A number of smaller airlines have asked European Union officials to reconsider planned reforms to passenger compensation rights, arguing that rising fuel prices due to the Iran war have left them unable to shoulder new financial burdens.
EU institutions are negotiating a reform of air passenger rights regulations. According to regulations introduced in 2004, passengers can claim compensation for flight delays of more than three hours, compensation starting at 250 euros, depending on the duration of the flight. The next round of talks is scheduled for June 2.
“We are asking European decision-makers to pause and reassess,” the heads of 35 airlines said in a letter sent to European officials on Tuesday. Among the signatories are the companies Air Serbia, SkyExpress, Luxair, Atlantic Airways, SprintAir, KLM Cityhopper and Air Corsica.
The European Parliament and the EU countries are in a dispute related to a possible increase in the threshold from which compensation can be requested, as well as regarding their maximum amount. Parliament wants to keep the threshold unchanged at three hours for short-haul flights, while member states want to increase it to four hours. Smaller airlines want the threshold raised or even no compensation at all.
Rising kerosene prices, the main reason cited
Another point of contention is related to Parliament's proposal that hand luggage weighing up to 7 kilograms should not be taxed. And this measure is criticized by air operators.
“Conduct a full impact study in the new geopolitical scenario, recognize the unique role of regional aviation, adjust the compensation regime to reflect operational realities, discourage flight cancellations and avoid eliminating essential air links,” the company chiefs wrote in their letter.
They added that small European operators have been particularly hard hit by rising kerosene prices and are more vulnerable because they operate on short routes “with very tight profit margins”, making it more difficult for them to pay out in the event of air traffic disruptions.
The price of kerosene has practically doubled globally, with some airlines saying it will hurt their long-term profits.
“Europe's strength lies in its connectivity, not just between capitals, but between every region and community. Regional aviation makes connectivity possible,” the letter added.
Other rules are not contested, among them being the granting of one free seat for the adult accompanying a child or a person with reduced mobility.
