Communication from the EFTA Surveillance Authority under Article 4(1)(a) of the Act referred to in point 64(a) in Annex XIII of the EEA Agreement (Council Regulation (EEC) No 2408/92 of 23 July 1992 on access for Community air carriers to intra-Community air routes)

Imposition of public service obligations in respect of scheduled air services on the route Røros-Oslo vv

(2001/C 85/05)

1. INTRODUCTION

Pursuant to Article 4(1)(a) of Council Regulation (EEC) No 2408/92 of 23 July 1992 on access for Community air carries to intra-Community air routes (http://europa.eu.int/eur-lex/en/lif/dat/en_392R2408.html), Norway has decided to impose public service obligations as of 1 July 2001 in respect of scheduled air services on the following route:

Røros-Oslo vv.

2. THE PUBLIC SERVICE OBLIGATIONS INCLUDE THE FOLLOWING

2.1. Minimum frequencies, seating capacity, routing and timetables

The requirements apply throughout the year. In both directions a service obligation applies daily except Saturday.

Frequencies:

- minimum six-weekly return services.

Seating capacity:

- in both directions at least 275 seats shall be offered weekly,

- if the number of seats occupied during the period 1 January to 30 June or 1 August to 30 November exceeds 70 % of the number of seats offered, the carrier shall increase the seating capacity in accordance with the rules laid down by the Ministry of Transport and Communications in the annex to this publication,

- if the number of seats occupied during the period 1 January to 30 June or 1 August to 30 November is lower than 35 % of the number of seats offered, the carrier may reduce the seating capacity in accordance with the rules laid down by the Ministry of Transport and Communications in the annex to this publication.

Routing

The required services shall be non-stop if aircraft registered for less than 100 passengers are used. When using aircraft registered for 100 or more passengers, the required services shall be through-flights with a maximum of one intermediate stop.

Timetables

Account shall be taken of the public demand for air travel.

2.2. Fares:

- maximum basic one-way fare (fully flexible) for the operating period 1 July 2000 to 31 March 2002 may not exceed NOK 1445, excluding VAT and the excise duty on the carriage of passengers by air (http://www.toll.no/regelverk/avgiftsrundskriv/),

- on 1 April 2002 the maximum fare may be adjusted up to the limit of the consumer price index for the 12-month period ending 15 February the same year, as made public by Statistics Norway (http://www.ssb.no),

- the carrier shall be party to the domestic interline agreements in force at any time, and shall offer all discounts available under such agreements,

- social discounts conforming to the usual practice shall be offered.

2.3. Service continuity

The number of flights cancelled for reasons directly attributable to the carrier must not exceed 1,5 % of the intended number of flights on an annual basis.

2.4. Cooperation arrangements

Following a tender procedure, which limits access to the route Røros-Oslo vv to one carrier, these conditions apply:

Fares:

- All connecting fares to/from other air services shall be offered on equal terms for all carriers. Exempted from this are connecting fares to/from other services carried out by the tenderer, provided that the fare is maximum 40 % of the fully flexible fare,

- bonus points from frequent flyer programmes can neither be earned nor redeemed on the flights.

Transfer conditions:

All conditions set out by the carrier for the transfer of passengers to and from other carriers' routes, including connecting times and through check-in of tickets and baggage, shall be objective and non-discriminatory.

3. Further information can be obtained from: Ministry of Transport and Communications PO Box 8010 Dep N - 0030 Oslo . Tel. (47) 22 24 82 41 Fax (47) 22 24 95 72.

This documentation is also available on Internet:

http://www.odin.dep.no/sd/engelsk/aktuelt/tenders/index-b-n-a.html.

ANNEX

ANNEX TO THE IMPOSITIONS OF PUBLIC SERVICE OBLIGATIONS IN RESPECT OF SCHEDULED AIR SERVICES RØROS-OSLO VV

ADJUSTMENT OF PRODUCTION/AVAILABLE SEATS

PRODUCTION ADJUSTMENT CLAUSE

1. Purpose of the production adjustment clause

The purpose of the production adjustment clause is to ensure that supplied capacity/seats offered by the operator is adjusted to changes in market demand. Whenever the number of passengers increases significantly and exceeds the following specified limits for the percentage of seats occupied at any time (the passenger load factor), the operator shall increase available seats offered. The operator may accordingly decrease available seats offered when the number of passengers decreases significantly. See specification below in point 3.

2. Periods for measuring passenger load factors

The periods during which the passenger load factor shall be monitored and assessed run from 1 January to 30 June inclusive and 1 August to 30 November inclusive.

3. Conditions for changing production/available seats offered

3.1. Conditions for increasing production

3.1.1. An increase in production/available seats offered shall take place when the average passenger load factor on each single route encompassed by public service obligations is higher than 70 %. When the average passenger load factor on these routes exceeds 70 % in any of the periods mentioned in point 2, the operator shall increase production/available seats offered by at least 10 % on these routes, at the latest from the start of the following IATA traffic season. Production/available seats offered shall be increased at least so that the average passenger load factor does not exceed 70 %.

3.1.2. When increasing production/available seats offered according to the above, the new production may take place by using aircraft with lower seating capacity than specified in the original tender, if preferred by the operator.

3.2. Conditions for decreasing production

3.2.1. A decrease in production/available seats offered may take place when the average passenger load factor on each single route encompassed by public service obligations is lower than 35 %. When the average passenger load factor on these routes is lower than 35 % in any of the periods mentioned in point 2, the operator may decrease production/available seats offered by no more than 25 % on these routes from the first day after the end of the abovementioned periods.

3.2.2. On routes with more than two daily frequencies offered in each direction, reduction in production according to point 3.2.1. shall take place by reducing frequencies offered. The only exception to this is when the operator uses aircraft with larger seating capacity than the minimum specified in the imposition of public service obligations. The operator may then use smaller aircraft, however, not with lower seating capacity than the minimum specified in the imposition of public service obligations.

3.2.3. On routes with only one or two daily frequencies offered in each direction, reduction in available seats offered can only take place by using aircraft with lower seating capacity than specified in the imposition of public service obligations.

4. Procedures for changes in production

4.1. The Norwegian Ministry of Transport and Communication has the responsibility subject to law for approving proposed time schedules submitted by the operator, including changes in production. Reference is made to Circular N-8/97 of the Norwegian Ministry of Transport and Communications, included in the tender file.

4.2. When production shall be increased according to point 3.1, time schedules for new production/new seats should be agreed between the operator and the county (counties) as administrative unit affected.

4.3. If new production shall be offered according to point 3.1, and the operator and the county (counties) as administrative unit affected cannot agree upon time schedules according to point 4.2, the operator can seek approval from the Norwegian Ministry of Transport and Communication according to point 4.1 for a different time schedule for the new production/new seats offered. This does not mean that the operator may apply for approval of a time schedule that does not include the required increase in production. There must exist substantial reasons for time schedules for new production/new seats diverging from those which could be agreed by the county (counties) as administrative unit affected according to point 4.2, as a condition for the Ministry to approve such a proposal from the operator.

5. Unchanged remuneration when changing production

5.1. The remuneration to the operator remains unchanged when increasing production according to point 3.1.

5.2. The remuneration to the operator remains unchanged when decreasing production according to point 3.2.