Opinion of the Economic and Social Committee on the 'Proposal for a Council Regulation amending Council Regulation (EEC) No 684/92 on common rules for the international carriage of passengers by coach and bus` (97/C 66/07)

On 13 June 1996 the Council decided to consult the Economic and Social Committee, under Article 75 of the Treaty establishing the European Community, on the above-mentioned proposal.

The Section for Transport and Communications, which was responsible for preparing the Committee's work on the subject, adopted its Opinion on 11 November 1996. The rapporteur was Mr Ghigonis.

At its 340th Plenary Session on 27 and 28 November 1996 (meeting of 27 November), the Economic and Social Committee adopted the following opinion by 103 votes in favour, with one dissenting vote and three abstentions.

1. Commission Report

Article 20 of Regulation 684/92 () provides that the Commission shall report to the Council before l July 1995 on the application of the regulation. This report comments on the types of services and discusses the problems connected with interpreting the various provisions. The same article provides for the presentation to the Council, by 1 January 1996, of a new proposal for a regulation concerning simplification of procedures, including - in the light of the conclusions of the report - the abolition of authorization. This report, and the new proposal, were published on 10 May 1996.

2. Thrust of the new proposal

2.1. The purpose is to simplify and clarify services and administrative procedures, to optimize management of transport activities and the use of vehicle fleets, open up new opportunities for carriers and create new jobs.

2.2. Abolition of the category of shuttle services and residual occasional services.

2.3. Liberalization of all occasional and special regular services, as well as all own-account transport operations.

2.4. Facilitating the operation of additional vehicles in international regular services.

2.5. A new definition of 'urban carriage in frontier areas` has been introduced. Such transport is no longer regarded as a special regular service but as a special case of regular service.

2.6. Improved wording of the definition of occasional transport services.

2.7. Introduction of the 'Community coach licence`, to replace the various authorization models introduced by Member States for international carriage purposes.

2.8. Amendment of the procedure for application and granting of authorization, with specific reference to the information to be provided by applicants, consultation between Member States and the conditions governing refusal. Competition with rail transport is no longer grounds for refusing authorization for international regular services.

2.9. Extension of certain time limits for consultation between Member States and intervention by the Commission in the event of dispute.

3. General comments

3.1. The Committee has studied with keen interest the Commission's report on the application of Regulation No 684/92 and the new proposal for an amendment thereto. It welcomes the drive to clarify and simplify the existing rules.

3.2. Though the Committee fully supports the creation of new jobs in the transport sector, it feels that liberalization could result in cut-throat competition which could easily lead to a drop in prices, bankruptcy and hence increased unemployment.

3.3. The Committee is also aware of the potential opportunities that an increase in bus and coach carriage could provide in transport-related industries.

3.4. Similarly, the liberalization of bus and coach passenger transport will benefit EU citizens by facilitating mobility and their free choice of modes of transport.

4. Comments on the legal provisions

4.1. The new definition of 'urban carriage in frontier areas` is an important change, giving a more accurate reflection of the true nature of this type of carriage - which is a special case of regular services open to all passengers rather than special regular services.

4.1.1. The Committee supports the retention of the conditions laid down for access of this type of carriage to the market.

4.2. In the Committee's view, the abolition of the shuttle services category is a welcome streamlining of types of services which will improve transparency and facilitate the major role played by inspectors. However, it observes that the decision to abolish this category is largely based on the low demand for authorization of shuttle services without accommodation as well as the many points in common between this type of service and regular services. It feels that the Commission could also have taken account of the situation regarding shuttle services with accommodation before reaching a final decision.

4.3. The new definition of occasional services is a significant improvement. The Committee notes, however, that two types of occasional services are mentioned: those that are to be liberalized and those to require authorization. In the Committee's view, the difference between the rules governing market access for each of these two categories should be clarified.

4.4. Own-account transport operations are not restricted to those carried out 'for non-commercial purposes` yet the definition does not cover all services concerned and only operations 'for non-commercial purposes` will be governed by the proposed provisions. The Committee therefore finds it necessary to retain an authorization procedure for other own-account transport operations in addition to those defined in the proposal to avoid any unfair competition with carriers working for another party.

4.5. The Committee welcomes the idea of a Community licence as part of the drive to harmonize and simplify travel documents, reduce the number to be kept on board the vehicle and facilitate inspection by the competent authorities.

4.5.1. Since the Community licence will be required only for carriers seeking access to the international market and no specific reference is made in the new provisions, the Committee is in favour of clarifying this point.

4.5.2. To regularize the situation of carriers already authorized to undertake international carriage of passengers by bus and coach under the existing regulation and to facilitate transition to the new Community licence system, the Committee would propose that transitional measures be introduced by the Member States in conjunction with the Commission.

4.6. In connection with the report on the application on the current regulation, the Committee takes note of problems regarding the application and interpretation of the procedure for granting authorization, with particular reference to the wording 'undertaking that manages` an 'association of undertakings`. Though the authorization is drawn up in the former's name, that does not confer on it additional rights or advantages compared with the other undertakings granted authorization as part of an association. Further, its obligations are neither defined nor specified. In the Committee's view, the term 'undertaking that manages`, despite the fact that it clearly determines the holder of the original authorization document, could be deleted.

4.7. The Committee observes that new provisions are proposed for the operation of additional vehicles used for regular services. These seek to cancel the procedure for renewal of authorization and replace it by the obligation to keep on board three travel documents indicating that it is an additional vehicle. However, the Committee feels that some control over the operation of additional vehicles should be retained and proposes that the proposal be amended to this effect.

4.8. It notes that 'the authorization procedure` has been substantially amended to place greater emphasis on the possibilities of granting authorization than on refusal. Here the Committee is pleased to see that competition with rail transport is no longer considered to be grounds for refusing authorization for international regular services. Despite this improvement, the Committee would stress the need to press ahead with harmonization of terms of competition between modes of transport in areas where unequal treatment persists.

4.9. The Committee observes that international occasional services will no longer be able to undertake local excursions since these are cabotage operations. This change will clearly be detrimental for carriers. In some matters carriers will be bound in such operations by the legislation, regulations and administrative provisions governing cabotage in each Member State despite the fact that these are not necessarily harmonized and could cause additional bureaucratic constraints. To facilitate procedures, the Committee feels that such constraints should be kept to a minimum and proposes that international occasional services should continue to be able to operate local excursions, solely when these excursions are carried out at the end of such services.

4.10. Compliance with Community and national rules in the field of international carriage of passengers by bus and coach - in particular rules governing driving and rest time and roadworthiness tests - is vital both to ensure passenger and vehicle safety and to guarantee fair terms of competition and prevent illegal services springing up. The Committee therefore welcomes the provisions on inspection which have been added in the new proposal.

4.11. The Committee is particularly aware of the importance of coach passenger safety and the necessity of providing full safety information during the journey, especially international long-distance journeys. The Committee feels that safety must be guaranteed as effectively as possible and urges the Commission to take this factor into account when finalizing the present proposal and preparing future initiatives in the sphere of international carriage of passengers by road.

5. Proposed amendments

Text of proposal Wording proposed by the ESC

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Brussels, 27 November 1996.

The President of the Economic and Social Committee

Tom JENKINS

() OJ No L 74, 20. 3. 1992, p. 1; OJ No C 356, 31. 12. 1987, p. 62.