- Email: [email protected]
European airports: the position of ACI Europe
he Airports Council International (ACI)is the only worldwide association of airport operators. The European Region (AC1EUROPE) represents the interests of some 450 airports in 48 countries in Europe, employing over 1.1 million people. AC1 Europe member airports enplane 90%of commercial air traffic in Europe, handling over 931 milIion passengers, 13 million metric tonnes of cargo and 17million aircraft movements.
Airports back Single European Sky Onthe eve of the presentation of the report from the High Level Group on Single European Sky to the Transport Council on 20-21December 2000by EU Transport CommissionerLoyola de Palacio, Europe’s airports pledged their full support for the reforms recommended by the Group. AC1 EUROPE experts, who worked with the High-Level Group from the very beginning, were among the first to recognise the importance of the reform of European Air TrafficManagement for the efficient operation of the civil aviation industry in Europe. Europe’s airports united behind the recommendation by the High Level Group for the joint management of European airspace.The EU mechanismswill ensure a smooth decision-making process, while the technical expertise will be left with EUROCONTROL.“This is the best arrangement for a sturdy implementation of common measures while ensuring that those measures are indeed the
most efficient solution for the industry,” said Philippe Hamon, Director General of AC1EUROPE. AC1EUROPEalso favours measures aimed at freeing up the significant part of European airspace currently used by the militaryfor civilaviation.PhilippeHamon went on to say “While frontiers on the ground are disappearing with the Single Market, they still remain very evident in Europe’s fragmented skies. It is time to re-thinkradicallythe cooperationbetween the civil and the military in order to remove unnecessary barriers to the normal functioning of the air transport for the benefit of our citizens. Weurge the TransportCouncilto embrace the recommendations made by the High Level Group, and to adopt in cooperation with the European Commission a programme of decisive reform of the European Sky.”
Airports call for more stringent nob standards Europe’s airports deeply regret that the conflict between the EU and the US on hush-kits will be allowed to continue in the wake of the ICAO decision to reject the EU protest against the US allegations of unfairness in the treatment of hush-kitted aircraft in the EU. AC1EUROPEDirector General Philippe Hamon said: “Negotiation is the only efficient way to resolve this conflict. The continuation of the US challenge to the EU hush-kit regulation is hard to understand, given that both sides have undertaken to propose more stringent noise
standards at the world level in the immediate future. These standards are currently being defined and the next ICAO CAEP/5 meeting in January 2001 in Montreal will hopefully reach agreement to adopt them. European airports have contributed to the deliberations on the issue.” The AC1 position, which has recently been reaffirmed by the AC1 World Governing Board and was presented in Montreal in January 2001, calls for the new noise standards to include a reduction in aircraft noise by at least 14 dB within the airport’s noise contour, with a minimum reduction of 4 dB at each of the three measurement points. “With forecast air traffic volumes doubling over the next decade, only a progressive and credible reduction in the noise of each and every aircraft movement can make this growth sustainable. Clearly the continued operation of hushkitted, but still noisy, aircraft is incompatible with this goal,” said Philippe Hamon. Research shows that the noise impact of hush-kitted aircraft is significantly higher than that of most modern types of aircraft originally categorised as ‘Chapter 3’. A 12% increase in the number of hush-kitted aircraft at an airport is equal to a SO%increase in the noise contour (the zone around the airport affected by aircraft noise), thus having significant environmental impact on the communities around airports. AC1EUROPEurges both the US and the EU to continue pressing for a global agreement on a more stringent noise certification standard within ICAO, which will safeguard the sustainable
Airports for the Future development of air transport in the long term.
Slot allocation Airports call for new debate on controversialmarket access issues As European Transport Ministers meet today to give further consideration to the European Commission’s plans for a new slot allocation system for congested airports, AC1EUROPEcalls upon Ministers to rethink radically the current proposals for the enforced confiscation of slots to ensure access for new entrants, and for creating time-based concessions for the trading of slots. Director General Philippe Hamon said: “There is no doubt that the present Regulation does not address the current realities of the aviation industry, and therefore new proposals are timely. There are two specific issues at stake. Firstly, there is the improvement of the technical rules governing the current system. On this point, Europe’s airports are united in calling for a significant increase in the role of the airport operator in the slot allocation process, specifically in exercising proper control over the airport’s own capacity and the route network available to the community which it serves. The second issue is that of market access, and here the entire aviation industry is united in calling for a radical rethink of the proposals currently on the table. To suggest that a significant proportion of slots should be confiscated from major carriers each year, even if they are being used in a proper manner in providing necessary transport links, is plainly unreasonable and unworkable. By doing so, the Commission not only runs the risk of serious international disputes, but also puts at risk the jobs of many thousands of workers whose employment depends upon these routes. Similarly,the proposals for the time limiting of traded slots will create massive uncertainty in the market, and would make long-term infrastructure planning by airport operators impossible. AC1EUROPEsuggests a pragmatic approach.The EuropeanCommissionshould
move forward with the much needed technical amendments to the current Regulation, whilst at the same time opening a proper debate with industry and the Member States on the competition and market access issues. By doing so, we stand the best chance of arriving at a new system which can be universally acceptable.”
Slot allocation ACI EUROPE detailed response to industry consultation Ensure that airports follow the same transparent, objectiveand recognisedmethods to assess the capacity available for slot allocationnotably by taking into account all factors,technical,operationaland environmental,that affectthe throughput of all infrastructuresub-systems. AC1 EUROPE fully agrees that capacity analyses should be performed in a totally objective and transparent mariner, but suggests that methods used should be flexible and take into account local problems.A strict uniformsystem would not be efictive.
Capacity analysis: information for the designation of the airport as coordinated has to reflect the highest possible convergence of data concerning both airport and ATFMslots at planning and operational level. AC1EUROPEfullyagrees with this objective, and suggests a minimum of 4 specl$%categories fm analysis, namely: runways, terminals, apron, and environmentalrestrictions.
Make this information available to all parties concerned so as to enable airlines to better plan their operations. AC1 EUROPE feels that this information should be made available, not only to airlines, but to all involved parties to plan their operations.
Member States may subject the use of slots to the size of aircraft so as to enforce environmental policy considerations. ACI EUROPE advocates a rational approach by seeking a market oriented balance of aircraft size and number of flights, and that usually priority is to be given to the carrier intending to use the largest aircraft, except when local circumstancesrequire otherwise. The coordinators are given the status
(factual and legal independence) and the
resources to implement permanent, accurate and reliable monitoring to enforce the correct and efficient use of slots. Schedules facilitatorshave to be appointed following the same principles. AC1 EUROPE welcomesthe recommendation that coordinationactivitiesshould be sufficientlyfimded, but would like to see a clear policy on how these activities arefunded.
Coordinators are instructed to permanently cooperate with the airport and ATC and the air carriers for the successful monitoring and early warning against the abuses. AC1 EUROPE agrees.
Coordinators decisions are taken after having heard the air carrier concerned. Coordinators decisions should not be taken before both airlines and the airport managing body have been heard.
Coordinators are made accountable: Member States have the obligation to ensure that the decisions of coordinators are subject to judicial review. ACI EUROPE agrees.
The reality of airport operations shows that slots are generally allocated in series: the exception to that are single slots at short notice. This is reflected in the proposal. AC1 EUROPE agrees.
Scheduled and non-scheduled programmed services are placed at equal footing; both have to meet the 80% usage calculation to be entitled to claim the same series of slots at the next equivalent scheduling, period (season) under grandfather status. AC1 EUROPE filly supports the 80% usage rule to entitle claim to a series of slots.
Grandfathered rights cannot be retimed unless the air carrier proposes to use better (larger and/or more modem) aircraft. AC1 EUROPEfeels that the proposalfor retiming is too restrictive. There may be many reasons for airlinesneedingto re-timetheir schedules, and this proposal could result in airport capacity not being used effectively.
Slots for routes where comparable services provided by other modes of transport exist (e.g. high speed trains) have a low priority. Although airports support all steps to reach better intermodality,AC1 EUROPE believes that the market should decide which mode of
AIR & SPACE EUROPE
l
VOL. 3
l
No I I2 - 200 I
ACI ..__,.... Europe Position -l.” ..-...... ...” .._ transport in the individual case is the most appropriate one.
Local rules and guidelines proposed by the coordination committee have to be approved by the Member State concerned to be thereafter applied by the coordinator; such rules have to comply at all times with Community law, such as air transport rules regarding market access and competition rules. AC1 EUROPEagrees with the principle and urges that the Commission recognises the rights ofairports in proposing local rules.
All new capacity is to be allocated freely from the pool on time limitation - 10 years. This measure applies to all carriers (new entrants and incumbents). All slots should be considered as concessions insofir as they merely provide an airline with the right to usean airport.However, as long as users of slots are following the rules, for example, 80% usage, they should be considered as having grandfather rights. ACI EUROPE is not convinced of the eflectiveness of returning slots to the pool after a certain period of time, particularly when these slots are being well used for necessary air services as they merely provide an airline with the right to use an airport. New entrants are given priority in the
allocation process from the pool and get the first 50% of the slots that are placed in the pool. AC1 EUROPE feels in general a broader definition of a new entrant is needed to reject the need for competition at a route or market level. lf the 50% reservation of pool slots for new entrants is to be maintained, the restrictions to the definition of new entrants should be eliminated so that effective airline competition is achieved by a combination of large existing carriers, established emerging carriers and new operators being encouraged to compete. During this period if air carriers do not
use as cleared their slots, they lose them and the slots go again to the pool (‘use it or lose it’ principle).
can therefore respond better to any necessary adjustments of operations. AC1 EUROPE is not convinced that limit-
their slots; they have to use their slots for at least three years before selling them.
ing the ability of airlines to claim new entrant priority for competitive servicesto, 7% is sensible given the current structure of the European airline industry.
AC1 EUROPEfeels that this rule should be applicable to all airlines, not just to new entrants.
Air carriers holding grandfather rights can transfer their series of slots via a transparent, impartial and non-discriminatory auction mechanism organised by the coordinator at the airport. Slot trading can contribute to the effective use of scarce airport capacity and can enable airlines’ networks to evolve to meet the changing pattern of demand; it should therefore be allowed subject to appropriate provisions for fransparency. ACI EUROPE believes thatfurther consideration should be given to this and otherfinancial aspects of slot mobility. It may be, for example,that a proportionof the traded value is put aside for capacity enhancement, environmental mitigation, or to contribute towards the considerable costs and liabilities of the coordination process. It mayalso be necessaryto introduce local rules so that slot trading supports the optimal use of airport capacity.
All carriers (also new entrants) can participate in this auction. AC1 EUROPE is not yet convinced that auctions are an appropriate mechanism but, feels that the airport managing body should be allowed to attend any auction meetings. Furthermore it is necessay to establish clear rules for these auctions in order to secure transparency. Once slots have been put to auction they
are immediately subject to the concession system. As outlined above, AC1 EUROPE is not convinced of the @ectiveness of time-limiting slots.
Individual air carriers can acquire a limited number of slots available for allocation at the airport; this means effectively avoiding the creation or reinforcement of dominant positions whilst small carriers and new entrants have a realistic chance to grow. AC1 EUROPE agrees with the principle of
ACI EUROPE fully agrees with this proposal but feels that in certain circumstances it should be possible for the Coordination Committee to decide upon individual cases. New entrants are air carriers with a
avoiding any airline gaining a dominant position at an airport but is not convinced of the universal applicability of specificlimits.
stronger presence (7%) on the market than before (current Regulation 3%) and
New entrants cannot enter the market simply for making money by selling
If less than a certain percentage of total slots at the airport have been allocated to new entrants and outstanding requests for slots from such carriers still exist, Member States shall reclaim slot from incumbent air carriers on a transparent, proportionate and non-discriminatory basis to be redistributed to new entrants, unless voluntary schemes ensure that there is sufficient supply of slots to the pool or that through the better use of airport infrastructure slot capacity can be increased in the short term. With this measure, new entrants will have genuine opportunities to access the market via the pool as well as via the auctions. ACI EUROPE does not agree with the confiscation of slots. AC1 EUROPE questions whether this would contribute to the effective use of capacity, and questions whether or not this would lead to increased competition, and benefits to the consumer. This issueshouldbe dealt with at local level.
Monitoring - Enforcement: efficient use of slots. AC1 EUROPE fully supports all proposals to ensure the efficient monitoring of slots.
Airports demand greater say in slot allocation AC1 EUROPE welcomes the European Commission’s initiative to revise the current Regulation but feels that it does not go far enough in recognising the role of airports and their need for greater involvement in the key areas of the slot allocation process. The present Regulation, which dates back to 1993,does not address the current realities of the aviation industry which have changed dramatically since the time of its entry into force. During the years of full liberalisation, the airport industry has changed from being mere infrastructure providers to competitive business enterprises that must compete in order to survive. The new proposal falls short of recognising this
Aborts for the Future fact, and that airports in order to compete effectively, must have more control over the management of their assets. Airport slots are precious assets which are created by airport operators. Airports are vitally interested in using their slots in the most efficient way in order to develop a comprehensive route network and to optimise airport capacity. These criteria are fundamental to the interests of the communities served by airports. They must therefore be reflected in the priorities for allocation of slots. The airport operator is the only body which can responsibly take into account the often contradictory interests of the communities served by the airports, and those of the air carriers. In its role of the neutral arbitrator the airport is able to find a correct balance between the requirements of the market and the airlines’ demands. The airport managing body must also have primary responsibility for capacity analysis and declaration at the airport. “Slot allocation is merely a method of sharing out scarce capacity at the most congested airports. This can only be done efficiently if the airport operator is given the right to manage the capacity it creates,” said Philippe Hamon, Director General of AC1EUROPE.
ACI EUROPE resolution on night flights Adopted by the General Assembly,Rome, 22 June 2000 Whereas the European Parliament,Member States and airport operators have
expressed growing concerns with regard to aircraft noise; Whereas Europe’s airports exert a significant economic and social impact on the regions which they serve; Whereas effective land use planning is essential to ensure that gains achieved by noise reduction technology are not offset by further noise-sensitive developments around airports: l
l
l
AC1 EUROPE strongly encourages air carriers to employ sfate-of-the-art noise reduction technologies and use the quietest aircraft possible when operating nightflights; AC1 EUROPEcalls upon European legislators and regulators to undertake a full cost-benefit analysis of the social and economic impact at each individual airport before considering the introduction of restrictions on nightflights; ACI EUROPE urgesEuropeanlegislators and regulators to investigate means to tackle the issue of land use planning at European level and issue guidelines whereby national governments will be encouraged to enforce legislation in this matter.
ACI EUROPE resolution on airport competttion Adopted by the General Assembly,Rome, 22 June 2000 Whereas the structure and shape of the European air transport industry has changed dramatically over the last decade; Whereas the liberalisation of air transport in Europe has brought great bene-
fits to consumers in terms of price and choice and will continue to do so; Whereas this liberalisation has transformed the role of airports; Whereas airport companies are now exhibiting behaviours similar to the commercial sector; Whereas a general framework of competition regulation exists under European and national competition law: l
l
l
AC1 EUROPE calls upon European legislators and regulators to recognise that airports in Europe are becoming increasingly competitive entities, and that this competition will bring significant benejits to airlines, consumers and to tke regions; AC1 EUROPE calls upon European legislators and regulators to allow greater application of business and market principles to airports rather than increasing regulatory intervention; AC1 EUROPE callsupon European legislators and regulators to recognise that Europe’sairports are becoming increasingly a competitive industry and should be regulated only within the existing body of European and national competition law4
Yevgeny Fbgorelov PressOfficer,ACI EUROPE Conference Unit 6 Square de Meefs B-1Mx)Brussels,Belglum Tel.:t322552G982 Fax:t32 2 513 32 43 [email protected] http://www,aci-europe.org
Airports back Single European Sky Onthe eve of the presentation of the report from the High Level Group on Single European Sky to the Transport Council on 20-21December 2000by EU Transport CommissionerLoyola de Palacio, Europe’s airports pledged their full support for the reforms recommended by the Group. AC1 EUROPE experts, who worked with the High-Level Group from the very beginning, were among the first to recognise the importance of the reform of European Air TrafficManagement for the efficient operation of the civil aviation industry in Europe. Europe’s airports united behind the recommendation by the High Level Group for the joint management of European airspace.The EU mechanismswill ensure a smooth decision-making process, while the technical expertise will be left with EUROCONTROL.“This is the best arrangement for a sturdy implementation of common measures while ensuring that those measures are indeed the
most efficient solution for the industry,” said Philippe Hamon, Director General of AC1EUROPE. AC1EUROPEalso favours measures aimed at freeing up the significant part of European airspace currently used by the militaryfor civilaviation.PhilippeHamon went on to say “While frontiers on the ground are disappearing with the Single Market, they still remain very evident in Europe’s fragmented skies. It is time to re-thinkradicallythe cooperationbetween the civil and the military in order to remove unnecessary barriers to the normal functioning of the air transport for the benefit of our citizens. Weurge the TransportCouncilto embrace the recommendations made by the High Level Group, and to adopt in cooperation with the European Commission a programme of decisive reform of the European Sky.”
Airports call for more stringent nob standards Europe’s airports deeply regret that the conflict between the EU and the US on hush-kits will be allowed to continue in the wake of the ICAO decision to reject the EU protest against the US allegations of unfairness in the treatment of hush-kitted aircraft in the EU. AC1EUROPEDirector General Philippe Hamon said: “Negotiation is the only efficient way to resolve this conflict. The continuation of the US challenge to the EU hush-kit regulation is hard to understand, given that both sides have undertaken to propose more stringent noise
standards at the world level in the immediate future. These standards are currently being defined and the next ICAO CAEP/5 meeting in January 2001 in Montreal will hopefully reach agreement to adopt them. European airports have contributed to the deliberations on the issue.” The AC1 position, which has recently been reaffirmed by the AC1 World Governing Board and was presented in Montreal in January 2001, calls for the new noise standards to include a reduction in aircraft noise by at least 14 dB within the airport’s noise contour, with a minimum reduction of 4 dB at each of the three measurement points. “With forecast air traffic volumes doubling over the next decade, only a progressive and credible reduction in the noise of each and every aircraft movement can make this growth sustainable. Clearly the continued operation of hushkitted, but still noisy, aircraft is incompatible with this goal,” said Philippe Hamon. Research shows that the noise impact of hush-kitted aircraft is significantly higher than that of most modern types of aircraft originally categorised as ‘Chapter 3’. A 12% increase in the number of hush-kitted aircraft at an airport is equal to a SO%increase in the noise contour (the zone around the airport affected by aircraft noise), thus having significant environmental impact on the communities around airports. AC1EUROPEurges both the US and the EU to continue pressing for a global agreement on a more stringent noise certification standard within ICAO, which will safeguard the sustainable
Airports for the Future development of air transport in the long term.
Slot allocation Airports call for new debate on controversialmarket access issues As European Transport Ministers meet today to give further consideration to the European Commission’s plans for a new slot allocation system for congested airports, AC1EUROPEcalls upon Ministers to rethink radically the current proposals for the enforced confiscation of slots to ensure access for new entrants, and for creating time-based concessions for the trading of slots. Director General Philippe Hamon said: “There is no doubt that the present Regulation does not address the current realities of the aviation industry, and therefore new proposals are timely. There are two specific issues at stake. Firstly, there is the improvement of the technical rules governing the current system. On this point, Europe’s airports are united in calling for a significant increase in the role of the airport operator in the slot allocation process, specifically in exercising proper control over the airport’s own capacity and the route network available to the community which it serves. The second issue is that of market access, and here the entire aviation industry is united in calling for a radical rethink of the proposals currently on the table. To suggest that a significant proportion of slots should be confiscated from major carriers each year, even if they are being used in a proper manner in providing necessary transport links, is plainly unreasonable and unworkable. By doing so, the Commission not only runs the risk of serious international disputes, but also puts at risk the jobs of many thousands of workers whose employment depends upon these routes. Similarly,the proposals for the time limiting of traded slots will create massive uncertainty in the market, and would make long-term infrastructure planning by airport operators impossible. AC1EUROPEsuggests a pragmatic approach.The EuropeanCommissionshould
move forward with the much needed technical amendments to the current Regulation, whilst at the same time opening a proper debate with industry and the Member States on the competition and market access issues. By doing so, we stand the best chance of arriving at a new system which can be universally acceptable.”
Slot allocation ACI EUROPE detailed response to industry consultation Ensure that airports follow the same transparent, objectiveand recognisedmethods to assess the capacity available for slot allocationnotably by taking into account all factors,technical,operationaland environmental,that affectthe throughput of all infrastructuresub-systems. AC1 EUROPE fully agrees that capacity analyses should be performed in a totally objective and transparent mariner, but suggests that methods used should be flexible and take into account local problems.A strict uniformsystem would not be efictive.
Capacity analysis: information for the designation of the airport as coordinated has to reflect the highest possible convergence of data concerning both airport and ATFMslots at planning and operational level. AC1EUROPEfullyagrees with this objective, and suggests a minimum of 4 specl$%categories fm analysis, namely: runways, terminals, apron, and environmentalrestrictions.
Make this information available to all parties concerned so as to enable airlines to better plan their operations. AC1 EUROPE feels that this information should be made available, not only to airlines, but to all involved parties to plan their operations.
Member States may subject the use of slots to the size of aircraft so as to enforce environmental policy considerations. ACI EUROPE advocates a rational approach by seeking a market oriented balance of aircraft size and number of flights, and that usually priority is to be given to the carrier intending to use the largest aircraft, except when local circumstancesrequire otherwise. The coordinators are given the status
(factual and legal independence) and the
resources to implement permanent, accurate and reliable monitoring to enforce the correct and efficient use of slots. Schedules facilitatorshave to be appointed following the same principles. AC1 EUROPE welcomesthe recommendation that coordinationactivitiesshould be sufficientlyfimded, but would like to see a clear policy on how these activities arefunded.
Coordinators are instructed to permanently cooperate with the airport and ATC and the air carriers for the successful monitoring and early warning against the abuses. AC1 EUROPE agrees.
Coordinators decisions are taken after having heard the air carrier concerned. Coordinators decisions should not be taken before both airlines and the airport managing body have been heard.
Coordinators are made accountable: Member States have the obligation to ensure that the decisions of coordinators are subject to judicial review. ACI EUROPE agrees.
The reality of airport operations shows that slots are generally allocated in series: the exception to that are single slots at short notice. This is reflected in the proposal. AC1 EUROPE agrees.
Scheduled and non-scheduled programmed services are placed at equal footing; both have to meet the 80% usage calculation to be entitled to claim the same series of slots at the next equivalent scheduling, period (season) under grandfather status. AC1 EUROPE filly supports the 80% usage rule to entitle claim to a series of slots.
Grandfathered rights cannot be retimed unless the air carrier proposes to use better (larger and/or more modem) aircraft. AC1 EUROPEfeels that the proposalfor retiming is too restrictive. There may be many reasons for airlinesneedingto re-timetheir schedules, and this proposal could result in airport capacity not being used effectively.
Slots for routes where comparable services provided by other modes of transport exist (e.g. high speed trains) have a low priority. Although airports support all steps to reach better intermodality,AC1 EUROPE believes that the market should decide which mode of
AIR & SPACE EUROPE
l
VOL. 3
l
No I I2 - 200 I
ACI ..__,.... Europe Position -l.” ..-...... ...” .._ transport in the individual case is the most appropriate one.
Local rules and guidelines proposed by the coordination committee have to be approved by the Member State concerned to be thereafter applied by the coordinator; such rules have to comply at all times with Community law, such as air transport rules regarding market access and competition rules. AC1 EUROPEagrees with the principle and urges that the Commission recognises the rights ofairports in proposing local rules.
All new capacity is to be allocated freely from the pool on time limitation - 10 years. This measure applies to all carriers (new entrants and incumbents). All slots should be considered as concessions insofir as they merely provide an airline with the right to usean airport.However, as long as users of slots are following the rules, for example, 80% usage, they should be considered as having grandfather rights. ACI EUROPE is not convinced of the eflectiveness of returning slots to the pool after a certain period of time, particularly when these slots are being well used for necessary air services as they merely provide an airline with the right to use an airport. New entrants are given priority in the
allocation process from the pool and get the first 50% of the slots that are placed in the pool. AC1 EUROPE feels in general a broader definition of a new entrant is needed to reject the need for competition at a route or market level. lf the 50% reservation of pool slots for new entrants is to be maintained, the restrictions to the definition of new entrants should be eliminated so that effective airline competition is achieved by a combination of large existing carriers, established emerging carriers and new operators being encouraged to compete. During this period if air carriers do not
use as cleared their slots, they lose them and the slots go again to the pool (‘use it or lose it’ principle).
can therefore respond better to any necessary adjustments of operations. AC1 EUROPE is not convinced that limit-
their slots; they have to use their slots for at least three years before selling them.
ing the ability of airlines to claim new entrant priority for competitive servicesto, 7% is sensible given the current structure of the European airline industry.
AC1 EUROPEfeels that this rule should be applicable to all airlines, not just to new entrants.
Air carriers holding grandfather rights can transfer their series of slots via a transparent, impartial and non-discriminatory auction mechanism organised by the coordinator at the airport. Slot trading can contribute to the effective use of scarce airport capacity and can enable airlines’ networks to evolve to meet the changing pattern of demand; it should therefore be allowed subject to appropriate provisions for fransparency. ACI EUROPE believes thatfurther consideration should be given to this and otherfinancial aspects of slot mobility. It may be, for example,that a proportionof the traded value is put aside for capacity enhancement, environmental mitigation, or to contribute towards the considerable costs and liabilities of the coordination process. It mayalso be necessaryto introduce local rules so that slot trading supports the optimal use of airport capacity.
All carriers (also new entrants) can participate in this auction. AC1 EUROPE is not yet convinced that auctions are an appropriate mechanism but, feels that the airport managing body should be allowed to attend any auction meetings. Furthermore it is necessay to establish clear rules for these auctions in order to secure transparency. Once slots have been put to auction they
are immediately subject to the concession system. As outlined above, AC1 EUROPE is not convinced of the @ectiveness of time-limiting slots.
Individual air carriers can acquire a limited number of slots available for allocation at the airport; this means effectively avoiding the creation or reinforcement of dominant positions whilst small carriers and new entrants have a realistic chance to grow. AC1 EUROPE agrees with the principle of
ACI EUROPE fully agrees with this proposal but feels that in certain circumstances it should be possible for the Coordination Committee to decide upon individual cases. New entrants are air carriers with a
avoiding any airline gaining a dominant position at an airport but is not convinced of the universal applicability of specificlimits.
stronger presence (7%) on the market than before (current Regulation 3%) and
New entrants cannot enter the market simply for making money by selling
If less than a certain percentage of total slots at the airport have been allocated to new entrants and outstanding requests for slots from such carriers still exist, Member States shall reclaim slot from incumbent air carriers on a transparent, proportionate and non-discriminatory basis to be redistributed to new entrants, unless voluntary schemes ensure that there is sufficient supply of slots to the pool or that through the better use of airport infrastructure slot capacity can be increased in the short term. With this measure, new entrants will have genuine opportunities to access the market via the pool as well as via the auctions. ACI EUROPE does not agree with the confiscation of slots. AC1 EUROPE questions whether this would contribute to the effective use of capacity, and questions whether or not this would lead to increased competition, and benefits to the consumer. This issueshouldbe dealt with at local level.
Monitoring - Enforcement: efficient use of slots. AC1 EUROPE fully supports all proposals to ensure the efficient monitoring of slots.
Airports demand greater say in slot allocation AC1 EUROPE welcomes the European Commission’s initiative to revise the current Regulation but feels that it does not go far enough in recognising the role of airports and their need for greater involvement in the key areas of the slot allocation process. The present Regulation, which dates back to 1993,does not address the current realities of the aviation industry which have changed dramatically since the time of its entry into force. During the years of full liberalisation, the airport industry has changed from being mere infrastructure providers to competitive business enterprises that must compete in order to survive. The new proposal falls short of recognising this
Aborts for the Future fact, and that airports in order to compete effectively, must have more control over the management of their assets. Airport slots are precious assets which are created by airport operators. Airports are vitally interested in using their slots in the most efficient way in order to develop a comprehensive route network and to optimise airport capacity. These criteria are fundamental to the interests of the communities served by airports. They must therefore be reflected in the priorities for allocation of slots. The airport operator is the only body which can responsibly take into account the often contradictory interests of the communities served by the airports, and those of the air carriers. In its role of the neutral arbitrator the airport is able to find a correct balance between the requirements of the market and the airlines’ demands. The airport managing body must also have primary responsibility for capacity analysis and declaration at the airport. “Slot allocation is merely a method of sharing out scarce capacity at the most congested airports. This can only be done efficiently if the airport operator is given the right to manage the capacity it creates,” said Philippe Hamon, Director General of AC1EUROPE.
ACI EUROPE resolution on night flights Adopted by the General Assembly,Rome, 22 June 2000 Whereas the European Parliament,Member States and airport operators have
expressed growing concerns with regard to aircraft noise; Whereas Europe’s airports exert a significant economic and social impact on the regions which they serve; Whereas effective land use planning is essential to ensure that gains achieved by noise reduction technology are not offset by further noise-sensitive developments around airports: l
l
l
AC1 EUROPE strongly encourages air carriers to employ sfate-of-the-art noise reduction technologies and use the quietest aircraft possible when operating nightflights; AC1 EUROPEcalls upon European legislators and regulators to undertake a full cost-benefit analysis of the social and economic impact at each individual airport before considering the introduction of restrictions on nightflights; ACI EUROPE urgesEuropeanlegislators and regulators to investigate means to tackle the issue of land use planning at European level and issue guidelines whereby national governments will be encouraged to enforce legislation in this matter.
ACI EUROPE resolution on airport competttion Adopted by the General Assembly,Rome, 22 June 2000 Whereas the structure and shape of the European air transport industry has changed dramatically over the last decade; Whereas the liberalisation of air transport in Europe has brought great bene-
fits to consumers in terms of price and choice and will continue to do so; Whereas this liberalisation has transformed the role of airports; Whereas airport companies are now exhibiting behaviours similar to the commercial sector; Whereas a general framework of competition regulation exists under European and national competition law: l
l
l
AC1 EUROPE calls upon European legislators and regulators to recognise that airports in Europe are becoming increasingly competitive entities, and that this competition will bring significant benejits to airlines, consumers and to tke regions; AC1 EUROPE calls upon European legislators and regulators to allow greater application of business and market principles to airports rather than increasing regulatory intervention; AC1 EUROPE callsupon European legislators and regulators to recognise that Europe’sairports are becoming increasingly a competitive industry and should be regulated only within the existing body of European and national competition law4
Yevgeny Fbgorelov PressOfficer,ACI EUROPE Conference Unit 6 Square de Meefs B-1Mx)Brussels,Belglum Tel.:t322552G982 Fax:t32 2 513 32 43 [email protected] http://www,aci-europe.org