The EU executive yesterday (10 March) proposed to amend the 1993 'slots' Regulation on common rules for the allocation of slots at EU airports for at least the upcoming summer season (until October 2009). The idea is to help airlines reduce their flight offer, it said.
The regulation, or so-called 'use it or lose it' rule, allows an airline to keep landing slots from one season to the next provided that it effectively uses at least 80% of them. Now, the Commission is arguing that to deal with the current economic crisis and drop in traffic, airlines have to reduce their flights and not operate "purely in order to keep their slots".
The proposal follows a call from the Association of European Airlines (AEA) to allow its member airlines to "make capacity cuts with the confidence that they would not be penalised by slot confiscation". AEA asked for its members to be allowed to keep their slots for a year even if they do not use them.
While AEA welcomed the proposal as "beneficial for the consumers, the environment and all airlines", the European low-fares airline easyJet is calling on the EU to avoid protecting "the narrow commercial interest of a handful of ailing flag-carriers" who "appeal for state aid through the back door," and urges the Parliament and the Council to reject the legislation.
The Commission's proposal is "not about protecting the industry. It's about propping-up a few poorly-run, inefficient network airlines with outdated business models that cannot adapt to the demands of modern consumers," said Andy Harrison, chief executive of easyJet. This "anti-consumer" measure would only allow "inefficient, legacy airlines to hoard scarce resources from European airlines that are ready and willing to use them" and would lead to fewer flights and higher fares," he added.
Harrison also argued that the idea is inconsistent with the objective of supporting the industry, as if unused slots are not taken up by other airlines who could use them, consumers, local communities and the industry as a whole will suffer.
The association representing European airports (ACI Europe) also declared "alarmed" by the proposal, which it said had "caught the European airport industry by surprise".
"We knew some airlines had requested this, but we are really appalled that no proper consultation with all industry stakeholders has taken place on what is a very sensitive issue with far-reaching consequences," said director general ACI Europe, Olivier Jankovec.
As the measure would actively incentivises airlines to further cut capacity, without freeing corresponding slots, "it would only worsen the impact of the crisis on airports and prevent them from planning and using their capacity in the most efficient way", the association stated.
The proposal is being submitted to the European Parliament and the Council "for urgent adoption", the Commission stated. However, a Council representative told EurActiv that unless the text proposed by the Commission was extremely simple, the Council and the Parliament would not have the time to deal with the issue before the June European elections.
