at risk the continuity of many regional companies in the ‘rent-a-car’ sector, and may cause closures and significant unemployment, with direct impacts on tourism and the economy of Madeira.”

“The ‘rent-a-car’ is the main means of mobility used by tourists visiting the Autonomous Region of Madeira. Without mobility, there is no tourism. By restricting this activity, the region’s tourism is at stake,” highlights the ARAC, in a statement.

The entity notes that the proposed measures are concerning, as requiring disproportionate private car parks is economically unfeasible without any study on their implementation, creating an obligation unlike anything else in the world. Likewise, introducing mandatory quotas for electric vehicles without sufficient charging infrastructure will have a major impact on both companies and tourists.

The obligation to place identifying labels on vehicles, contrary to the principles of privacy and commercial neutrality, and the creation of a sectoral ‘tax’ without a clear legal basis, increasing costs and weakening competitiveness, are other measures highlighted by ARAC as equally “worrying”.

ARAC considers that all these obligations, as they are foreseen, will put the sector and regional tourism at risk, so they should be immediately suspended, stresses the association, adding that “when a new legislative framework is considered, any obligations should apply equally to all mobility sectors, and not just to ‘rent-a-car,’ avoiding a discriminatory regime, without any rigorous technical study or solid legal framework.

Concluding, the ARAC regrets the absence of dialogue with the sector, and once again defends the immediate suspension of the legislative process, calling for the creation of a neutral, balanced and competitive regime, which protects employment, ensures mobility and safeguards the future of Madeiran tourism.

Samantha Gannon

info at madeira-weekly.com

Mission News Theme by Compete Themes.
Madeira Weekly