EUROPEAN COMMISSION Brussels, 27.9.2016 COM(2016) 619 final REPORT FROM THE COMMISSION TO THE EUROPEAN PARLIAMENT AND THE COUNCIL Report on the application of Regulation (EU) No 181/2011 concerning the rights of passengers in bus and coach transport and amending Regulation (EC) No 2006/2004



1. Introduction 1.1. Background Regulation (EU) No 181/2011 (‘the Regulation’) lays down a series of rights for passengers who travel by bus and coach in the European Union. It became applicable on 1 March 2013. The Commission is submitting this report under Article 32 of the Regulation, which requires it to report to the European Parliament and the Council on the operation and effects of the Regulation and, if necessary, to make proposals for legislation to implement the provisions of the Regulation in more detail or to amend it. The report is based on: data on the implementation and application of the Regulation gathered directly by the Commission; the national authorities’ reports on the enforcement of the Regulation; consultations conducted among bodies representing passengers and the industry at European level; and the Comprehensive Study on Passenger Transport by Coach in Europe, an external study carried out for the Commission in 2015 and 2016 . 1.2. Importance and features of the EU bus and coach transport sector Buses and coaches are a flexible transport mode and, unlike trains or aircraft, are generally able to pick up and set down passengers anywhere with a minimal provision of fixed infrastructure. In passenger-kilometre terms, bus and coach transport holds a 9.2 % share of all land passenger transport in the EU and is the most important means of land passenger transport after private cars (81.7 %). The liberalisation of the international coach market more than a decade ago and the recent liberalisation of the domestic coach markets in several Member States (including Germany and France) has created steady growth in the coach sector. Bus and coach transport is characterised by a number of distinctive features, which affect both operators and passengers. Unlike aviation and rail transport, the bus and coach sectors consist largely of small and medium-sized undertakings and buses and coaches share the road infrastructure with other actors. These specific features are taken into account in certain provisions included in the Regulation. Surveys carried out in several Member States at national level show that passengers using this mode of transport tend to be vulnerable, as they are often on low incomes (a very high percentage of bus and coach users are students or elderly people with small pensions) or live in geographically isolated areas, where bus and coach is the only available mode of public transport. Passengers often do not hold a driving licence or do not own a car, and bus and coach services are therefore essential for them to be able to go to work or school, to visit family and friends or to enjoy leisure and tourism. Poor access to bus and coach transport can severely impede their integration into society. 2. The scope and content of the Regulation The EU adopted legislation on passenger rights for all modes of transport (aviation, rail, waterborne and bus/coach transport) in order to give members of the public a guaranteed minimum level of protection when they travel in Europe, and thus to facilitate their mobility and social integration. The existence of a common set of passenger rights guaranteed by law across the four modes (with provisions reflecting the specific features of each mode of transport) also helps to create a level playingfield for operators within and across the modes. Scope The Regulation applies, in general, to ‘regular services’ (services provided at specified intervals along specified routes, where passengers are picked up and set down at predetermined stopping points) for non-specified categories of passengers, where the boarding or alighting point of the passengers is situated in the territory of a Member State. Content Passengers travelling on any type of regular service, irrespective of the scheduled distance of the service, benefit from the following core rights: 1) non-discriminatory transport conditions (notably non-discriminatory tariffs); 2) access to transport for people with disabilities or reduced mobility at no additional cost (carriers can only refuse to transport passengers with disabilities if carrying them is physically impossible given the design of the vehicle, the bus stop or the terminal infrastructure, or if doing so would breach health and safety requirements);

3) minimum rules on the travel information provided to all passengers before and during their journey including information on their rights; 4) a complaint handling mechanism that carriers must make available to all passengers; and 5) independent national enforcement bodies in each Member State, which have the mandate to enforce the Regulation and, where appropriate, to impose penalties. Passengers also benefit from the following additional rights when travelling on regular services where the scheduled distance of the service is 250 km or more: 6) provision of tickets (electronic or paper) or any other documents giving entitlement to transport; 7) compensation and assistance in the case of death, injury or loss or damage to luggage caused by an accident; 8) information if the service is cancelled or delayed on departure; 9) right to reimbursement of the full ticket price or rerouting in the case of a cancellation or a long delay at departure; 10) adequate assistance in the case of a cancellation or a long delay (only applicable when the scheduled duration of the journey is more than 3 hours); 11) compensation amounting to 50 % of the ticket price if the carrier fails to offer the passenger the choice between reimbursement of the ticket price and rerouting when there has been a cancellation or long delay; and 12) specific assistance at no additional cost for people with disabilities or reduced mobility both at bus terminals and on board. Exemptions from the scope of the Regulation Member States may grant exemptions from the non-core rights to regular services that are purely domestic for a period of up to four years (ending on 28 February 2017 at the latest), which may be renewed once. The basis for such exemptions must be transparent and non-discriminatory. A total of 12 Member States (Croatia, the Czech Republic, Estonia, Greece, Hungary, Latvia, the Netherlands, Portugal, Romania, Slovakia, Slovenia and the United Kingdom) are currently applying exemptions of this type. Member States may also grant exemptions from the application of the entire Regulation to regular services where a significant part of the service (including at least one scheduled stop) is operated outside the EU. These exemptions which must also be awarded on a transparent and non-discriminatory basis, will expire by 28 February 2017 at the latest and may be renewed once. A total of 13 Member States (Austria, Croatia, Estonia, Finland, Germany, Greece, Hungary, Italy, Latvia, the Netherlands, Slovakia, Slovenia and the United Kingdom) are currently applying exemptions of this type. Other EU legislation applicable to bus and coach passengers Passengers who travel by bus and coach as part of a package trip enjoy additional rights under Directive (EU) No 2015/2302. Regulation (EC) No 661/2009 stipulates the accessibility requirements that all new buses and coaches shall fulfil in order to authorize their sale, registration or putting into service within the EU. A significant part of coach transport occurs in an intra-community context: passengers are either travelling on cross-border services, or on domestic services outside their own Member State. In order to protect the interests of such passengers, Regulation (EC) No 2006/2004 provides an appropriate framework within which national enforcement bodies can cooperate with each other and defend the collective interest of consumers in a cross-border context. 3. Member States’ application of the Regulation The Regulation requires Member States to designate national enforcement bodies (NEBs), which are responsible for enforcing the Regulation and laying down effective, proportionate and dissuasive penalties in their national law, in order to sanction operators that breach the Regulation. Member States are also required to designate bus and coach terminals where passengers with disabilities or reduced mobility may receive appropriate assistance.

The designation of NEBs Most Member States have designated NEBs that were previously responsible for passenger rights in other transport modes. The NEBs are either transport authorities or consumer protection authorities. Some Member States designated several NEBs: a consumer protection authority is often responsible for handling complaints while a transport authority carries out inspections, imposes sanctions and monitors the accessibility of vehicles and terminals for passengers with disabilities. Most Member States designated NEBs at national level only, but there are a small number of Member States where regional authorities also play an important role in enforcing the Regulation. Complaint handling Passengers may submit complaints about alleged infringements of the Regulation to the carrier (the Regulation obliges them to have in place a complaint handling mechanism) or to the NEB. The Regulation does not stipulate a chronological order in which complaints must be lodged, but it does allow Member States to require that passengers submit their complaint to the carrier first, with the NEB only acting as an appeal body if the passenger is not satisfied with the answer. In total, 20 Member States have chosen this option. It has the advantage that NEBs can process complaints more efficiently and rapidly, as they will have access to the correspondence between the complainant and the carrier from the outset, and will thus have a more comprehensive overview of the case from both parties’ points of view. There are no publicly available figures on the number of complaints submitted by passengers to carriers between 2013 and 2015. Although such data would be useful for assessing the operation of the Regulation, carriers are not obliged to collect data on complaints or to report to the NEBs. It is, however, known that the NEBs have handled very few complaints (see table below). There are various reasons for this: i) the Regulation is relatively recent and many passengers may not be fully aware of their rights; ii) in most Member States, passengers must first submit their complaints to the carrier, and these companies appear to settle most complaints satisfactorily, meaning that complaints do not reach the NEBs; and iii) in some Member States, only tribunals can impose a binding decision on operators, and the slow and costly litigation process discourages passengers from defending their rights. Sanctions Most Member States’ national legislation provide for a penalty system based solely on fines, but some NEBs can also withdraw an operator’s licence if it deliberately and systematically breaches the Regulation. NEBs have imposed very few sanctions in the first two years since the Regulation became applicable (see table below). Most have found that operators are keen to comply and resolve complaints before it becomes necessary to impose a sanction.



Table — Number of complaints handled and sanctions imposed by NEBs Member State Number of complaints handled Number of sanctions imposed Austria N/A N/A Belgium 1 0 Bulgaria 9 0 Croatia 0 0 Cyprus 0 0 Czech Republic 132 9 Denmark 0 0 Estonia 0 0 Finland 12 0 France 21 0 Germany 192 0 Greece N/A N/A Hungary 24 16 Ireland 4 0 Italy N/A N/A Latvia 0 0 Lithuania 0 0 Luxembourg N/A N/A Malta 0 0 Netherlands N/A N/A Poland N/A N/A Portugal N/A N/A Romania 0 0 Slovakia 0 0 Slovenia 0 0 Spain 1194 54 Sweden 2 0 United Kingdom 4 0



Other enforcement and communication activities Handling complaints and penalising noncompliance are just two of the examples given in the Regulation of the possible measures that can be used to enforce bus and coach passenger rights. Many NEBs have been proactive and have taken additional action. Designation of bus and coach terminals where passengers with disabilities and passengers with reduced mobility can receive assistance The Regulation requires Member States to designate staffed and equipped bus and coach terminals which will provide appropriate assistance to passengers with disabilities or with reduced mobility. Providing assistance at bus and coach terminals is of paramount importance, as passengers with disabilities or reduced mobility most often need help when boarding or alighting from buses and coaches, and this requirement can, in the majority of cases, be most easily met at terminals with a high volume of passenger traffic. The approach taken by Member States varies: some of the larger and more highly populated Member States have designated only one or a very small number of terminals, which does not correspond to either the size of the country or the volume of passengers carried by buses and coaches..

A number of other Member States also initially designated unstaffed bus stops without proper facilities, which clearly did not satisfy the requirements of the Regulation. They withdrew these designations following the Commission’s intervention. 4. Operation of the Regulation and action for improvement 4.1 Assessment of the operation of the Regulation Results of the consultation In January 2016, the Commission invited various bodies representing passengers and the industry at EU level to share their views on the operation of the Regulation. All participants agreed that two factors have a major impact on the operation of the Regulation: - The lack of suitable bus and coach terminals in several Member States is one of the most significant barriers to the development of bus and coach transport: modern, accessible, and safe terminals connected with other modes of transport could convince new users to opt for bus and coach transport. Bus and coach terminals also play a key role in applying the Regulation: a high quality terminal can give passengers easier access to information about the services and about their rights at terminals, terminal staff can provide passengers with disabilities with the assistance they need, and passengers can be better assisted when there are transport disruptions. - The Regulation did not introduce new accessibility requirements for buses, coaches and terminals, and it therefore did not contribute significantly to improving the accessibility of vehicles and of the transport infrastructure (bus stops and terminals) for passengers with disabilities or reduced mobility. In order to make bus and coach transport accessible for these passengers, both the vehicles and the terminals must be accessible. The measures introduced by several Member States, under which operators will in future be required to use only fleets that can carry passengerswith disabilities or reduced mobility, will therefore have only limited results if the infrastructure remains inadequate. The Commission is, however, also aware of local and regional initiatives where operators have worked closely with organisations representing people with disabilities to make their services accessible to them. Whilst the various parties consulted agreed on the points above, there was a clear division between organisations representing industry and passenger organisations as to the impact of the Regulation. The organisations representing carriers felt that the Regulation reflected the optimal balance between the carriers’ obligations and passenger rights, taking the specific constraints of the sector into account, and provided the necessary level of flexibility. Organisations representing passengers (EDF and EPF) regretted that most provisions contained in the Regulation applied only to regular services with a scheduled distance of 250 km or longer. In practice, this means that the overwhelming majority of regular bus and coach journeys are only subject to the core provisions of the Regulation. Passengers’ organisations also criticised Member States for granting too many exemptions. In their opinion, the extensive use of exemptions deprives passengers of the full enjoyment of their rights and of legal certainty (particularly as it is difficult for passengers to know which Member States apply which exemptions). The parties consulted felt that there was no need to amend any specific provisions of the Regulation, but that the current Regulation should be better applied by operators and more strictly enforced by the national authorities. Assessment by the Commission The Commission has not identified any deliberate or serious breaches of the Regulation. Most individual complaints of which the Commission is aware relate to the lack of information, assistance or compensation provided in the event of long delays or cancellations. The reports provided by the NEBs suggest that many complaints fall outside the scope of the Regulation. Despite this positive overall picture, the Commission identified a number of factors that are preventing the Regulation from being applied more efficiently: a) Passengers and operators are not sufficiently aware of their rights and obligations As the Regulation is relatively recent, members of the public are not sufficiently aware of it. NEBs and representatives of parties concerned indicated that many operators were not aware of the Regulation when it was adopted, and lack of awareness is still a problem in certain Member States. It is therefore essential for NEBs, national and EU-level representative bodies, and the Commission to continue to educate passengers about their rights and operators about their obligations. b) Enforcement is lagging behind in some Member States Member States were late in taking measures to apply the Regulation. By 1 March 2013, the date on which the Regulation became applicable, none of the Member States had adopted all the national measures needed. Some Member States adopted the required measures with a delay of two years. The approach taken by NEBs to enforcing the Regulation varies widely. While some are very proactive in informing passengers about their rights and monitoring the Regulation’s application, others do little beyond handling complaints. There are also significant differences in the actual enforcement of passenger rights. Some Member States have no alternative dispute resolution mechanism, meaning that passengers have to pursue their claims in court, which is costly and time-consuming, and therefore discourages them from enforcing their rights.

c) Difficulty in interpreting certain provisions Some provisions in the Regulation have been interpreted differently by different NEBs and operators. The representative bodies and the NEBs agreed that the Regulation does not need to be amended in order to clarify these provisions, but that the Commission and NEBs should agree on how the provisions should be applied in practice. 4.2 Commission action to improve application of the Regulation The Commission took the following measures to address the issues identified above: a) Actions to raise awareness of passengers’ rights and operators’ obligations In June 2013, the Commission launched a two-year information campaign on passenger rights for all modes of transport, including bus and coach. This included the publication of posters and leaflets that were distributed throughout Europe, the use of social media, a mobile phone application and attendance at tourism fairs. The Commission published a summary of the Regulation, which is widely used by NEBs and operators to inform passengers about their rights. b) Actions to improve enforcement The Commission launched infringement procedures against Member States that had failed to designate a national enforcement body, to lay down penalties in their national law to sanction operators that breach the Regulation or to designate bus and coach terminals where passengers with disabilities or reduced mobility may receive appropriate assistance. By July 2015 all the Member States had adopted the necessary measures and the infringement proceedings were closed. The Commission organised annual EUlevel meetings at which NEBs and stakeholders could share their experiences about the application of the Regulation and exchange details of good practice. In addition, the Commission provided guidance and information on good practice at the annual meetings held with the NEBs, in order to improve their cooperation with one another. c) Actions to ensure uniform application of the Regulation At the annual meetings with the NEBs and representative bodies, and through written correspondence, the Commission provided clarification as to the practical application of several provisions in the Regulation. This has helped to ensure uniform application of the provisions throughout the EU. 5. Conclusions and next steps In the light of the limited experience of application of the Regulation gained to date, the Commission considers there to be no justification for amending it. The stakeholders and the NEBs agree that several of the obstacles that are preventing passengers from enjoying their rights or having them enforced can be removed by applying the current Regulation more effectively. The Commission is therefore taking action and recommending to stakeholders and NEBs as follows: The Commission organises its third information campaign between the spring of 2016 and the end of 2017 to raise passengers’ awareness of their rights, focusing on social media. It invites NEBs, the industry and passenger rights organisations to combine their efforts and to launch similar campaigns at their level. NEBs are encouraged to carry out inspections of buses, coaches and terminals, inter alia to verify how the Regulation is being applied in practice and to educate operators about their obligations under the Regulation. NEBs are also encouraged to check carriers’ homepages to ensure that they contain information on passenger rights and that general contract terms comply with the Regulation. Member States that do not currently offer an alternative dispute resolution mechanism for passenger rights are encouraged to put such a mechanism in place, in accordance with Directive 2013/11/EU, so as to give passengers quicker and less expensive means to seek redress.