ACAC Single European Sky: Certification and Supervision of ANSPs 12 December 2005

1. ACAC Single European Sky: Certification and Supervision of ANSPs 12 December 2005

2. Air transport is an essential economic sector • EU airlines, airports and the aerospace manufacturing industry represent: • Activity of 220 billion € (2.6% EU GDP) • 1 billion passengers in 2004 • 3.1 million jobs (1.9% EU jobs) • By 2020 • Share in EU GDP could increase to 5% • If growth is constrained, negative impact on the whole European economy

3. Situation of ATM in Europe European airspace is fragmented according to national borders rather than traffic flows. More than 60 Area Control Centres in Europe in 2003.

4. Situation of ATM in Europe Sectors and routes are designed according to national borders rather than traffic flows.

5. Situation of ATM in Europe Traffic is still expected to grow, and even to double between 1997 and 2020.

6. Situation of ATM in Europe Congestion leads to sub optimal trajectories.

7. Situation of ATM in Europe Military areas are located in the core area of Europe.

8. Situation of ATM in Europe The busiest routes have to avoid military areas.

9. Situation of ATM in Europe Due to military areas and airspace design, actual routes are sub optimum and create constraining points … … as compare to direct routes.

10. The current ATM system is close to its limits • Air Traffic control is still very much « handicraft » • Ageing technology, combined with physical (sector size) limits A « barrier » will soon be reached: New solutions need to be found

11. HOW? • 20 years of research have resulted in very little innovation: • ATC is still operated like 20 years ago • Technology is available: • actual implementation is the issue Decision making is a weakness of ATM

12. History • Commission launched this initiative in 1999. • Main objectives: • Reduce fragmentation: • Between States. • Between civil and military. • Between systems. • Facilitatethe introduction of new technologies. • Develop synergies between EU and Eurocontrol.

13. Main Milestones 31 March 2004:Publication of the 4 Regulations of the European Parliament and of the Council: • 549/2004:Framework. • 550/2004:Service Provision. • 551/2004:Airspace. • 552/2004:Interoperability. in the Official Journal of the European Union (edition L 96): http://europa.eu.int/eur-lex/en/archive/2004/l_09620040331en.html 20 April 2004:Entry into force of the legislation.

14. Institutional arrangements: Single Sky Committee, Industry Consultation Body, Relations with Eurocontrol Service provision:NSA, Certification, Designation, ATCO-licence, Financial aspects Airspace:FAB, airspace classification, route + sector design, ATFM, FUA, EUIR Interoperability:Implementing rules, Community specifications, Conformity assessment, SESAR SES-extension Main Features

15. Framework – Single Sky Committee • Assists the Commission : • Member States’ civil & military representatives • Observers: European countries with aviation agreements + Eurocontrol • Chaired by the Commission • Decision making process: • Consultative (simple majority) • Regulatory: • Qualified majority, • if no majority, Council may attract matter - but if no decision,Commission decides.

16. Framework – Single Sky Committee • Functions: • Provide opinion on mandates and on the work program of the Commission, • Review and give an opinion on the draft Commission regulations, • Address problems in connection with FABs • Others: Policy guidance, Eurocontrol coordination, …

17. Framework - Industry Consultation Body • Mandated by Single Sky legislation. • Membership: ± 25 full members representing: • ANSPs, • Airspace users, • Airports, • Manufacturers, • Professional staff representative bodies, • Observers: • Eurocontrol, • Non-EU industry.

18. Framework - Industry Consultation Body • Mission: to provide strategic advice on the implementation of the future ATM system. • Express industry expectations on: • New technology, • Timetable, • Priorities. • Input into policy making and the regulatory process: • Orientation for research, • Industrial programs (“SESAME”), • Mandatory equipage.

19. Framework – Relations with Eurocontrol The European Community has become a member of Eurocontrol besides the (presently 22) MS, relations with Eurocontrol are area of shared national and Community competence. Memorandum of Cooperation of December 2003 between the European Commission and Eurocontrol organises cooperation in the domain of Single Sky, Research, Statistics and GNSS Through mandates Eurocontrol contributes to the implementation of the Single Sky.

20. Reorganisation of the Airspace - FAB • Establishment of Functional Airspace Blocks (FAB) in the upper (and possibly lower) airspace. • Objectives: • Reduce fragmentation, • Take into account traffic flows and not national borders, • Increase co-operation, • Increase harmonisation, • Provide efficiency gains.

21. MS to develop FABs according to 7 criteria: safety case; optimum use of airspace, taking into account air traffic flows; overall added value, including optimal use of technical and human resources, on the basis of cost-benefit analyses; ensure a fluent and flexible transfer of responsibility for ATC; ensure compatibility between upper and lower airspace; comply with regional agreements concluded within ICAO; respect regional agreements, in particular those involving European third countries. Reorganisation of the Airspace - FAB

22. Reorganisation of the Airspace - FAB • Bottom-up approach: • MS are fully responsible to initiate and set-up FABs, • FABs can include all or parts of a State’s Airspace, • For multinational FABs, all States involved must agree on the respective FAB, • No single “blueprint” for FABs, we expect different models to be implemented. • But, these FABs shall meet the 7 general criteria of the regulation.

23. Regulation 550/2004 • Scope: provision of ANS in the SES • Objective: establishment of Common Requirements for the safe and efficient provision of ANS in the Community • Content: • tasks of NSA (Art 2) • requirements for recognised organisations on which NSA may delegate inspections and surveys (Annex I) • rules for the provisions of services (Chapter II) • Common Requirements (Art 6), Certification of ANSPs (Art 7), Designation of ATSPs (Art 8), Desig of MSPs (Art 9), Relations between SPs (Art 10)

24. Service Provision - NSA • The SES requires legally the establishment or nomination of National Supervisory Authorities (NSA) and its separation from ANSPs. • Why: • Whereas (9) and Art 4(2) of the Framework Regulation: “…to ensure compliance with Community requirements, the authorities performing verifications of compliance should be sufficiently independent of ANSPs” = principle of separation between regulatory/supervisory functions and service provision

25. Service Provision - NSA • Establishment or nomination of NSAs since 20 April 2004: 24 NSAs exist today • Requirements (Art 4(2) Reg 549/2004) : • (At least) functional separation from ANSPs • Impartiality and transparency • Capabilities: • Technical expertise, • Sufficient manpower, • Sufficient financial resources.

26. Service Provision - NSA • NSAs can be established at regional level. No need for each Member State to have its own NSA. • Tasks: • Certification of ANSPs, • Monitor the compliance of ANSPs with the requirements of the SES regulations, • Monitor interoperability requirements, • Monitor ATCO-license requirements (to enter in force in 2006)

27. Service Provision - Certification • ANSPs which comply with Common Requirements (CR) will receive a certificate • ANSP need to comply with CR set at European level => to enable mutual recognition and cross-border provision and FABs. Each Member State (MS) of the EU will recognise any certificate issued in another MS (Art 7(8) Reg 550/2004) • CR will be adopted end of 2005 by the European Commission after favourable opinion of the Single Sky Committee

28. Service Provision - Certification • All air navigation service providers (ANSP) need certification: • Air traffic services (ATS) • Meteorological services for air navigation (MET) • Aeronautical information services (AIS) • Communication, navigation and surveillance services (CNS) • Military ANSP providing services for general air traffic have to comply with CR but no formal need for a certificate

29. Service Provision - Certification Conditions to be attached to certificates (Annex II Reg 550/2004): • Formal/legal conditions listed in Annex II.1 • Operational conditions listed in Annex II.2

30. Timetable for certification • NSAs have in principle 12 months from publication of CR (Art 19.2). Possibility of 6 additional months in “exceptional circumstances” • Preparations have started (see pps of NSPs, workshop in Amsterdam…) • At the latest by summer 2007 all ANSP are to be certified

31. Service Provision - Certification • Competent NSA to certify ANSP according to its principal place of operation or its registered office (Art 7.2) • Certificate cover either an individual type of service or a bundle of services (Art 7.3) • Form of the certificate follows national law requirements: not European model/form. But valid throughout the Community: Mutual recognition. • Consequences for ANSPs: • More reliable cooperation between certified ANSP, • More safety as responsibilities are clearly spelt out, • Opportunity for cross-border business.

32. Service Provision - Designation • Member States shall designate certifiedATS provider for a given airspace (Art 8.1) • In a case of a cross-border FAB, the different Member States involved shall designate together the ANSP(s) operating in this FAB (Art 8.4) • Member States may designate MET provider(s) in their airspace • SES regulations does not oblige to privatise

33. Content of Common requirements (1) • Common requirements will cover different areas (safety, security, organisation, financial matters): • Possibility for NSAs to grant derogations to “small” ANSPs (but without mutual recognition); not: “one size fits all” • Safety area : transposition of relevant provisions of ESARR3, ESARR4 and ESARR5 for ATS + CNS (Art 4)

34. Content of the common requirements (2) - technical and operational competence and suitability(safe, efficient, continuous, sustainable provision of services, take into account user demands, compliance with relevant ICAO standards) • systems and processes for safety and quality management (quality management system ISO 9001, safety management system, transposition of ESARRs, operations manuals) • reporting systems (annual report to NSA on financial results, operational performance and other activities) • quality of services (openness, transparency, no discrimination, contingency plans)

35. Content of the common requirements (3) - financial strength (business plan for 5 years, annual plan, financial plan) • liability and insurance cover (ANSP responsible for its services, liable for damages according to national law, need for coverage but flexible method) • ownership and organisational structure, including the prevention of conflicts of interest (definition of duties, responsibilities and reporting lines, ATS-provider to inform NSA about major stakeholders) • human resources, including adequate staffing plans (adequate human resources policy, e.g. training policy) • security(security management system, security of personnel, facilities and data)

36. Service Provision - Finance • Transparency of the accounts of ANSPs (Art 12): • Application of International Accounting Standards (IAS) • Independent audit regularly • Publication of annual report • Identification of relevant costs and income for ANS in accordance with Eurocontrol’s principles, when providing a bundle of services • MS shall designate the competent authorities with right to access to the accounts of SPs

37. Assistance to NSAs • Costs of NSAs can be financed through route charges • NSA may task “recognised organisations” or “notified bodies” to undertake inspections and verifications • regional/European cooperation (peer-reviews, FABs, NSA-workshop) • support by Eurocontrol (ESARR1 on safety requirements on safety oversight)

38. The end Thanks for your attention! Alfonso ARROYO European Commission DG TREN/F/2 Air Traffic Management and Airports Mail address: DM24 05/72, B-1049 Bruxelles Phone: (xx).32.2.299.58.29 Fax: (xx).32.2.296.83.53 e-mail: Alfonso.Arroyo@cec.eu.int