Memorandum by the European and External
Relations Committee of the Scottish Parliament (EU 11)
EUROPEAN UNION
COMPETENCE AND
TRANSPORT
1. Thank you for your invitation to submit
evidence to the above-mentioned inquiry being conducted by your
committee. We welcome this inquiry as we believe that tackling
transport issues will form one of the greatest challenges over
the coming decades. We recognise also the potential role of the
EU and of national authorities, both in legislative and non-legislative
terms, in tackling these challenges.
2. We recognise under the Scotland Act 1998
and associated concordats that there is a role both for the UK
Parliament and the Scottish Parliament in relation to the negotiation,
transposition and implementation of Community legislation, including
that in the transport field.
3. Your committee's inquiry is far-reaching
and we will read with interest its findings, which we hope will
be disseminated widely. At this stage, however, we wish to bring
two issues to the attention of your Members that we feel are intrinsic
to any consideration of EU competences in the transport field.
These are particularly relevant to your expressed desire to consider
the inter-relationship between transport matters and the single
European market, which as a creation should be designed to both
result in a level playing field across the EU whilst also recognising,
with appropriate safeguards, the differences in transport infrastructure,
population density and geographic conditions across the EU.
EURO VIGNETTE
4. At a recent meeting of the Scottish Parliament's
European and External Relations Committee, we discussed a document
issued in the EU (EC Reference 12198/03). This referred to transit
arrangements for Heavy Goods Vehicles (HGV) in Austria. One of
our Members, John Home Robertson MSP (Labour, East Lothian), commented
on his personal experience of continental truck journeys, which
included having to pay for transit across Austria.
5. He reported that Scottish road hauliers
have strong feelings about the increasing number of trucks from
other EU member states carrying goods on UK roads without contributing
to road costs through UK fuel taxation, because they use diesel
purchased at mainland European ferry ports. He highlighted the
"vignette" system, which enables Austria to charge such
transit traffic for the use of Austrian roads, and in his view,
there must be a powerful case for a similar arrangement to address
the same problem in the UK.
6. I understand that this matter has been
considered in passing by the UK Government who reported to the
then House of Commons Select Committee on Environment, Transport
and Regional Affairs in March 20001 that, "An attempt was
made to ensure that foreign vehicles made a contribution more
or less equivalent to the VED [Vehicle Excise Duty] contribution
which British-based vehicles would have to make", but that,
"there are restrictions on what you can do under European
law because there are vignettes across Europe and there is a maximum
figure. The maximum figure is £760 a year. If you work that
out that is nowhere near the top of the range VED". During
these discussions, Mr Donohoe MP suggested that this proposal
would at least be a start.
7. At this stage, this Committee would support
the calls by Scottish road hauliers, the Road Haulage Association
and others for the UK Government to reconsider the principle of
a "Brit disc" vignette type proposal, provided it helped
to level the playing field between UK and European hauliers and
could be set up in a way which was consistent with Community law
and cost-effective to administer.
PUBLIC SERVICE
OBLIGATIONS AND
REMOTE, LIFELINE
AIR SERVICES
8. The second issue that we wish to bring
to your attention is that of Public Service Obligations (PSOs)
and lifeline Scottish air routes. A study by the Highlands and
Islands Strategic Transport Partnership (HITRANS) in May 2002
concluded that there is a compelling case on social and economic
grounds for introducing Public Service Obligations to protect
lifeline Scottish air routes.
9. This study showed that PSOs are used
widely and effectively in many European countries; that they result
in cheaper travel for remote communities; and that it is perfectly
legal for the UK Government to approve PSOs, both to assist island
and rural mainland communities and to secure slots at congested
hub air centres, such as the major London airports.
10. The study found clear evidence to suggest
that other EU countries have a stronger commitment to air services
for remote and island communities than exists within Scotland.
It identified a number of routes in Scotland—linking mainland
population centres with island communities—which, if the
criteria adopted by Governments in other countries were applied,
would clearly be eligible for PSO status and public subsidy.
11. France is an example where political
pressure applied by regional authorities to establish and sustain
air services, has resulted in widespread adoption of the PSO mechanism
by the French Government. Portugal, Ireland and Norway are also
more active than the UK in obliging carriers to maintain very
high minimum levels of frequency; use fast pressurised aircraft;
and set affordable maximum fares.
12. The Governments in France, Italy and
Germany reserve slots at their capacity constrained capital city
airports for internal air services to their remote regions. Paris
Orly, Frankfurt, Berlin, Rome and Milan all have reserved slots.
The study suggests that the case is equally strong on socio-economic
grounds for reserving slots at Gatwick for the Inverness service,
and is entirely in accordance with Article 9 of the EU's regulations.
13. The study also shows that fares are
higher on Scottish routes than on comparable routes in other EU
countries. For example, Aberdeen to Sumburgh; Glasgow to Benbecula;
Inverness to Stornoway; Inverness to Kirkwall; and Edinburgh to
Wick have higher fares than comparable Norwegian, Irish French
and Spanish routes, where PSOs are in place.
14. As a Committee, we would urge you to
support our view that there needs to be a reconsideration of efforts
to secure a greater use, over longer periods, of PSOs in Scotland
to secure and protect lifeline Scottish air routes.
9 January 2003
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