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February 2021 BRUSSELS AIR TRANSPORT BRIEF: FEBRUARY 2021 Date: 22 March 2021 European Regulatory Newsletter By: Mélanie Bruneau, Philip Torbøl, Antoine De Rohan Chabot, Alessandro Di Mario, Antonia Rountou, Matilde Manzi AVIATION REGULATORY AND POLICY Aviation Policy: European Commission Proposes to set up new European Partnerships and to Invest Nearly €10 Billion for the Green and Digital Transition On 23 February 2021, the European Commission presented two legislative proposals to set up 10 new European partnerships (the Partnerships) between the EU Member States and/or the industry. The aim of this proposal is to accelerate the transition towards a green, climate neutral and digital Europe, and to make European industry more resilient and competitive. The European Union will provide nearly €10 billion of funding that the partners will match with at least an equivalent amount of investment. These Partnerships are provided by Horizon Europe, the new EU research and innovation program (2021-2027) and aim to improve EU preparedness and response to infectious diseases, to support the use of renewable biological raw materials in energy production, to ensure European leadership in digital technologies and infrastructures, to make rail transport more competitive, and to develop efficient low-carbon aircraft for clean aviation. In the context of the aviation industry, the “Clean Aviation,” and the “Single European Sky ATM Research 3” Partnerships are intended to help with speeding up the green and digital transition, and making the industry more competitive. The Clean Aviation Partnership's objective is to put aviation en route to climate neutrality, by accelerating the development and deployment of disruptive research and innovative solutions. It also aims to develop the next generation of ultra-efficient low-carbon aircraft, with novel power sources, engines, and systems, improving competitiveness and employment in the aviation sector. The Single European Sky ATM Research 3 Partnership aims to accelerate the technological transformation of air traffic management (ATM) in Europe, aligning it to the digital age, to make the European airspace the most efficient and environmentally friendly sky to fly in the world and to support the competitiveness and recovery of Europe's aviation sector following the COVID- 19 crisis. In terms of next steps, the Commission's proposal for a Council Regulation based on Article 187 of the Treaty on the Functioning of the European Union (TFEU) related to the two abovementioned Partnerships will have to be adopted by the Council of the European Union, following consultation with the European Parliament and the Economic and Social Committee. Aviation Policy: European Commission Presents an Action Plan on Synergies Between Civil, Defense, and Space Industries ©2005-2021 K&L Gates LLP. All Rights Reserved. 1 On 22 February 2021, the European Commission presented an action plan on synergies between civil, defense and space industries (the Action Plan) to further enhance Europe's technological sovereignty, its industrial base and to stimulate innovation across the European Union. For the first time, EU funding presents opportunities to reinforce European innovation by exploring and exploiting the disruptive potential of technologies at the interface between defense, space, and civil uses. The main goals of this Action Plan, also called the 'Three-Point Belt Plan', are: i) enhancing the complementarity between relevant EU programs and instruments covering research, development, and deployment to increase efficiency of investments and effectiveness of results (the synergies); ii) promoting such EU funding for research and development, including on defense and space, has economic and technological dividends for European citizens (the spin-offs) and; iii) facilitating the use of civil industry research achievements and of civil-driven innovation in European defense cooperation projects (the spin-ins). This Action Plan presents several targeted actions including: i) strengthening the capability-driven approach in the security sector; ii) enhancing synergies between EU programs and instruments; and ii) launching three flagship projects. In particular, the 'EU drones technologies' flagship project will aim to identify, together with the industry and defense stakeholders, the technological challenges that need to be solved in order to further develop European drone capabilities from a civil and military perspective. The flagship will contribute to formulating the technological element of the wider drone strategy 2.0, which will present an action plan to further develop unmanned aircraft into an element of the sustainable and smart mobility of the future. Aviation Policy: The European Union Aviation Safety Agency Launches Information Sessions to Support the Implementation Phase of Ageing Aircraft Structure Rule On 22 February 2021, the European Union Aviation Safety Agency (EASA) launched information sessions to support the implementation phase of the ageing aircraft structure rule, included in Commission Implementing Regulation (EU) 2020/1159 published on 5 August 2020 by the European Commission. This regulation amends the additional airworthiness specifications contained within Commission Regulation (EU) 2015/640. The 'ageing aircraft' rule addresses safety risks related to ageing phenomena in the structures of large airplanes. These risks include fatigue of the basic type design, widespread fatigue damage, corrosion, fatigue of changes and repairs, and continued operation with unsafe levels of fatigue cracking. Design approval holders are required to develop data to support continuing structural integrity programs for specific categories of large airplanes. At the same time, operators of those airplanes need to revise their aircraft maintenance programs to incorporate those data and to address the adverse effects of changes and repairs on each airframe and its associated maintenance requirements. The elements of the regulation related to ageing aircraft became applicable on 26 February 2021. However, each specific requirement has its own specific deadline for submission of the required data to EASA and for the revision of aircraft maintenance programs. Airport Slots: The European Union Amends the Airport Slots Regulation and Relieves Airlines of Airport Slot-Use Requirements for the Summer 2021 Scheduling Season On 15 February 2021, the European Union adopted an amendment to the Airport Slots Regulation that relieves airlines of airport slot-use requirements for the Summer 2021 scheduling season. The adopted Regulation (EU) 2021/250 amends Council Regulation (EEC) No 95/93 as regards temporary relief from the slot utilization rules at EU airports due to the COVID-19 crisis. The regulation derogates from the 'use-it-or-lose-it' principle, according to which air carriers had to use at least 80 percent of their allocated slots within a given scheduling period in order to retain precedence on the same series of slots for the next equivalent scheduling period. The new rules put an end ©2005-2021 K&L Gates LLP. All Rights Reserved. 2 to the current full slot waiver, which was deemed no longer justified for the next season. Airlines will now be granted the possibility to return 50 percent of the airport slots that they have been allocated before the start of the 2021 summer season, but they will be then required to use at least 50 percent of their remaining slots if they want to retain the rights to those slots for the summer 2022 scheduling period. However, if routes are affected by measures adopted in the context of COVID-19, airlines may be exempted from the new 50 percent threshold without losing their slots. More specifically, the amendment allows airlines to benefit from a full waiver for slot series returned before 28 February 2021, but limits the number of slots that can be returned to 50 percent of the slots that an airline holds at a particular airport. This provision will apply to both EU and non-EU airlines. In addition, the Commission will be empowered to adopt delegated acts for one year in order to extend the rules until the end of the summer 2022 season, if it would be necessary. Single European Sky: European Commission Adopts a Staff Working Document Accompanying the Commission Implementing Regulation That Establishes the Common Project One On 1 February 2021, the European Commission published a Staff Working Document accompanying the Commission Implementing Regulation that establishes the Common Project One (CP1) in support of the single European sky. This is a new framework that contributes to making flying in the European skies more sustainable by ensuring a more efficient management of airways. Following a thorough pilot phase of implementing new technological and operational ATM solutions developed under the Single European Sky ATM Research (SESAR) project dealing with SESAR, CP1 focuses on the most efficient solutions and sets a realistic implementation timeline to be respected by the concerned parties, including airlines, airports and air navigation service providers. These solutions are grouped into six functionalities that introduce a higher degree of digitalization and interoperability for civil and military airspace users, airports and air navigation service providers. More efficient flight trajectories supported by these innovative technologies will also allow modern aircraft to fully exploit their greener and quieter technologies. The new solutions aim to ensure more direct and therefore more fuel
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