As announced in our most recent issue (see EUROPE 11983), rapporteur, Markus Pieper (EPP, Germany) and the shadow rapporteurs reached an agreement on the revision of regulation 868/2004, which seeks to tackle unfair competition from third country airlines.
The compromises examined by EUROPE differ slightly but remain within the main thrust of the European Commission's proposal of 8 June last (see EUROPE 11804), advocating the introduction of a robust regulation given that it has not been possible to use the current regulation. The major parts of the amendments were approved by the EPP, S&D, ALDE and Greens/EFA groups.
Some of the amendments decided by the MEPs may include the European Commission setting up an investigation in view of introducing possible sanctions in the event of practices “distorting competition” and not “practices affecting competition”, as it initially proposed. This point is similar to that proposed by the Bulgarian Presidency of the Council of the European Union, which would be more difficult to implement than that advocated by the Commission.
Although in the proposal the Commission suggested the possibility of taking action in the event of the “damages threatened” against a European airline company, MEPs in this context define this concept as, “an injury that is imminent or foreseeable in the near future with probability bordering on a certainty provisional redressive measures”. To tackle this issue, MEPs also agree that the Commission is able to take temporary retaliation measures, which is something the latter is not proposing. The compromises also suggest that the Commission does not have to take retaliation measures if they go against interest of the Union, which would include the question of connectivity, a question that is extremely important to central, eastern and peripheral European countries. Following on from this proposal, multilateral agreements are not expected to prevail over this regulation if the procedures planned are different.
Finally, in an effort to make this text more robust, the possibility of suspending flights by airlines guilty of practices distorting competition or violations of international obligations, is not ruled out, unless they are explicitly included. This is contrary to what is being advocated by the Bulgarian Presidency of the Council.
The report is not expected to create too many problems and will be voted on Tuesday 20 March by MEPs at Parliament's transport committee. (Original version in French by Lucas Tripoteau)