SEE moves towards single aviation market

31/05/2006

A new agreement between the EU and eight Southeast European countries sets the stage for eliminating restrictions, controlling air flow and congestion, and establishing a common aviation market. The economic benefits could be substantial.

By Antonela Arhin for Southeast European Times – 31/05/06

Air traffic between the EU and SEE countries has grown 121 per cent since 2001. [File]

Air transport plays an essential role in the European economy and international trade. The EU air transport industry generates 120 billion euros in annual revenues, employs 3 million people and accounts for more than 30 per cent of worldwide air transport. The creation of a single air transport market in the EU has provided substantial benefits for consumers and improved the competitiveness of the EU air transport industry.

Now, under an agreement signed earlier this month, the bloc is joining up with eight Southeast European countries to forge an expanded single aviation market, covering 35 countries in all. The European Common Aviation Area (ECAA) agreement aims to foster new opportunities for the industry, ensure uniformly high safety and security standards across Europe, and bring consistency to the application of competition rules and consumer rights.

The deal was signed in Salzburg by the transport ministers of Albania, Bosnia and Herzegovina, Bulgaria, Croatia, Macedonia, Romania, Serbia-Montenegro and Kosovo, as well as by their counterparts from Iceland and Norway. It is the first comprehensive aviation agreement since the EU Council of Ministers' adoption -- in June 2005 -- of a roadmap for developing the Union's external aviation policy. The fundamental goal of that policy is to create a wider Common Aviation Area with neighbouring countries by 2010.

Air traffic between the EU and SEE countries has seen substantial growth, increasing by 121 per cent since 2001. However, flights are still constrained by various restrictions, some of them dating back to the Balkan conflicts. Under the ECAA, these rules will be eased, creating more routes for European carriers and enhancing tourism and investment opportunities in SEE.

At the same time, the deal sets up a framework for controlling future air traffic flows, thus reducing congestion in the skies -- one of the main goals of the EU's Single European Sky initiative, adopted by the Parliamentary Assembly in March 2004.

Although the political agreement on the ECAA has been signed and multilateral deals are in place, these must be ratified by the countries' parliaments in order to go into effect.

The EU has already allocated financial means for more than 30 projects, study visits and expert advice for SEE countries, pertaining to air traffic security and training of local staff in meeting the required standards.

On 8 June, the Single European Airspace agreement will be signed by all the EU members at the Transport Ministers' Council meeting in Luxembourg.