Modernization of the legal framework of aviation transport
The new Regulation (EC) of the European Parliament and Council No. 1008/2008 on common rules for the operation of air services in the Community supersedes the existing regulations of what is termed the third liberalization package from the early nineties. This regulation concerns the issue of licenses to air carriers, regulation on access of Community air carriers to air routes in the Community and regulation on fares and rates for aviation services.
The newly adopted rules for granting, cancellation or suspension of operational licenses, inspection of air carriers and their access to the market should be to ensure greater competition in the air transport and thus simultaneously contribute to enhancement of the quality of aviation services for the public. In particular newly established air carriers will be subjected to stricter inspections. The regulation pays significant attention to the so-called financial capacity of air carriers, both from the viewpoint of passenger protection against non-fulfilment of obligations and from the viewpoint of the possible impact of an unfavourable financial situation on the safety of the operation.
A fundamental change is the regulation of the method of introduction and publication of air services fares. Air carriers are obliged to state the full and final fare of air tickets as well as a breakdown thereof by individual items, including airport and other charges. The price must be thus presented from the beginning of the order or demand for a specific service. The target is to prevent the current misleading practices of many airlines that often publish only a portion of the actual fare. The transparent procedure obligation enables the customer to simply compare fares and rates and thus market competition is increased. Price discrimination of passengers pursuant to the domicile country and automatic increase of prices for various supplementary services are also prohibited without the explicit consent of the customer.
The regulation came into force on 1 November 2008.
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