"There can be no State money invested in Azores Airlines. The only way to capitalize SATA is through the entry of private capital. That is what is in the restructuring process and that is what we must continue to promote," said the Secretary of Tourism, Mobility and Infrastructure.

She added: "Therefore, from the cancellation of the process, we must move quickly to another privatization process that can be completed within the deadline set by the European Commission [by 2025]."

Berta Cabral was speaking at the specialized committee on Economy of the Regional Assembly regarding the Azores Plan and Budget for 2024, which will be discussed and voted on this month.

The hearing took place after the Regional Government (PSD/CDS-PP/PPM) announced the cancellation of the Azores Airlines privatization tender to launch a new one, claiming that the company was valued at six million euros at the beginning of the process and is now worth 20 million.

Berta Cabral reinforced the need for Azores Airlines to be capitalized and insisted that the Regional Government "cannot invest capital" at the risk of it being considered State aid.

"The privatization process does not stem from any instinctive will of ours, although we understand that there are matters, especially competitive ones, that should be handed over to private initiative, but there is another additional reason, which is the fact that the company needs to be capitalized," she stressed, regarding a question from Chega about the sale of the carrier.

When questioned by the PSD about the forecasts for the next high season, the minister expressed confidence in the increase in tourism indicators, but warned of the sector's unpredictability.

"The data we have from these first months of the year, the growth is in the order of double digits, 10%, 9% 11%, leads us to believe -- and this is what the agents of the sector also tell us -- that we will have a promising summer," she pointed out.

Regarding the reduction in Ryanair's operations, a topic raised by the PS, the regional secretary said that it was "very good" that the Government of the Azores had managed to ensure that the company "did not leave" the archipelago "because that was the intention."

Berta Cabral added that Ryanair was asked to fly from the Azores to Charleroi/Brussels instead of Nuremberg because the German market is already covered by Lufthansa and Azores Airlines.

"Ryanair's reduction in flights gave Azores Airlines and TAP the opportunity to completely fill the gap and the space left. In the IATA winter 2023/24, we had 1,200 more passengers traveling from the continent to the Azores," she stressed.

According to her, the regional secretariat of Tourism, Mobility and Infrastructure is presenting an investment proposal of 321.8 million euros in the Plan and Budget for this year.

Previously, heard in the Parliamentary Affairs Committee on Parliamentary Affairs, Environment and Sustainable Development, Berta Cabral (who also oversees energy) said that the executive intends to invest 35.9 million euros in the energy sector.

Also Read: Privatization cancellation of Azores Airlines is "good news", says PS (Portuguese version)