ALAN GEORGE BRUSSELS

Voluntary codes being drafted by airlines and airports as part of the European Union's project to strengthen air passenger rights should be adopted by next Easter. They will be underpinned by new legislation on airline contracts and on denied boarding.

Leading the drafting programme are the Brussels-based Association of European Airlines and the Brussels office of Airports Council International. Following adoption, the new codes will be presented at a joint conference of the European Commission (EC) and the European Civil Aviation Conference in Lisbon in May.

An EC Communication, or policy document, on passenger rights, issued in June, said that the voluntary airline code would be aimed at "improvement of service quality as widely as possible". Examples of possible new measures include: the offer to passengers of the lowest fare available, allowing reservations to be held or cancelled without penalty for 24 hours, and the provision of adequate care for passengers when delayed on-board an aircraft.

"The airline code will echo the code adopted by US airlines late last year, but will be more precise," says a Brussels insider.

Meanwhile, EC Transport Commissioner Loyola de Palacio plans to propose new legislation on airlines' contracts with their passengers. These are presently governed by an EC Directive of 1993, entitled Unfair Terms in Consumer Contracts, but this was not drafted specifically for the aviation industry. The aim will be to introduce greater precision.

"Before we propose legislation, we want to see the final shape of the voluntary codes of conduct", said an EC official. "Presently, our hope is to finalise proposals in summer 2001."

In the shorter term, De Palacio plans new legislation over denied boarding caused by over-booking. Again the current legislation, EC Regulation 295 of 1991, is considered inadequate. A draft new law was agreed in 1998, and it also provided compensation for cancellations arising from commercial decisions by airlines. This, however, became one of a raft of aviation-related measures which have been stalled by the political dispute between the UK and Spain over the future of Gibraltar.

"Now, we want to withdraw that draft legislation and propose a law which goes further in protecting passengers, possibly by deterring airlines from excessive overbooking, compensating passengers fully if denied boarding or requiring airlines to call for volunteers to take the next plane in exchange for payment", said a Brussels official, adding: "We expect to issue our proposals early in 2001".

Also planned for next year are proposals for new legislation requiring airlines to provide information for the production of regular consumer reports, or league tables, setting our airlines' records on such matters as punctuality, denied boarding and baggage mishandling.

Source: Airline Business