WRITTEN QUESTION E-3310/01 by Ioannis Souladakis (PSE) to the Commission. The current crisis in the airline and tourism industry of Europe.
Date: 2001-11-28
Institutions: European Parliament, Provisional data
Subjects: EU aid, air transport, common transport policy, competition policy, economic recession, financial aid, tourism policy

20.6.2002

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Official Journal of the European Communities

C 147 E/149

(2002/C 147 E/156)

WRITTEN QUESTION E-3303/01

by Jonas Sjöstedt (GUE/NGL) to the Commission

(28 November 2001)

Subject: Alleged irregularities at the International Programme Office in Stockholm

In February 2001, a former employee informed the Swedish media that the International Programme
Office in Stockholm had ‘massaged’ the accounts to obtain more money from the EU. The former
employee said that he had been asked to add more costs to a project’s budget than were required despite
the fact that there are strict contractual rules prohibiting the use of earmarked funds for any other
purpose.

The financial controller of the International Programme Office rejected the allegations saying that they
included joint staff costs for finance and administration in all project budgets. He denied that there had
been any massaging of figures. An external auditor was also appointed to examine the in-house accounts.

Is the Commission aware of this matter and has it examined it in detail?

Answer given by Ms Schreyer on behalf of the Commission

(11 January 2002)

Commenting on the events referred to by the Honourable Member, the European Anti-fraud Office has
stated that:

7 it was aware that a former employee of the International Program Office for Education (IPOE) in
Stockholm had made allegations of irregularities in press articles and Swedish television programmes
and that an audit had been carried out by a Swedish body (National Audit Bureau);

7 it has started an investigation (end of first quarter of 2000).

The Commission would point out that it has no further details to add: it emphasises that OLAF acts
independently in carrying out investigations and that it is for OLAF, when the time comes, to inform the
institutions under the provisions applicable in the matter (1).

(1) See European Parliament and Council Regulation (EC) No 1073/1999 and Council Regulation (Euratom) No 1074/
1999 of 25 May 1999 concerning investigations conducted by the European Anti-fraud Office (OLAF), OJ L 136,
31.5.1999.

(2002/C 147 E/157)

WRITTEN QUESTION E-3310/01

by Ioannis Souladakis (PSE) to the Commission

(28 November 2001)

Subject: The current crisis in the airline and tourism industry of Europe

The recent crisis in the air transport industry, which has been heavily damaged by the attack in New York
on 11 September, the accidents at Milan airport, the two air crashes in the Black Sea and JFK airport and
the bankruptcy of Sabena, has resulted in thousands of air industry employees being laid off and a
worsening financial situation for the tourism industry in Europe.

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20.6.2002

In order to avoid any further damage to these two sectors, which are very important for the European
economy and affect its future prospects (higher unemployment, recession, etc):

1. Does the Commission consider that the US Government’s heavy financial support for the American
airlines is putting the European airlines in a weaker position while the Commission does not permit
similar financial support?

2. What action is the Commission taking to bring staff who have been laid off from European airlines

back into the labour market?

3. Does the Commission consider that the new taxes many European airports have applied since the
terrorist attack in New York will do great damage to the airline industry’s ticket policy and to tourism
because of the resultant higher prices?

4.

5.

Is the Commission taking any serious measures to make the European tourist market more attractive
and less expensive since the start of the crisis in the sector?

Is the Commission considering any short- or long-term programme to save Europe’s airline industry
from any further bankruptcies?

6. What specific measures is the Commission taking to prevent further deterioration of the situation in
the airline and tourism industries, which is also seriously affecting the European air industry
manufacturing sector?

7. What is the Commission’s current policy on slots, which seem to be very important for facilitating air

transport over European airspace?

Answer given by Mrs de Palacio on behalf of the Commission

(17 January 2002)

The current situation in the air transport industry is a result of a combination of structural and cyclical
factors and was seriously worsened by the terrorist attacks of 11 September 2001. The Commission
adopted on 10 October 2001 a ‘Communication on the repercussions of the terrorist attacks in the United
States on the air transport industry’ (1), which constitutes the basis for its policy in this field.

The Commission, although recognising that the impact of the 11 September attacks is not the same
1.
on both sides of the Atlantic,
is concerned that the massive financial aid given by the United States
government to the American air transport industry, worth in total € 16,8 billion, could lead to serious
distortions. The Commission has made contact with the American authorities to try to minimise any
possible predatory pricing that might result in transatlantic markets. However, the lack of a mandate for
EU/US negotiations in air transport prevents the Commission from playing a more active role in this field.

2.
The Commission is ensuring that its legal and financial instruments as well as the social dialogue are
functioning for the benefit of the laid off workers. Among other actions, the Commission has invited social
partners and national experts to a workshop on 3 December 2001, to discuss measures taken at various
levels as well as future action. These initiatives will concern in particular the fields of training and access to
training facilities, mobility and mutual recognition of licences for several categories of workers, including
pilots.

The Commission is aware that reinforced security measures put

3.
in place after the attacks of
11 September 2001 have resulted in an additional financial burden for the industry. It is of the opinion
that such measures, addressing attacks directed against society as a whole, should be borne by Member
States, with due respect to the Treaty rules that ensure a level playing field for Community air carriers.

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Official Journal of the European Communities

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The Commission refers to its Report of 13 November 2001, ‘Follow-up of the European Council of
4.
the situation in the European tourism sector’ (2). While its Communication ‘Working
21 September:
together for the future of European tourism’ (3), of the same day, aims at making the European tourist
market more attractive, any approach to make it less expensive is a choice to be taken by the enterprises
of the sector. However, in general, Europe’s competitive advantages on the global travel market are not to
be seen in terms of low prices, but of a high quality and sustainable tourist product, benefiting from the
highest density of tourist attractions world-wide and avoiding long distances to enjoy an optimal tourist
experience.

The Community, contrary to the American administration, does not have at its disposal financial
5.
resources for supporting air transport (or other) industry. In its 10 October Communication it outlined in
which way it intends to apply the state aid rules, should Member States wish to take such measures.

The Commission refers to the above mentioned documents of 10 October 2001 and 13 November

6.
2001.

7.
Following the Communication of 10 October 2001 in which the Commission considered that the
closure of American airspace and the subsequent changes to services constitute exceptional circumstances,
the Commission has proposed to modify Council Regulation (EEC) No 95/93 of 18 January 1993 on
common rules for the allocation of slots at Community airports (4) in the aim to ensure that all co-
ordinators apply the regulation uniformly so that airlines do not risk losing their unused slots during the
summer 2001 and the winter 2001/2002 scheduling seasons.

(1) COM(2001) 574 final.
(2) COM(2001) 668 final.
(3) COM(2001) 665 final.
(4) OJ L 14, 22.1.1993.

(2002/C 147 E/158)

WRITTEN QUESTION E-3314/01

by Jorge Hernández Mollar (PPE-DE) to the Commission

Subject: Charter of rights of users of the legal system

(28 November 2001)

Several prominent legal experts in the Community have suggested that there is an urgent need at Union
level for a charter of rights of users of the legal system, in order to ensure that users are dealt with in a fair
and proper fashion in language that
they can understand and are enabled to make any necessary
complaints.

Such a charter should set out such fundamental principles as the right to be informed on action taken, the
possibility of being received by the judge, and the right to be informed of the approximate cost of a
procedure and to avail oneself of the services of a barrister, solicitor or legal expert.

Can the Commission state whether, in the context of its powers of initiative, it considers that it could put
forward an initiative for the real and effective creation of such a charter of rights of users of the legal
system?

Answer given by Mr Vitorino on behalf of the Commission

(24 January 2002)

The Commission is carrying out work in relation to improving compensation and redress for victims as
well as considering measures to safeguard the interests of suspects and defendants in criminal proceedings
throughout the Union.