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“As a last resort” the Guernsey Boat Owners Association (GBA) wants to submit an appeal to the Guernsey Competition and Regulatory Authority (GCRA) in response to Guernsey Ports proceeding with mooring charge proposals.
The announcement was made during the GBA’s latest AGM, where the President of the Association argued that the proposed increases would be in breach of Guernsey Competition Law.
It comes as the States States’ Trading Supervisory Board has decided to press ahead with inflation busting fee hikes at the ports.
Of those, the biggest are those aimed at private boat owners, but they hit every facet of the operations including air passengers, freight handling and cargo shipments.
Guernsey Ports - the harbours and airport - is forecast to make a loss of £6m this year, which will mean since 2020 taxpayers would have pumped £30m. into the operation.
It has begun a three-year financial transformation programme which includes both raising more money and making savings.
In a statement to the media following the GBA announcement, the Guernsey Ports Chairman, Dr Simon Thornton said:
“Guernsey Ports does not currently generate sufficient income to meet all its operating costs and maintenance requirements. If we do not increase revenues from user charges at the harbours and airport, we will need to rely on further taxpayer funding to maintain the services and facilities currently provided. That position is not sustainable, given the many competing demands on States finances.
“The STSB has sought to spread the 2024 fee increases across all port users in a reasonable manner. Under the current proposals, more than 80% of the additional, above inflation income for next year will come from increases in airport charges and harbour commercial fees. The remainder will be from increases in leisure mooring fees, and those are weighted towards larger vessels. For a medium-sized boat, a berth in one of the marinas will cost an extra £375 next year. For the vast majority of boatowners, the cost will still be much lower than in Jersey, and the south coast of the UK, even after the proposed rise.“
“This [fee increase] is despite our all our protests and responses to the two surveys and so-called consultation letter two months ago,” said Nick Guillemette.
“STSB say they will review any effects of these increases during 2024 but sadly for any boat owner who has been forced to give up their mooring during this period due to these increases, this will come too late, and their main pastime will have been destroyed and possibly their sense of well-being too.
“Those who are struggling with meeting these extreme price rises will undoubtedly cut back on their maintenance of their vessels and potentially be an increased risk to the emergency services whilst at sea.”
He said the Association is therefore being forced to seek a last resort action.
“After receiving informed legal advice, it is our intention to submit an appeal to the Guernsey Competition & Regulatory Authority (GCRA) seeking their investigation into our submission that Guernsey Ports would be conducting an abuse of its dominant market position if it were to increase its mooring charges in accordance withits proposals.
“Such an excessively large increase should be a breach of Guernsey Competition Law and be prohibited.
“At our Annual General Meeting of the Guernsey Boat Owners Association last night, it was unanimously agreed by all of the GBA members present that we should proceed with our appeal to the GCRA immediately.”
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