Brussels, 17/02/2000 (Agence Europe) - The European Commissioner for Transports Mrs. Loyola de Palacio could meet on Tuesday the American under-secretary of State for Trade, David Aaron, to try and find a way out in the conflict between the EU and the United States over the European ban on planes equipped with sound proofing devices, Hushkits. The Trade Commissioner Pascal Lamy, raised this question during his visit to Washington (see yesterday's EUROPE, p.7). Despite these attempts by both sides to find a compromise, the two parties seem to remain committed to their positions, for lack of space to manoeuvre.
This week the United States repeated their position in a letter to Commissioner Palacio, by stating their readiness to adopt a joint declaration through which the EU and the United states would undertake to favour the speedy adoption of stricter international environmental norms within the framework of the (ICAO). Nevertheless the condition remains the same: the EU must suspend the legislation adopted in April 1999 by the Council and, which must enter into force next May 4.
The problem remains a difference over timetables between the United States for the implementation of a ICAO resolution that foresees the total elimination of older planes answering to the ICAO "Chapter 2" norms as of April 2002. While the EU is sticking to this date of April 2002, the United States have accepted this resolution and have banned "Chapter 2" planes as of December 1999; but the authorise the re-certification of "Chapter 2" into "Chapter 3" by the addition of hushkits. According to the American data, the number of planes with hushkits in the United States has risen from 650 in 1996 to 1,800 planes in December 1999.
The EU adopted its Regulation precisely to avoid that these modified American planes, but does not total fulfil the environmental norms, are not brought into the European market between 1999 and 2002. In 1996 only 1.5% of European civil aircraft where hushkitted, or 36 subsonic planes out of 2,352. However, hushkitted planes consume 50% more fuel than unconverted Chapter 3 planes and emit 30% more Carbon Monoxide, indicated the report by Jose Valverde Lopez adopted by the Parliament.
In fact the adoption of the EU Regulation has already has an impact, as according to the American figures, the 1,800 planes equipped with the Hushkits, valued at USD 10 billion, have already lost 5% of their value. Furthermore, Omega Air, Prat & Withney, Nordam and BF Goodrich, industries associated with the production of Hushkits and the servicing of the Boeing 707,727-100 and 727-200 concerned have already lost close to USD 1.6 billion. In the letter addressed this week to the Commission, the United States called for a quick solution raising these USD 2 billion losses inflicted upon American industry.
The Transports Council let it be known that it would be ready to push back the implementation of the Regulation until September 2001 to take into account the progress of the negotiation on the new norms within the ICAO. Nevertheless the Ministers can only change the legislation only on the Commissions suggestion. The executive is sticking to its stance, despite the back and forth by the external trade representatives. In first reading, the European Parliament stood in favour of the Regulation, even hardening some positions. All is happening as if they where waiting, including for the dossier, the results of the American elections.