The Federation of Small and Medium-sized Enterprises of Mallorca (PIMEM) has expressed its stance on the future of the Sustainable Tourism Tax (ITS), or ecotax, insisting that 100% of its revenue should be allocated exclusively to environmental investments. In particular, it highlights the need to prioritise infrastructure related to the water cycle, wastewater treatment, and water sustainability, preventing this tax from becoming a source of general funding.
PIMEM emphasises that the ecotax is paid almost entirely by non-resident visitors and that its impact on the final price of accommodation is minimal. “We are talking about a relatively small cost, but with huge potential if managed efficiently, transparently, and with a specific purpose,” the organisation states in a press release. Additionally, they recall that hotel prices have seen cumulative increases of over 30% in recent years, reinforcing the idea that the tax does not represent a significant burden for tourists.
Commitment to sustainability
The business federation insists that the original justification for the tax was a commitment to the sustainability of the territory, not its use as a flexible revenue tool. Therefore, they advocate for a management approach that ensures transparency and a strictly purpose-driven application of the tax, with an unwavering focus on environmental protection and improving the water cycle.
“Instead of debating whether to raise or lower the tax, we should be discussing how to ensure that every euro is invested coherently and traceably in actions that restore balance and quality to our island’s natural resources,” PIMEM concludes.
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