Thursday, 21 April 2011

EU to redraft aircraft passenger rights

By Jensen Schloss


After being heavily criticised by carriers and passenger groups, the European Union is planning to make changes to the laws governing the rights of aircraft passengers. EU regulations were brought into the spotlight in the aftermath of the chaos that was caused by the Eyjafjallajokull volcano in Iceland last year.

After losing 2.2 billion as a result of airspace closures during the eruption, airlines have argued that the Regulation on Air Passenger Rights was never meant to apply in circumstances where airlines have no control over what's happening.

The Vice President of the European Commission has indicated that the EU is preparing to reshape the regulation in an effort to make the balance of responsibility clearer in the event that airspace has to be closed or flights are grounded by extreme weather. In particular, airlines are likely to see a reduction in their liability.

The EU will also look at how compensation can be made to reflect the fares paid by passengers. After the ash cloud last year, budget airline Ryanair refused to pay compensation, arguing that they would end up paying customers more than what they paid for their tickets. Ryanair did eventually relent, but put a ceiling on the figure passengers could claim.

The European Commission appears to be receptive to the idea that the financial burden should be shared more evenly in circumstances like this. In future, airports that fail to clear snow from a runway, for instance, may be forced to pay towards compensation costs. Additionally, there is an expectation that greater emphasis will be placed on governments' responsibility to intervene and make financial support available if something along the lines of the ash cloud comes along again. Consultations with stakeholders will proceed until the end of 2011, and a new proposal will be announced in 2012.




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