Brussels, 04/09/2003 (Agence Europe) - The Committee of Permanent Representatives (Coreper) will on Friday examine the modified directive proposal laying down the minimum insurance requirements to be observed by all air carriers and operators overflying EU territory. The aim is to avoid competition distortion between Community carriers and those of third countries, and to protect consumers. The European Parliament adopted its position on the dossier at first reading (codecision) in Strasbourg on 16 May (see EUROPE of 17 May).
Before arriving at a common position, Coreper must resolve the differences of opinion between Member States, on such areas as the directive's scope of application. Some delegations are apparently reluctant to include aircraft operators, whereas others (including France, Germany and the United Kingdom) feel that it is hard to check that third-country carriers are observing the provisions of the directive if they merely overfly Community territory. Another bone of contention focuses on the option open to airline carriers from third countries of supplying a bank guarantee (instead of insurance established by a certified insurance provider) to cover their insurance obligations. Several delegations feel that this would create competition distortions between Community and third country carriers.
Some of the delegations also want: - to include the provisions allowing the European Commission to propose temporary measures in case of exceptional situations (for example, in case of a hijack); - to differentiate between commercial and non-commercial airline operations in order to impose a lower insurance requirement for non-commercial operations; - to authorise airlines and insurance companies to conclude agreements between themselves to set a maximum level of compensation in case of accident.