La Palma, known as "La Isla Bonita", has been since the 1980s of the last century a meeting point for tourism and agriculture, with bananas as one of its product compositions. Before the eruption Tajogaite, corporations retained a prosperous economy and sustained manner, with growth expectations. However, the disaster transformed this volcanic landscape, leaving many companies meet new challenges and significant damage.

Never before in contemporary history of Spain and the canary islands economy was punished and affected their productive structure. One of the extremely sensitive economic sectors to the impact of the eruption was A touristic. 85 per cent of the associated companies on the Centre of Island Initiatives and Tourism (CIT) La Palma, suffered a loss of 100 per cent in its turnover for months, as a result of damage caused by the eruption of the volcano Tajogaite. With the majority of companies associated with the CIT Island La Palma have to go to the files in employment regulations (ERTE), and with the loss over 72 kilometres of roads, the closure of hundreds of businesses and the imposition by reasons of security and health of close access to tourist area of Puerto Naos, broke the tourist economic structure. 85 per cent of the companies associated with the CIT Island La Palma embraced the ERTE. Although the majority has returned to normalcy thanks to a gradual improvement of billing, a 7 % continue today, most affected by the failure to recover its activity in the coast of Aridane valley. The traditional resources, landscape palmero destination and the security council, in addition to the hospitality and a cosy rural environment, to be determined by a rash that lasted for three months and whose consequences persist on the part of the island tourism industry today.

The landscape palmero, although there has been enriched with a new volcanic structure and two deltas lávicos following the eruption of the Tajogaite 21 september 2021 , it has arrived in the present after being shaken by the brutality of the eruption and conditional economic activity, with the stay of hundreds of tourist business professionals and workers in a situation of economic uncertainty that was saved under state aid and regional agreements, a framework for natural disaster that lasted for months.

It was not until last year, when the sector stopped receiving repeated questions on whether the Palma was a sure destination. The volcano left unprecedented socio-economic consequences in a long journey of reconstruction of that today we are speaking here from the CIT La Palma immersed three and a half years later a task that spoke and for which was essential to the state aid architecture, regional and small island developing states, and collaboration interadministrativa, as a response to this major crisis. The Center Of Tourist Initiatives (CIT) La Palma, with more than two hundred associated companies three years ago and in the process of restoration at present, persists in the work for the recovery of something more than 5.000 square s turísticas afectadas, un 24 per cent of whom were forever under the washes eruptions that cross the Valle de Aridane. In an already limited accommodation facilities, further supeditó air connectivity and profitability of companies in the industry.

In the past three and a half years La Palma has made some progress in the recovery, but this was not an easy task. The staff of the Island CIT La Palma we made strenuous efforts to combine the leadership and support for businesses are uncertainty, and the management of our own activity, maintaining contacts with the golf tour operator and travel agents, coping with hundreds of cancellations, the demise of the winter season in that year 2021, and the slow slide into a normalization not arrive until the month of march 2022 . The lapse of five months since we lost 100 per cent of the international air connections and left thousands of tourists to reach the island with an unprecedented impact. The lead-up to that standardization came with the first flight operated by Vuelinga connection París-la Palma signaling the beginning of the recovery of european tourism. In this first flight of the spanish airline of the working group International Airlines Group (INTERNATIONAL) was followed by the rest of companies: Condor, EasyJet, Iberia, Eurowings and Transavia. The associated companies the CIT Island La Palma began to look forward to a different future, 85 per cent of its partners concerned with losses of 100 per cent in the billing.

The destruction of 72 kilometres of roads shaped mobility, displacement and coverage of staff in the tourism industry and services. As the recovery became a priority, the construction of a new road along the coast, which made it possible to connect Tazacorte with Puerto Naos, on the lava. This work, opened the 25 may 2023 not only restored access to isolated areas, but also represented the possibility of access to business and activities of the services sector and another possibility in the path of normalization. The fast-track implementation of this road, en solo 4 , 5 months, was a key factor in recovery.

In 2021, the gdp of La Palma fell significantly due to the closure of business and the collapse of the tourist activity. These were also the impact of the volcano.In 2022, the gdp palmero showed signs of recovery moderate, driven by gradual reopening of the island tourist destination, although still affected by the scars of the eruption. In 2023, the economic projections indicated an upturn, with an activity that began to be revitalized by the return of tourists and the reactivation of services. The reopening of restaurants, hotels and shops, has enabled many companies faced ERTE and closures, could once again to serve its clients. However, the full recovery is not over arriving at the lack of plaza s turísticas (unas 1.000 beds). This motivates the need and hope for the construction of two hotels that have been declared of tourist interest island by the plenary of the Cabildo Insular de La Palma. Look forward with confidence to the stability of the tourist activity and strengthening the confidence of visitors. The current economic situation, although improved, still reflects the long-term effects of the eruption. The tourist sector suffered loss of assets between 700 and 1.000 euro per day each business.

Before the eruption, the CIT and its associated companies enjoyed a period of calm after passing the closures and losses at check-in by the pandemic. Until the afternoon of sunday 19 september 2021 in the volcano eruption, experienced a recovery of the hotel occupancy rates and extra prior to the pandemic, with an average of 75 % and in providing for full house in the winter season of 2021, and whose accommodation bookings and projected expenditures in services, disappeared under the unceasing barrage of volcanic ash, 1 each 3 days during the three months of eruption was affected by volcanic ash.

Aid, advice and support to associated companies, with measures such as the disappearance of quotas, and the direct dialogue with the ministry of tourism of Cabildo Insular de La Palma, were essential to address the devastating effects of the eruption. Including the destruction of infrastructure. Many companies were damaged or destroyed facilities, affecting its operational capacity, but also to the movement of staff, with the evacuation of hundreds of workers who simply cannot access their places of work in the service sector.

Since the CIT Island La Palma launched an appeal for solidarity potential national and european tourists, recalling the importance of visiting the island as a way to help it recover - the assistance they had, businesses, employers desk, included in addition to the ng enough survival mechanism, the programme of state aid to the initiative of the spanish government and the government of Canarias to help companies to cover operating costs and restored, gradually, the activity.

Companies also faced serious logistical challenges, including Interruptions in supply chain, the limitation of business opportunities with particular condition for travel agencies and companies active leisure. Many of the tourism companies had to adapt to new dynamics, often with incremental costs.

The future presents as a challenge, but also as an opportunity for reconstruction. The demonstration of the recovery as an example was the reopening of the Hotel Sol Puerto Naos, in which the chain reopened after three years of closure, establishing the symbology of recovery and the opening of Puerto Naos, the tourist resort most affected. The Hotel Meliá La Palma has experienced a remarkable transformation to a category premium from a powerful investment of nearly 4 millions of euros. In the other side of the coin, at the same avenue of Puerto Naos, the owner of one of the most popular tourist resort, this is still unable to resume its work on the concentration of high levels of carbon dioxide in the basement of the pending innovative mechanisms that can mitigate the gases, a key issue in the Alleviation committee created by the Cabildo palmero.

The eruption of La Palma has presented unprecedented challenges for companies associated with the CIT Insular La Palma. However, solidarity, resilience and recovery efforts are key to restoring economic vitality of the island. The history of La Palma is one of survival and reconstruction, and are renewed, stronger than ever. It will be possible thanks to the public-private partnerships, with the improvement of air connections, the effective promotion and the hard work of the sector, which we recognize and applaud the CIT Island from La Palma.

“ - CIT Island La Palma
- Statements by Oscar Léon, president of the CIT Island La Palma
- State aid

This article seeks to offer a vision on the impact of the volcano in the associated companies the CIT Island La Palma, incorporating all areas discussed, including aid and the need for a robust response to ensure the recovery and stability in the island.