on the position to be taken on behalf of the European Union in the Joint Committee established by the Agreement on Air Transport between Canada and the European Community and its Member States

EXPLANATORY MEMORANDUM

1.Subject-matter of the proposal

This proposal concerns the decision establishing the position to be taken on the Union's behalf in the Joint Committee established by the Agreement on Air Transport between Canada and the European Community and its Member States (‘the Agreement’).

2.Context of the proposal

2.1.The Agreement on Air Transport between Canada and the European Community and its Member States

The Agreement represents a comprehensive agreement that supersedes the relevant provisions of the existing bilateral agreements concluded by Member States with Canada. The Agreement removes all existing restrictions on the rights of both Union air carriers and Canadian air carriers to operate between points in the European Union and points in Canada. In this respect, the Agreement removes the obstacles to the ability of Union air carriers to benefit from the right of establishment within the Union, including the right to non-discriminatory market access, in relation to the provision of air services to and from Canada.

The Agreement entered into force on 16 May 2019.

2.2.The Joint Committee

The Joint Committee is set up by Article 17 of the Agreement. Its main tasks are to foster cooperation between the Parties and consider any matter related to the operation or implementation of this Agreement, including, but not limited to: (a) reviewing market conditions affecting air services under this Agreement; (b) exchanging information, including advising as to changes to domestic law and policies, which affect the Agreement; (c) considering potential areas for the further development of the Agreement, including the recommendation of amendments to the Agreement; (d) recommending conditions, procedures, and amendments required for new Member States to become Parties to this Agreement; and (e) discussing issues related to investment, ownership and control, and confirming when the conditions for the progressive opening of traffic rights as set out in Annex 2 to this Agreement are met. The Joint Committee shall also develop cooperation and foster expert-level exchanges on new legislative or regulatory initiatives.

The Joint Committee shall adopt decisions where expressly provided by the Agreement and all decisions shall be made by consensus. The Joint Committee shall adopt, by decision, its rules of procedure.

2.3.The envisaged act of the Joint Committee

During its first meeting, the Joint Committee is to adopt a decision regarding the adoption of the Rules of procedure of the Joint Committee (‘the envisaged act’).

The purpose of the envisaged act is to adopt, in accordance with Article 17(8) of the Agreement, the Rules of procedure underpinning the organisation of the Joint Committee to allow for the implementation of the Agreement.

3.Position to be taken on behalf of the Union

The position to be adopted on behalf of the Union should aim at the adoption of the Rules of procedure of the Canada – EU Joint Committee. The position should be based on the draft decision of the Joint Committee.

4.Legal basis

4.1.Procedural legal basis

4.1.1.Principles

Article 218(9) of the Treaty on the Functioning of the European Union (TFEU) provides for decisions establishing ‘the positions to be adopted on the Union’s behalf in a body set up by an agreement, when that body is called upon to adopt acts having legal effects, with the exception of acts supplementing or amending the institutional framework of the agreement.’