Regular shipping lines between the Canary Islands and Spanish peninsula: Competition or collusion?

Abstract

The shipping companies which operate regular lines are allowed to reach legal agreements aimed at making a rational use of their resources. It is common, therefore, for shipping companies to form `fleet conferences´ on a regular line, if this allows them to optimise their activity on it. This paper addresses the real problem of the rationalisation of the sea transport services between The Canary Islands and The Peninsula. Can these services be optimised through agreements? In order to find answers of a qualitative nature, the existing resources are analysed. Three models which are alternatives to the present situation are developed by means of perfection heuristics, taking into account both the most suitable itineraries and the composition of the fleet in keeping with the real transport needs. The comparison of these results confirms that the current model is inefficient and invites both the shipping companies and the users of this form of transport to reflect upon the need to initiate a debate on the joint use of resources.