Europe's leisure carriers are optimistic that new transport commissioner Jacques Barrot will give prove more receptive to the airline industry after relations with Brussels soured in the latter days of his predecessor, Loyola de Palacio – mainly due to passenger rights.
Following a series of meetings with Barrot, European airlines seem satisfied that there will be an improvement in relations. With 67-year-old Barrot regarded as someone unlikely to be worried about making a name for himself, and the new Commission making clear that its priority is to improve the region's lacklustre record on economic growth, there are hopes that regulation will become more aviation-friendly.
Highlights of this year's work programme for the European Commission (EC) include extension of European Aviation Safety Agency (EASA) powers, traffic rights, slot allocation, financing security measures and airport capacity.
IACA, the international lobby group for leisure carriers, wants to see genuine consultation between the EC and the industry, including business-impact assessments. "We would like policy to be coherent and in favour of our industry," says Sylviane Lust, IACA director general. "We are confident after our discussions with Barrot that the new Commissioner will work in partnership with the industry to develop a strong and competitive aviation industry in Europe."
Under de Palacio, airlines felt that legislation latterly reflected an undercurrent of hostility to the airline industry within Brussels.
IACA has joined Europe's mainline and regional carriers in putting its weight behind an IATA court challenge against aspects of the passenger rights legislation through the European Court of Justice, which is expected to be decided by September at the earliest. "We hope the jurisprudence will be more reasonable than the drafting of the directive," says Lust, warning of the "legal uncertainty" that will ensue as member states develop their own interpretations of the legislation.
The EC was forced to reprint information boards detailing passenger rights at airports after industry complaints that, instead of taking the requisite neutral tone, they were biased in favour of the traveller. This latest version has also met protests from the aviation sector, raising the prospect of a third edition of the guidelines.
Passenger rights was one of the four items on the IACA hit-list in the meeting with Barrot, the others being flight and duty time limitations, slots and environmental measures.
On the time limitations, IACA complained that rules setting out the maximum duration for flights and cabin crew had taken the least efficient carriers as the standard for the entire industry. IACA members are particularly affected by this as they tend to have very high utilisation levels and members warn they would be at a disadvantage to non-European Union carriers, which are not subject to the same rules. IACA wants to see the EC draw up a framework for imposing maximum limitations and leaving implementation to national authorities.
"We have different business situations from a geographical point of view," says Arie Verberk, president of Dutch carrier Martinair.
IACA is less than enthusiastic on plans to reform the slot allocation process, including the possible introduction of secondary trading. They also warn that any watering down of historical "grandfather rights" to slots would be unacceptable while "attributing a value to scarcity of slots would not create any additional slots", and "airport infrastructure expansion is necessary and should be supported by the EC".
On the issue of fuel taxation, IACA wants to ensure that there is sufficient industry consultation. With various options – including fuel taxes, fuel charges and emissions trading – under discussion, IACA says it is too early to put its weight behind one particular method, but wants to ensure that only one of these alternatives is selected, rather than an array. It also insists on a worldwide approach.
Wolfgang John, chief executive of Hapag-Lloyd, says he would like to see a system that rewards carriers that invest in quieter cleaner aircraft.
European Commission legislative programme – 2005
1st quarter Communication on integrated tickets within and between different modes of transport Proposal for regulation on publication of airline quality services State aid to airports following the Ryanair case. Consultation through to March followed by communication in April
2nd quarter Proposal on Single European Sky implementation plan (Sesame) for air traffic management reform
April: Communication on the extension of the competencies of the European Aviation Safety Agency (EASA) until 2010, including ATC and airports, plus a proposal for regulation on airlines' operating rules and crew licences
May: Communication on a common charges framework for financing transport infrastructure, including ports and airports
June: Proposal for regulation on Community system of distribution of limited traffic rights (following the Communication on Open Skies with USA)
3rd quarter Revision of regulations on slots allocation Proposal on passenger rights in case of airline bankruptcy
4th quarter Revision of regulations on computer reservation systems
October: Proposal for revision of the third package on air transport – internal market
October: Communication on development of airport capacity through European-wide approach
November: Proposal on the organisation of safety, security and safeguards inspections
December: Communication on security for different modes of transport, including the issue of financing security measures
COLIN BAKER BRUSSELS
Source: Airline Business
