The junta De obras de los puertos: economic, financial and accounting aspects of its regulations: an empirical research of the junta de obras of the Ports of La Luz and Las Palmas (Canary Islands) through study of its journal, 1907-1908

Abstract

Ports play an important role as a driving force behind trade and economic growth. Due to its economic importance, activity in ports is runned by multiple organizations and agents. One essential entity in keeping the port well-managed was the Junta de obras (nowadays know as Autoridad Portuaria). This port management body was created in Spain at the end of the 19th century, having as main duties to boost the construction of the ports and to achieve handsome returns on the port installations, among others.In order to carry out its tasks, the Junta de obras was financed by public or private subsidies, in addition to the dues charged on cargo and shipping. These financial resources could not be spent unless a previous budget was passed. Moreover, the entity was strictly regulated from an economic, judicial and administrative perspective. Thus, regulations established how it should be organized.This paper examines the organizational rules applied to the Junta de obras in 1901 and 1903, following an accounting, economic and financial approach. An empirical study is also conducted on a Spanish port (Puerto de La Luz y Las Palmas), using as primary source the accounting records belonging to the period 1907-1908. Particularly, the entries of the first journal kept by the Junta de Obras are analized, as they disclose fair information on the economic reality of the port.The analysis shows a wide diversity of economic events carried out by the above entity during the studied period, as well as the financial resources obtained and the investments undertaken. This empirical study will allow us to compare the economic reality of the port with the duties imposed by the regulations analized.