Competition Law in Tourism

480 COMPETITION LAW IN TOURISM same: As regards tourism, the European Union has the competence to carry out actions specifically “to support, coordinate or supplement the actions of the Member States” and must respect the spheres of competence of the Member States, as well as the principles of subsidiarity and proportionality according to the TFEU. This explains why such competences have been translated into the adoption of Communications by the Commission, reports and resolutions by the European Parliament and systematization of calls for action by Member States in successive Council’s Conclusions, no binding on the addressees. And also why even when Member States action is regulated by EU rules, as is the case of State aid, there are numerous factors which risk aggravating the asymmetries between Member States such as their different financial capacity and their approach towards the strategy for the recovery. Even assuming that the EU and Member States will make “smart use of existing funding opportunities under the Multiannual Financial Framework (MFF) and the Next Generation EU”, as envisaged by the Council in its Conclusions of 27 May 2021, several other factors will influence heavily the pace and success of tourism recovery within the EU and within each Member State. The 27 May 2021 Council Conclusions highlight that “the value chains in the tourism ecosystem are complex. Tourism is essentially a horizontal activity that depends on and influences several sectors and the success of the tourism industry lies in the synergies and sound interaction between them. Disruptions along the value chains may lead to significant losses for all stakeholders”. Such complexity makes it more difficult to ascertain what are the most adequate measures to adopt and recommends for due consideration of the stakeholders’ insight when possible solutions are debated. In Portugal, a clear example of the interaction between sectors concerns the dependence of the Azores and Madeira outermost regions from air travel for the success of their tourism industry. Moreover, European institutions urge the Member States for joint efforts between the different stakeholders and compliance with the EU’s goals while reiterating the need for a well-functioning, strong and resilient EU Single Market for the development and promotion of tourism. Notwithstanding, at the present moment of the ongoing COVID 19 crisis and at least in the short term, the pace of the recovery of tourism inevitably depends on other public policies of Member States, which are covered by the exceptions to the fundamental economic freedoms of movement and circulation on grounds of public health and public security. And the most recent European institutions’ calls for action envisaging greater coordination concerning for

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