Mar
3
U.S & EU reach tentative Open Skies agreement
Filed Under Regulations, The aviation industry | Leave a Comment
WASHINGTON – European companies would be allowed larger stakes in U.S. airlines under a tentative agreement on Friday between the U.S. and European Union. It also would give carriers more freedom to choose trans-Atlantic routes and potentially lead to lower fares.
The agreement, announced by the Transportation Department, would allow European airlines to fly from anywhere in the EU to any point in the U.S, and vice versa. For example, it would end restrictions on the number of airlines allowed to fly between the U.S. and London’s Heathrow Airport, one of the world’s busiest.
Only four carriers — United Airlines, American Airlines, British Airways and Virgin Atlantic — now serve that market.Transportation Secretary Mary E. Peters said the agreement ‘will offer more choice and convenience to American consumers.’
EU Transport Commissioner Jacques Barrot said he would ask EU nations to back the deal when EU transport ministers meet March 22. There is U.S.-EU summit in May at which the deal would then likely be considerd. The U.S. Congress must also back the deal before the new rules would kick in Oct. 28.
‘We have an opportunity to unlock major benefits on both sides of the Atlantic,’ Barrot said in a statement. ‘In economic terms, this unprecedented agreement would represent a step change.’
Ed,
Open Skies is a big one. I need to do some research before I can make any real comment here. If anyone out there is in ‘the know’ please feel free to give us all a perspective.
Level playing fields are the only truly sound basis on which to proceed. Proposals which heavily favor either party have clogged the wheels in the past.
Try here for the BBCs take on the aggreement.
Tags
Regulations, The aviation industry