Select Committee on European Scrutiny Thirty-Second Report


23 Coach and bus services

(25913)

11865/04

COM(04) 527

+ ADD 1

Commission Communication on the operation and prospects of the Community framework for passenger transport by coach and bus: access to international transport and cabotage markets, safety and rights of passengers

Legal base
Document originated29 July 2004
Deposited in Parliament2 September 2004
DepartmentTransport
Basis of considerationEM of 20 September 2004
Previous Committee ReportNone
To be discussed in CouncilNone planned
Committee's assessmentPolitically important
Committee's decisionCleared

Background

23.1 Regulations governing access to international and cabotage[46] markets for road passenger transport require the Commission to report on the application of these rules.

The document

23.2 In this Communication the Commission reports on and analyses the operation of the Regulations on access to international and cabotage markets for road passenger transport. The analysis is based partly on feedback from stakeholders over recent years. The Commission invites views on the effectiveness of current procedures in relation to international road passenger transport and invites Member States' views on how these might be improved. It says that on the basis of the views expressed it will propose towards the end of 2004 or early in 2005 legislation to change the conditions for operating regular international services.

23.3 Regulation 684/92, as amended, governing international carriage of passengers by road, requires authorisation by the competent authorities of a Member State only of regular services — those which operate on a specified route, to a fixed timetable, throughout the year. All other services have been liberalised. The Regulation also introduced a standard Community licence for international passenger transport operators, the aim of which was to facilitate checks carried out on a vehicle when it is operating outside its country of registration.

23.4 The Commission states that the existing authorisation procedure for regular international services is at odds with the general principle of opening up the transport market. So it asks whether steps — intermediate or final — should be taken towards a fully liberalised market for international regular services. The document invites views on three possibilities:

  • Member States may currently refuse an authorisation if it would seriously affect the viability of a comparable rail service. The Commission asks if this provision should be abolished and whether other restrictions on authorisation should be relaxed;
  • authorising authorities are currently required to take a decision within four months of receipt of an application. In practice, it appears that this time limit is often exceeded. The Commission asks whether the authorisation should be deemed to have been approved if the authorities have not taken a decision within the time limit; and
  • the Commission asks whether regular international services should be fully liberalised, and if so with what formalities and documentation — similar to those for the liberalised market for occasional services — in place of the present authorisation procedure.

23.5 The Commission also asks for views on clarifications it has made in the Communication of the interpretation and application of the legislation relating to the Community licence for international transport operators.

23.6 Regulation 12/98 governs cabotage in the road passenger transport sector. The Commission says that the impact of cabotage on national markets has been minimal, mainly because the qualifying conditions are so stringent. In order to carry out cabotage in another Member State an operator, in effect, has to become established in that Member State. Consequently, cabotage operations have tended to be confined to cross-border areas. However, the Commission concludes that there is no pressing need at present to amend the Regulation.

23.7 The Commission also requests views on the safety of vehicles and passenger rights, whilst recognising that this goes wider than the scope of Regulations 684/98 and 12/98. The Communication invites comments on whether safety would be increased by introducing a certification for carriers which goes beyond the minimum safety standards laid down by Community and national legislation. It also invites views on passenger rights, such as the provision of fare information, contractual terms and the mechanisms for resolving disputes.

The Government's view

23.8 The Parliamentary Under-Secretary of State, Department of Transport (Mr David Jamieson) says:

"In principle, the UK supports the continued liberalisation of international coach operations, providing that it does not compromise road safety, passenger rights or other policy aims. The paper in question is not proposing any legislative amendments at this stage, and is merely seeking reactions from Member States. The views of stakeholders will be sought prior to sending a formal response to the European Commission. However, the Commission's suggested improvements to the authorisation procedures are uncontentious, indeed they largely reflect current best practice. The third scenario, which would involve complete liberalisation, is likely to prove more controversial. Abolishing the authorisation procedures for international regular services so soon after EU Enlargement may be seen by the industry as premature."

Conclusion

23.9 We note that the consultations this document initiate may lead to a Commission proposal for full liberalisation of the international road passenger transport sector. We are content to clear this document, but wish to see in due course both the Government's response to the Communication and the views of the stakeholders concerned.


46   Cabotage is transport by an operator from one Member State entirely within another Member State. Back


 
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Prepared 28 October 2004