Explanatory Memorandum to COM(2005)61-1 - Signature and provisional application of the Agreement with Georgia on certain aspects of air services - Main contents
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This page contains a limited version of this dossier in the EU Monitor.
| dossier | COM(2005)61-1 - Signature and provisional application of the Agreement with Georgia on certain aspects of air services. |
|---|---|
| source | COM(2005)61  |
| date | 25-02-2005 |
Following the judgements of the Court of Justice of the European Communities in the cases C-466/98, C-467/98, C-468/98, C-471/98, C-472/98, C-475/98 and C-476/98, the Community has exclusive competence with respect to various aspects of external aviation. The Court of Justice also clarified the right of Community air carriers to benefit from the right of establishment within the Community, including the right to non-discriminatory market access.
Traditional designation clauses in Member States’ bilateral air services agreements infringe Community law. They allow a third country to reject, withdraw or suspend the permissions or authorisations of an air carrier that has been designated by a Member State but that is not substantially owned and effectively controlled by that Member State or its nationals. This has been found to constitute discrimination against Community carriers established in the territory of a Member State but owned and controlled by nationals of other Member States. This is contrary to Article 43 of the Treaty which guarantees nationals of Member States who have exercised their freedom of establishment the same treatment in the host Member State as that accorded to nationals of that Member State.
Following the Court of Justice judgements, the Council authorised the Commission in June 2003 to open negotiations with third countries on the replacement of certain provisions in existing bilateral agreements with a Community agreement.[1]
In accordance with the mechanisms and directives in the Annex to the Council’s decision authorising the Commission to open negotiations with third countries on the replacement of certain provisions in existing bilateral agreements with a Community agreement, the Commission has negotiated an agreement with Georgia that replaces certain provisions in the existing bilateral air services agreements between Member States and Georgia. Article 2 of the Agreement replaces the traditional designation clauses with a Community designation clause, permitting all Community carriers to benefit from the right of establishment. Articles 4 and 5 of the Agreement resolve legal irregularities stemming from the infringement of Community competence. Articles 4 and 5 of the Agreement address two types of clauses concerning matters of Community competence. Article 4 deals with the taxation of aviation fuel, a matter which has been harmonised by Council Directive 2003/96/EC restructuring the Community framework for the taxation of energy products and electricity, particularly Article 14 paragraph 2 thereof. Article 5 (Pricing) resolves conflicts between the existing bilateral air services agreements and Council Regulation No. 2409/92 on fares and rates for air services which prohibits third country carriers from being price leaders on air services for carriage wholly within the Community.
The Council is asked to approve the decisions on the signature and provisional application and on the conclusion of the agreement between the European Community and Georgia on certain aspects of air services and to designate the persons authorized to sign the agreement on behalf of the Community.
Proposal for a
COUNCIL DECISION
on the signature and provisional application of the Agreement between the European Community and Georgia on certain aspects of air services
THE COUNCIL OF THE EUROPEAN UNION,
Having regard to the Treaty establishing the European Community, and in particular Article 80, paragraph 2, in conjunction with Article 300, paragraph 2, first sentence of the first subparagraph thereof,
Having regard to the proposal from the Commission i,
Whereas:
The Council has authorised the Commission on 5 June 2003 to open negotiations with third countries on the replacement of certain provisions in existing bilateral agreements with a Community agreement;
The Commission has negotiated on behalf of the Community an agreement with Georgia on certain aspects of air services in accordance with the mechanisms and directives in the Annex to the Council’s decision authorising the Commission to open negotiations with third countries on the replacement of certain provisions in existing bilateral agreements with a Community agreement;
Subject to its possible conclusion at a later date, the agreement negotiated by the Commission should be signed and provisionally applied.
HAS DECIDED AS FOLLOWS:
Sole Article
1. Subject to its subsequent conclusion at a later date, the President of the Council is hereby authorised to designate the person or persons empowered to sign on behalf of the Community the agreement between the European Community and Georgia on certain aspects of air services.
2. Pending its entry into force, the agreement shall be applied provisionally from the first day of the first month following the date on which the parties have notified each other of the completion of the necessary procedures for this purpose. The President of the Council is hereby authorised to make the notification provided in Article 8.2 of the agreement.
3. The text of the agreement is annexed to this decision.
Done at Brussels,
For the Council
The President