Madeira ferry study indicates need for public funding

An economic-financial study regarding a regular maritime connection between Madeira and mainland Portugal has concluded that none of the six analyzed scenarios can achieve financial equilibrium through operating revenues alone. The findings, made public by the JPP party, indicate that projected revenues are insufficient to cover both investment and operational costs.

The study highlights that ticket prices considered acceptable by users do not cover service costs, resulting in a significant deficit across all hypotheses. One scenario suggests bi-weekly operations during high season between Madeira and Portimão, with a projected negative net present value of approximately 18.59 million euros. Another scenario proposes year-round weekly service, which offers better continuity and demand but requires substantially higher public funding, with a negative net present value of roughly 144.21 million euros.

Because the service cannot be self-sustaining, the study suggests that any implementation must be based on a model defining public service obligations, risk distribution, and compensation mechanisms. The JPP argues that the maritime link should be treated as a public policy matter for territorial cohesion and mobility rather than a purely commercial venture.