‘Open Skies’ signals boon for transatlantic air travel

European and American airlines are now allowed to serve airports on either side of the Atlantic following the entry into force yesterday (30 March) of the Open Skies agreement. Meanwhile, Europe’s enlarged Schengen area became applicable to airports.

Shrinking Atlantic

The main novelty of the agreement is that European carriers will be permitted to fly to US airports from anywhere in the EU, ending an existing system of  restrictions and bilateral deals between the US and a select number of European airlines.  

EU Transport Commissioner Jacques Barrot hailed the deal as a “new era in transatlantic aviation,” removing “incompatible and contradictory regulatory approaches on both sides of the Atlantic”. 

The Commission is also optimistic that Open Skies will create jobs and lead to significantly lower ticket prices, despite recent increases due to higher crude oil costs.

While negotiators still need to hammer out details on precisely which airlines will benefit from the deal, air travel between the EU and the US is expected to increase by 8% between April and June, with 20% more US-bound flights expected from London’s Heathrow airport, according to Commission predictions.

Achieving greater passenger travel between European and American airports is considered just the first stage of a broader effort to create a common transatlantic air travel and cargo market. EU and US negotiators are scheduled to begin second-stage talks in mid-May. The EU is expected to push the US to take further steps towards opening up its domestic market and loosening its rules on investment and ownership by European firms by mid-2010.

Streamlining passenger security checks and encouraging greater regulatory cooperation is also on the agenda of future negotiations. 

Air Schengen

Intra-European air travel became easier on 30 March with the lifting of air border controls between those countries that joined the enlarged Schengen area last December.

The measures apply to Estonia, the Czech Republic, Lithuania, Hungary, Latvia, Malta, Poland, Slovakia and Slovenia.

Barrot called the step a “unique and historical achievement” that “demonstrates the EU’s commitment to facilitating legitimate travel within and into the EU whilst at the same time improving the security of Europe’s external borders”.

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