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Ibiza is instituting new financial levies targeting British travelers as part of enhanced measures aimed at controlling tourism impact. In a move to alleviate congestion, the island is curtailing the number of rental cars and introducing a new daily tax. These regulations seek to manage the influx of vehicles and improve the overall experience for both residents and visitors.
Rental Car Restrictions in Ibiza
These measures are impacting rental car services substantially. The initiative is part of the local administration’s strategy to decrease traffic, which is aggravated by local residents and tourists. The updated guidelines will cap the number of permitted rental cars in Ibiza at 16,000, significantly lower than the nearly 28,000 requested by rental agencies. Ibiza’s governing body has finalized vehicle allocations for these firms under Law 5/2024, which focuses on managing vehicle entry to the island.
Allocation and Taxation Details
- Seventy-four companies are included in the allocation.
- The council restricts them to a total of 16,000 vehicles.
- The maximum number of vehicles assigned to a single company is 600.
- A new daily tax will be imposed.
Industry Perspectives on New Vehicle Quotas
Ramón Reus, president of the Balearic Islands’ Business Association for Vehicle Rental (AEVAB), conveyed satisfaction with the assigned quota.
“From the beginning, we knew there would be certain amounts, and in the end, that figure has been reached,” he stated to Periódico de Ibiza y Formentera.
He also mentioned that the association would be closely monitoring the situation starting in June, adding, “I think we will make a positive leap to reduce the number of cars on the island. From our point of view, it is fine.”
“Ibiza council has informed us at all times and has even asked us for our opinion. Let’s see how summer works. As islands, we must have a responsibility to achieve a better place.”
He emphasized that while rental companies aren’t solely responsible for road congestion, regulating their supply and reducing vehicle numbers should positively impact the law’s effectiveness.
Additional Measures to Limit Vehicle Influx
The initiative is part of a broader plan to curtail the total cars and their access to the island. Motorists will need approval to enter, move around, and park on Ibiza. The fee, to be determined soon, will be €1 daily for allowed vehicles. Rental car firms will also incur a tax per vehicle.
Detailed rates will be posted on Ibiza’s council websites, allowing tourists who plan to bring their cars to secure one of the 4,048 daily permits available for private vehicles arriving by ferry from mainland Spain or Mallorca.
Specific Tax Rates for Car Rental Companies
The quota accounts for motorhomes reserved at the island’s five campsites, and they too must obtain authorization. Tourists driving these vehicles in Ibiza are required to pay €1 per day between June 1 and September 30.
The ordinance specifies the tax rates for ‘rent a car’ firms, dependent on the number of vehicles allocated.
Taxation Breakdown for Rental Companies:
- Companies with 0-100 vehicles: €100 for the entire season.
- Companies with 101-150 vehicles: €200.
- Companies with 151-450 vehicles: €750.
- Companies with 451-900 vehicles: €1,500.
- Companies exceeding 900 vehicles: €1,500 plus €61 per vehicle over 900.
Legal Challenges and Government Response
The new regulations have faced opposition, with shipping company Baleària filing an appeal requesting an immediate suspension of the agreement.
However, the Ibiza council stands by the law, asserting it will, “for the first time,” establish a maximum vehicle quota permissible on the island between June and September.
The government emphasized that the legislation reflects the Ibizan community’s wishes and is optimistic that the suspension request will be unsuccessful.