Renowned economist José Carlos Díez will deliver a lecture in Alicante addressing how the war in Ukraine intersects with the 2030 Agenda. When discussing the proposed financial reforms, the speaker notes that now is not the moment to push hard changes without careful consideration.
José Carlos Díez has taught Macroeconomics and International Finance at the University of Alcalá de Henares. He serves as a delegate for Global Economic Analysis and sits on the United Nations Development Programme Advisory Council, adding to his extensive collaboration with major media outlets. The event underscores the importance of clear national and international communication. Organized by Fundación Mediterráneo and presented by Toni Cabot, director of BİLGİ Club, the conference will be held at the foundation’s headquarters this Tuesday at 19:30, with free admission until capacity is reached.
Could the war in Ukraine affect the achievement of the sustainable development goals outlined in the 2030 Agenda?
The energy transition is essential, but it will carry social costs. As gas prices rise and Germany delays the shutdown of its nuclear plants, a political agreement will be necessary to recalibrate targets to the new reality.
What position can Spain adopt to meet these challenges?
In the short term, inflation complicates the picture, yet Spain finds itself well positioned for renewable energy development. With more sunshine hours than any other European country, investment in photovoltaic capacity doubled last year and is set to double again this year. Alicante, thanks to its strategic location and abundant sun, represents a historical opportunity for a sector-wide shift, where having a roof for every industry means a valuable resource. The speaker stresses that this is an opportunity to seize, while also urging simplification of bureaucratic processes so projects don’t languish for years in permits.
Speaking about sustainable development goals, Alicante faces water scarcity for irrigation, worsened by reductions to the Tajo-Segura transfer. What solutions could help?
Since the adoption of the last hydrological plans, rainfall has fallen about 20 percent, while the population has doubled. Tourism continues to grow, and the scenario shows less rain alongside higher consumption. It is striking that desalination facilities still lack solar panels to curb costs and that a comprehensive digitalization plan for water management for irrigation and human use remains absent. Scarcity is often tackled by innovation and technology, a principle that has existed for millions of years. Spain, however, trails in research and development, and the Valencian Community ranks twelfth among autonomous communities in terms of investment.
Tourism plays a significant role in Alicante’s economy. What does the future hold for that sector?
Tourism performed strongly this summer, matching pre-COVID occupancy and income levels. Yet margins are slimmer due to higher electricity costs. The Imserso program adds uncertainty, offering only 24 euros per person per day for all-inclusive packages. This has led to concerns that the state favors a low-cost model with precarious wages, complicating the industry’s financial outlook.
Is a tourism tax still a possibility under the Generalitat?
The speaker believes no government is likely to raise taxes during an election campaign. While such fees exist in many cities, given the current hardship in the industry, it does not seem an appropriate moment. Taxes are a delicate lever that can either cool inflation or dampen business investment, so the approach should be cautious and stable.
Recently, PSOE, PP, and various autonomous communities have engaged in a broad debate over taxation. Is that wise in a crisis?
During a time of crisis, the focus should be on steady policy rather than tax tinkering. Reducing taxes could fuel inflation and hurt lower-income households, while increasing taxes risks stifling business. The aim should be calm, signaling responsible governance to investors and helping to manage risk without triggering a negative response from market sentiment.
Puig supports Government’s tax reform: ‘On the right track’
There is widespread concern about what this winter might bring economically. Will the impact be severe?
The situation will be complicated by the gas issue. There may not be rationing cards in Spain, but Europe already estimates a 10% drop in consumption this year and 4% next year, which could translate into lower industrial output and fewer jobs, affecting local businesses.
How long will the crisis last?
The recovery hinges on peace in Ukraine and a return to normal gas supplies. The expectation is that once stability returns and investments in renewable energies pay off, the country will reap sizable benefits from those ventures.
[Cited sources: Fundación Mediterráneo; public records of the event and policy discussions. Attribution to participating scholars and organizers is noted for context.]