The Government of Broken Promises (and Whimsical Ideas)

June 29 2024 (14:36 WEST)

Just weeks before its first anniversary, the conservative Government of the Canary Islands, formed by CC and PP, can be described, based on its statements and especially its practices and decisions, as the Executive of broken promises and whimsical ideas. I will focus here on some aspects where this is clearly visible: fiscal policies, the size of the Government, the Budgets for 2024, housing and the use of the RIC, the fight against the Climate Crisis, and also issues related to territory, tourism, and the development model. In addition to the two faces it shows regarding the migratory phenomenon.

Let's start with taxation. One of the cornerstones of the electoral promises of the two Canarian right-wing parties was the reduction of the IGIC from 7% to 5%. Confirmed in the Government program and in the inauguration speech of President Clavijo. And flagrantly unfulfilled. From Nueva Canarias-Bloque Canarista, we always rejected it for two fundamental reasons. Firstly, because almost all components of the basic shopping basket have a zero-rated IGIC, so they would not benefit from the reduction. Also, medicines and feminine hygiene products or electricity for 96% of consumers have a zero rate. It is also 0% for fuel, compared to the 21% state rate. Or gas.

Secondly, we do not support it because that possible reduction from 7% to 5%, focused on much less relevant elements of consumption, would mean less income for essential public services: health, education, or dependency; as well as a reduction in what councils and municipalities receive. And it would only benefit tourism.

 

Taxes on the rich and Budgets

However, it must be recognized that CC and PP were very quick to reduce or eliminate taxes on the wealthiest. Indeed, their first regulatory decision was a decree-law to reduce inheritance and donation tax. A tax that was already subsidized for 99% of inheritances. So this subsidy is aimed at a minority, 1%, who will save 170 million euros in four years. What they did do was eliminate the fuel tax subsidy, which affects bus drivers, taxi drivers, truck drivers, farmers, or ranchers; another serious mistake that needs to be reversed.

From NC-bc we will continue to defend a progressive and fair taxation system that responds to the needs to guarantee the services provided by administrations. Those who have more should pay more. We must strongly combat fraud and tax havens. We must confront, with resources, the shadow economy.

Another of their notable failures was the reduction in the size of the Government. It has about fifty more senior officials and advisors than the previous Executive (23% more), with a total added cost exceeding 3.8 million euros per year. And it was carried out by the same people who criticized the previous Executive for having, as they said, excessive positions. The largest, most expensive, and least productive Government in history. With many unqualified people and even someone who falsifies their academic qualifications.

In addition, this Government prepared Budgets, those for 2024, with an imprudent increase in spending of 1,121 million more than in 2023 despite the return to fiscal rules, of which it dedicates 1,000 million to consolidate structural current spending and only 121 million to capital operations, significantly reducing investment spending from 17.3% of the 2023 budget to 10.5%.

Public accounts that reduce the weight of education in relation to GDP from 4.63% to 4.20%, moving us away from the 5% target established by the Canarian Law. Affecting aspects as relevant as the extension of early childhood education 0-3 years, the modernization of vocational training, or the renovation and improvement of school infrastructures. A negative circumstance that also occurs in the financing of our two public universities.

The same happens with the mistreatment of the cultural sector, reducing its allocations by 10 million, just in the opposite direction to what is indicated by the law of the Public Culture System of the Canary Islands approved unanimously by Parliament. With cuts in the Canarian Employment Service, in matters of equality and the fight against gender violence, and cutting in protected housing. Failing to comply with the Social Services Law or the Pact for Science and Innovation. And, with respect to the economic sectors, the primary sector, very affected by the inflationary crisis, suffers a reduction of 24 million.

 

Tourism and Climate Crisis

Another issue in which the Government flounders is that of economic and environmental sustainability. With speeches in which they say they have listened to what the large mobilizations of April 20 raised, but with practices aimed at promoting developmentalism and against establishing limits to growth, implementing a tourist tax to rehabilitate the infrastructures of the main Canarian economic engine and preserve the environment. Far from rectifying, they insist on new macro-projects and infrastructures that further saturate the islands: Cuna del Alma, El Mojón, Fonsalía, new hotels in Lanzarote and Fuerteventura... In one year of legislature, about 13,000 new tourist beds are underway. And, likewise, a future law on vacation rentals is proposed that, by not implementing an essential moratorium while it is debated and approved, has achieved the exponential growth of applications for new registrations, which will further complicate its regulation.

With this Government, the essential fight against the Climate Crisis does not fare any better either. The CC and PP Executive is promoting a decree to modify downwards the Climate Change and Energy Transition standard of the Canary Islands, for NC-bc one of the most important of those approved in the past legislature. A law -highly consensual, expected, and pioneering- is thus modified without listening to citizen movements, nor to the councils or municipalities. And, neither, to Parliament.

And if the forms are hardly presentable, by opting for a decree instead of processing it as a law that allows the participation of the Chamber, the substance involves substantially reducing the measures of adaptation to climate change, energy efficiency, and the fight against energy poverty. Relaxing the controls of environmental guarantees to favor speculators. Insisting, in short, on the developmentalist and denialist model defended by the partners of the pact.

The formula of the decree was also used for the control and designation from the Executive of the heads of public television and radio. Until now, qualified majorities had always been sought and, therefore, parliamentary agreements beyond the parties that support the Government of the day, regarding the Canarian Radio Television.

And along with the breaches, some occurrences. With a decree on housing agreed only with businessmen. With the brilliant idea of promoting the construction of housing on rustic land, proposed by CC. Or that of being able to use the existing endowments in the Reserve for Investments in the Canary Islands (RIC) to buy private homes, this time with the PP seal, through the Vice President of the Government and Minister of Economy and the REF Commissioner. When the RIC is conceived in the REF to generate economic activity, diversify our economy, and create employment. With that proposal, we would be financing a speculative activity with everyone's taxes to favor the accumulation of homes in the hands of a few.

And, finally, in a matter as sensitive as immigration, in which everyone, except the extreme right, supports the Government, there is an important dysfunctionality. While one part of the Executive supports the legal changes to facilitate the referral of minors to the different communities, another part of the Government, the PP, stands aside. And becomes an accomplice that will prevent these referrals from being mandatory.

As can be seen, the first year of the conservative Government of CC and PP has been plagued by numerous breaches and some notable occurrences. As well as an inability to listen to the growing citizen concerns about the development model, insisting on unlimited growth that threatens the territory, the natural environment, and the quality of life of the Canarians; and that directly influences the strong population increase of the Islands. Decisions completely removed from the general interest that seriously condition the present and the future of this land.

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