Select Committee on European Scrutiny Thirtieth Report


2 Maritime safety

(27218)

5171/06

COM(05) 589

Draft Directive amending Directive 2002/59/EC establishing a Community vessel traffic monitoring and information system

Legal baseArticle 80(2) EC; co-decision; QMV
DepartmentTransport
Basis of considerationMinister's letter of 18 May 2006
Previous Committee ReportHC 34-xviii (2005-06), para 8 (8 February 2006)
To be discussed in Council8-9 June 2006
Committee's assessmentPolitically important
Committee's decisionNot cleared; further information requested

Background

2.1 Directive 2002/59/EC established a Community vessel traffic monitoring and information system aimed at preventing damage to marine and coastal environments by making shipping safer. The Commission proposes this draft Directive to amend some of the existing provisions of Directive 2002/59/EC — notably in respect of technical requirements for information interchange, declarations concerning the carriage of dangerous or polluting goods, suspect vessels, places of refuge and comitology[2] — and to introduce new provisions — notably in respect of carriage of Automatic Identification System (AIS) equipment on board fishing vessels and measures in ice conditions.

2.2 In February 2006 we said that before considering this matter further we should like to:

  • hear whether the Government had concluded that there is a subsidiarity problem arising from the proposal;
  • have the Commission's impact assessment, particularly in relation to costs for the fishing industry;
  • see the Government's Regulatory Impact Assessment; and
  • hear of developments during negotiations on a number of matters the Government had drawn to our attention as problematic.

Meanwhile we have kept the document the document under scrutiny.[3]

The Minister's letter

2.3 The Minister of State, Department of Transport (Dr Stephen Ladyman) writes now with a response on a number of points. In relation to subsidiarity he says that on consideration the Government does not think that the Commission's proposal falls foul of the subsidiarity principle. The Minister comments that as shipping is an international business the best place to develop regulatory standards for it is the International Maritime Organization. Nonetheless matters covered by the proposal are broad areas where there is already regional, that is Community, legislation and it does not appear to push the boundary significantly further.

2.4 As for the proportionality of the proposal for carriage of AIS equipment on fishing vessels, which had been prompted by a number of unfortunate collisions between merchant ships and fishing vessels, the Minister tells us that, while the Government recognises there is a problem to be addressed, it has questioned whether the proposed response is right, particularly holding that the cost burden which the provision would impose is disproportionate to the likely safety benefit. He says that although the issue has yet to be resolved the majority of Member States do not share the Government's view and it is likely that the text of the draft Directive for consideration by the Transport Council will contain a provision relating to AIS on fishing vessels.

2.5 The Minister continues that consequently the Government has sought with like-minded Member States to reduce the cost impact on the fishing industry by ensuring that the requirement to carry AIS equipment is phased in over a number of years after the draft Directive comes into force. He says:

  • the likely outcome will be a phase-in period of four or five years, starting with larger vessels (where the cost will be proportionately less in terms of the other costs of operating and maintaining the vessel) working down to the smaller boats (where the costs of fitting AIS would be proportionately higher);
  • the annual cost impact on the UK industry if a five year phase-in period were agreed would be of the order of £240,000. Vessels built after the draft Directive came into force would be required to be AIS equipped, but the cost of the AIS equipment would be minimal relative to the building and fitting-out costs of fishing vessels of 15 metres or more; and
  • while the current average cost of the necessary equipment is in the order of £1,400 the Government expects that the price of the equipment will fall in real terms over the phase-in period given the increased volume of units required and technological advances.

2.6 On developments on other issues the Minister tells us:

  • the Government and a number of other Member States continue to argue strongly against an explicit reference to the draft Directive on civil liability and financial securities of shipowners, which is not currently under Council discussion.[4] One reference has been deleted from the Presidency text, and the Government and like-minded Member States favour a straightforward deletion of the other reference. A small minority of Member States still wish to retain the reference on the grounds that the other draft Directive may yet be taken up by a Presidency before this proposal is adopted. Some Member States have yet to commit themselves to a position;
  • the provisions on places of refuge for vessels in distress have met with severe opposition from some Member States who considered that it would impose obligations on them which they were reluctant to accept. The Presidency text has been modified to take account of these concerns. The reference to "an independent competent authority", on which the Government wanted clarification, has now been removed and it expects that the reference to meetings of Member States' authorities being held at the initiative of the Commission, on which it has reservations, will also be removed; and
  • the Government and another Member State have pressed, in relation to the provision on measures in ice conditions, for wording, analogous to that in the existing Community legislation so as to reaffirm the decision-making role of the master in the context of the Safety of Life At Sea Convention. New wording has been developed which both the Government and the other Member State accept as sufficient.

2.7 As for future progress on the draft Directive the Minister says that it is expected that the June 2006 Transport Council will be adopted and that the European Parliament's first reading of the proposal is currently scheduled for November 2006.

2.8 Finally, the Minister says that he expects to send us a Regulatory Impact Assessment of the proposal shortly.

Conclusion

2.9 We are grateful to the Minister for this account of where matters stand on this proposal. However we wish to give further consideration to the draft Directive once we have:

  • the promised Regulatory Impact Assessment, which we assume will take account of the department's informal consultations with the industry; and
  • the English version of the Commission's own impact assessment we requested previously.

2.10 Meanwhile we do not clear the document.





2   Comitology is the system of committees which oversees the exercise by the Commission of legislative powers delegated to it by the Council and the European Parliament. Comitology committees are made up of representatives of the Member States and chaired by the Commission. There are three types of procedure (advisory, management and regulatory), an important difference between which is the degree of involvement and power of Member States' representatives. Back

3   See headnote. Back

4   See (27271) 5907/06: HC 34-xxi (2005-06), para 6 (8 March 2006). Back


 
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