What does the EMSICAN draft say?

The draft of the Estrategia de Movilidad Sostenible e Inteligente de Canarias (EMSICAN) proposes examining temporary fare caps for flights between the Canary Islands and mainland Spain during periods of particularly high demand. The document cites Christmas, the summer holidays and other peak periods as examples.

A permanent general price-setting mechanism is not envisaged. Intervention would only take place if prices jeopardise residents' connectivity. The draft justifies this on the grounds of the islands' remoteness and their extreme dependence on air transport.

The connection with the rest of Spain is an essential service for the territorial and social cohesion of residents, the document states, according to La Voz de Lanzarote. No decision date or specific maximum price has been published.

How would prices be monitored?

The proposal includes a price observatory that would study the five highest-demand routes between the Canary Islands and the mainland. It would publish every six months the prices residents actually pay. No euro amount or specific start date has been given.

Airlines would have to show clearly the ticket price before and after the 75 percent resident discount. The draft also provides for scrutiny of the base price before the discount is applied.

The background is the accusation that airlines raise prices dynamically and the discount can therefore be partly eroded. Airline pricing algorithms would be audited to establish whether they disadvantage residents or subsidised routes.

What does the OSP mean for flight routes?

For routes with particularly high demand, the introduction of an Obligación de Servicio Público (OSP) would be examined. An OSP is a public service obligation that can in practice limit prices.

It would be used if prices fail to guarantee a sufficient connection for residents. This would require coordination with the Spanish state and European institutions.

The inter-island routes of the Canary Islands already have OSP status with a reference fare. The connections with the mainland are not generally subject to the same regime so far.

What changes for residents and visitors?

The existing 75 percent resident discount is not abolished or immediately altered by the proposals. There is currently no application, no new deadline and no entitlement to a capped flight price.

For foreigners and expats, the position is that residency status alone is not automatically sufficient. What matters is legal recognition as a resident for the flight discount. No new rules, deadlines or application procedures have been approved.

No price cap has been announced for tourists. A possible future regulation could indirectly influence prices at peak times, but no specific fares have been set.

Who decides on flight prices?

Responsibility for regulating and monitoring air fares lies mainly with the Spanish state, not with the Canary Islands government. The regional government can demand checks and propose measures.

Oversight of airlines and changes to the conditions of OSP routes depend on the state administration. The EMSICAN text is still under evaluation and public consultation.

What happens next?

No decision date, specific maximum price, affected routes, responsibilities for checks or entry into force have been published. There is therefore currently neither a binding price limit nor a fixed timetable.

The CNMC has observed rising fares on flights between the Canary Islands and the mainland since the introduction of the 75 percent resident discount.

For the summer 2024 season, the Gobierno de Canarias reported 12.1 million flight seats, ten percent more than in 2023. The sources do not state total costs for the proposed measures.