European Scrutiny Committee Contents


2 Aviation security charges

(30645)

9864/09

+ ADDs 1-2

COM(09) 217

Draft Directive on aviation security charges

Legal baseArticle 80(02) EC; co-decision; QMV
Document originated11 May 2009
Deposited in Parliament14 May 2009
DepartmentTransport
Basis of considerationEM of 17 June 2009
Previous Committee ReportNone
To be discussed in CouncilPossibly 8-9 October 2009
Committee's assessmentPolitically important
Committee's decisionNot cleared; further information requested

Background

2.1 Regulation (EC) No 300/2008 updated legislation establishing common standards for civil aviation security and creating a system of inspections.[16] During conciliation before adoption of the Regulation the European Parliament requested that the Commission report on the principles of financing the costs of civil aviation security measures and on adoption of the Regulation the Commission undertook to do this.

2.2 In February 2009 the Commission published this Report and indicated that it would continue preparing a legislative proposal based on the assessment in it. The key themes of the Report were:

  • the extent to which aviation security charges are linked to the cost of providing security;
  • the transparency of this link where it exists;
  • the impact of aviation security and its financing on competition between airports and between airlines; and
  • the distribution of the costs of security between taxpayers and users. [17]

2.3 In March 2009 Directive (EC) No 12/2009 on airport charges in general was adopted. However the question of security charges was not addressed during the negotiation of this Directive, as the findings of the Commission's Report were still awaited.[18]

The document

2.4 The Commission now presents this draft Directive on aviation security charges which would require:

  • airport managing bodies to provide each user annually with information on the components serving as a basis for determining the level of all security charges levied at an airport;
  • Member States to undertake impact assessments for all new and current measures that are more stringent than the standard Community-wide requirements;
  • Member States to ensure that security charges are used exclusively to meet security costs; and
  • Member States to nominate or establish an independent body to ensure the correct application of these measures.

2.5 The Airport Charges Directive, Directive (EC) No 12/2009, sets out principles for how airports should set airport charges and their relationship with airports. It covers many of the same areas mentioned in the draft Directive, such as non-discrimination, consultation requirements, providing information about underlying costs and how charges are set and a right of appeal to a regulator. However, the draft Directive differs from the Airport Charges Directive in a number of ways, including that:

  • the Airport Charges Directive only covers airports with an annual traffic of five million or more passenger movements, but there is no size threshold in this proposal; and
  • the Airport Charges Directive allows multi-annual agreements whereas this proposal requires annual agreements.

The Government's view

2.6 In his Explanatory Memorandum of 17 June the Parliamentary Under-Secretary of State, Department for Transport (Paul Clark) says that the Government welcomed the broad thrust of the Commission's Report on aviation security charges and that the policy and operational implications of this draft Directive, including whether it conforms to the subsidiarity principle, are still being considered. But he says that the Government has concerns about some of the provisions in the draft Directive, including that it:

  • appears to restrict Member States' ability to swiftly put in place More Stringent Measures for aviation security, by requiring an impact assessment to be carried out first — the Government is committed to carrying out risk assessments of such measures and to completing impact assessments for new measures, but not where this would impede swift imposition when needed;
  • proposes that the requirement for impact assessments for More Stringent Measures is retrospective, which the Government does not consider appropriate;
  • proposes differences to the Airport Charges Directive, including the lack of an annual traffic threshold for airports that would be included in the scope of the new Directive;
  • has a potential impact on small airports, including those in the Highlands and Islands;
  • does not align with the provisions in the Airport Charges Directive on consultation and transparency of costs; and
  • requires a separate security charge where there is none at present, which could be, given that a number of UK airports do not currently have separately identified security charges as these are part of general airport charges, an additional burden on airports.

The Minister adds that the Government will be seeking clarification from the Commission on the various issues and says also that it will be seeking the views of stakeholders to inform its negotiating position.

2.7 Finally, the Minister notes that the Commission's impact assessment accompanying the draft Directive:

  • says that the cost of aviation security has increased over recent years;
  • estimates that in 2002 more than 90% of this cost was recovered through security charges or taxes levied on air passengers, airlines and cargo shippers;
  • says that in 2007 these security charges yielded an estimated revenue of €1.6 billion in the Community; and
  • considers security costs constitute 1% of the air fare.

The Minister says that the Government is still analysing the impact assessment and considering the financial implications for the UK.

Conclusion

2.8 Clearly, although the matter of aviation security charges has to be addressed, this draft Directive presents some problems. So before considering it further we should like to hear from the Government about developments on:

  • its view of subsidiarity;
  • More Stringent Measures;
  • the differences between the Airport Charges Directive and this proposal;
  • the potential impact on small airports;
  • separately identified security charges;
  • the Government's analysis of the Commission's impact assessment and of the financial implications of the proposal; and
  • its consultations.

2.9 Meanwhile the document remains under scrutiny.





16   (26861) 12588/05: see HC 34-viii (2005-06), chapter 4 (2 November 2005), HC 34-xv (2005-06), chapter 2 (18 January 2006) and HC 34-xxi (2005-06), chapter 1 (8 March 2006) and Stg Co Deb, European Standing Committee, 7 March 2006, cols 3-16. Back

17   (30429) 6074/09: see HC 19-xi (2008-09), chapter 14 (18 March 2009). Back

18   (28346) 5887/07 + ADDs 1-2: see HC 41-xi (2006-07), chapter 3 (28 February 2007), HC 16-ii (2007-08), chapter 4 (14 November 2007) and HC 16-iv (2007-08), chapter 22 (28 November 2007). Back


 
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