Select Committee on Foreign Affairs Minutes of Evidence


APPENDIX 12

Memorandum submitted by British Airways Plc

  1.  All matters concerning air transport between the UK and the Russian Federation, and all matters involving overflight by UK airlines of the territory of the Russian Federation are covered by the bilateral Air Services Agreement between the two States. The UK-Russia agreement is unique among UK Air Services Agreements in that it is the Russian practice to treat overflights (i.e. the operation of services which use the airspace but do not land in Russia) as requiring specific traffic rights. The number of overflights which may be operated is also subject to negotiation and agreement with the Russian Federation. Where these overflights use the airspace over Siberia (for instance en-route to Japan) a royalty is charged for the use of the route in addition to the normal charges for the provision of air traffic services. All other Western European States are subject to the same type of agreement.

  It is thus about the most complicated regulatory environment to which British Airways is exposed.

  2.  Negotiation of Air Services Agreements on behalf of the UK is the duty of DETR. In this they are supported by the Aviation and Maritime Department of the FCO ("AMD"), as well as by the Embassy in Moscow. British Airways would like to use this opportunity to acknowledge the quality of support it receives from both AMD and the Embassy.

  3.  The relationship between British Airways and the Russian Aviation Authorities is generally positive. However, especially at the beginning of a new traffic season when schedule changes occur, we do meet many difficulties in gaining the necessary approvals. Both AMD and the Embassy have always been helpful and effective at these times. Awareness and understanding of the sometimes complex issues we face are normally good.

  4.  British Airways is also involved in the development of the use of satellite navigation technology over Russia, for which its vast airspace is very suitable. This project, known as FANSTAR, continually meets random opposition and setbacks from Russian officials, albeit that it is a joint project with the Federal Aviation Administration. The Embassy is aware of this, as is AMD, and does what it can.

  5.  British Airways has only one recommendation to make concerning the role of the Embassy in these matters. If anything its performance was best when there was an official in the Commercial department who concentrated on aviation matters. When the complexity of the relationship is taken into account—not only British Airways, but all major UK airlines are involved—a high level of knowledge and a good network among the Russian officials is essential. Such a person could not only deal with crises as they occur, but also assist in the strategic development of the relationship.

  6.  In our view the final goal should be that the UK-Russia aviation relationship should be "conventional", i.e. free overflight, multiple designation of airlines, etc. To some extent we are looking to the EU, together with airlines similarly affected from other European countries, to solve the matter of overflights. The process is inevitably slow, and the UK should take pains to improve its own agreements in the meantime. DETR will naturally lead for the UK, but input from the FCO will be invaluable, especially the kind of input only an expert "on the ground" in Moscow can give.


 
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