Brokering an open skies aviation accord with the European Union remains a "number one priority" for the US government, although a key Department of Transportation (DoT) official concedes the result of the mid-term elections will make it difficult to push through legislation vital to reaching a deal.

DoT office of international aviation director Paul Gretch told delegates at the Institute of Economic Affairs' Future of Air Transport Conference in London last week that the 7 November transfer of power in the US House and Senate to the Democratic party "may well make it more difficult to move forward" with the proposed revision to foreign ownership rules for domestic airlines. He adds that the notice of proposed rulemaking (NPRM) has met with an "enormous wave of opposition" in the USA.

Gretch says the EU and the USA are "at a crossroads" on open skies, but stresses the importance of signing an agreement regardless of whether foreign ownership legislation can be pushed through.

The comments met strong opposition from European Commission air transport directorate representative David Batchelor, who says the EU has "made it clear" that reaching an open skies accord with the USA is dependent upon greater access to the US market and, therefore, "the ball is in the US court".

Batchelor adds that the EU's demands for greater access to the US airline market stem from its unsuccessful request for the rights for European airlines to operate domestic services within the USA.

With the two sides at a standstill, and the EU adamant that it is unwilling to sign a deal unless changes to foreign ownership legislation are implemented, there is no clear picture of when, or if, an open skies agreement will be concluded.




Source: Flight International