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Europe Daily Bulletin No. 7919
Contents Publication in full By article 24 / 50
GENERAL NEWS / (eu) eu/competition

Commission examines possibility of renewing exemption granted to ferry companies P&O and Stena Line

Brussels, 08/03/2001 (Agence Europe) - On 8 March, the Commission published a communication in the Official Journal inviting third parties interested to react to the subject of renewing an exemption granted three years ago to P&O and Stena Line. These two ferry companies had notified the Commission, on 31 October 1996, of a joint venture project called P&O Stena Line in order to provide a regular service between Dover and Calais with the help of six "mixed" ferries (that is, intended for passenger and freight transport). After an indepth inquiry, the Commission was unable to lift the uncertainty on the future development of the market in question and it had finally given a partial approval to the project by authorising it for a period limited to three years. Just before expiry of this time limit, the Commission published in the Official Journal a summary of the request made by the two companies that wished to renew the exemption. The Commission will base its decision on the observations made by third parties in order to assess the request. It will also carefully consider the various letters it has received from individual consumers complaining of increased prices for their cross-Channel travel. Registered on 22 December, the request is currently being examined in compliance with the procedure planned for maritime transport by the Regulation No4056/86. The Commission will give its verdict in 90 days from publication of the communication, and will decide whether it is appropriate to renew the exemption or not. If no objection is raised, the joint venture will automatically have a six-year exemption. If, on the other hand, there are valid objections, the Commission may grant exemption for a varying duration. P&O Stena Line, for its part, is seeking a 20-year exemption. (For details, see EUROPE of 21 November 1997).

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