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Aviation History
1952
1952 - 2172.PDF
166 FLIGHT CIVIL AVIATION . . . THE A.T.A.C.'s TERMS of REFERENCE IN accordance with the general arrangements announced in Parliament on May 27th, the Ministry of Civil Aviation has now issued the terms of reference to the reconstituted Air Trans port Advisory Council and notice has been given that the Council is ready to receive applications from the Corporations and British air transport companies to operate scheduled services and inclusive tours. The members of the Council (subject of a news story in last week's issue) are Lord Terrington (chairman), Viscount Runciman, Sir John Ure Primrose, Mr. Gerard d'Erlanger and Mr. J. J. Taylor. Applications received will be considered in accordance with the terms of reference, and recommendations will be made to the Minister, whose decision will be final. Standard forms must be used for applications, and copies can be obtained from the Secretary of the A.T.A.C.,at 9 Buckingham Gate, London, S.W.i. For internal services three months' notice is required before the proposed starting date, and for international services four months. In exceptional circumstances short-term (maximum 14 days) services at home may be considered if the application is received not less than 21 days before the starting date. The Council may decide to hold inquiries at which applicants and interested parties can appear to state their cases; these may be in public or in private, according to the circumstances. Seven days' notice will be given of private inquiries and 21 days of public inquiries. The terms of reference begin as follows: "It is Government policy to help forward the sound development of civil aviation, to reduce the cost of air transport to the taxpayer and to give greater opportunities to private enterprise to take part in air trans port development, without in any way impairing the competitive strength of our international air services. The statutory Air Corporations have established an important position in the highly competitive field of international air transport, and by avoiding any measures that would undermine their existing international network, it is the intention that they shall retain that position. The Corporations will accordingly have reserved to them the right to provide both first and second (or tourist) class services, as defined for the purposes of the International Air Trans port Association, on their existing International networks. The indepen dent companies and the Corporations will aiike be eligible to apply for the right to develop new routes not so reserved to the Corporations and all new types of scheduled services. "On internal services within the U.K., the Government's objective is to reduce and as far as possible eliminate the cost of these services to the taxpayer and to give special consideration to the particular requirements of certain areas. Until the Government have completed their study of the complex problem of giving effect to this policy, B.E.A. will continue to provide services on their existing internal network, but independent companies will be able to apply under the new arrangements for long-term rights to provide services which do not materially divert traffic from B.E.A.'s internal services. They will not be affected, as before, by B.E.A.'s planned development of routes on which they have not yet operated. No subsidies will be granted to independent companies obtaining rights to operate scheduled services within the sphere of opportunity now presented." The Minister proposes for the time being to implement this policy by an extension of the arrangements under which the Corporations appoint independent operators as Associates under Section 15 (3) of the Air Corporations Act, 1949. As an Appendix to the terms of reference there are two schedules, A and B (summarized at the foot of Col. 2), the former specifies routes on which, under the Government's new policy, the Corporations will have reserved to them the right to operate normal scheduled services, providing for passengers at first and/or second class (tourist) fares, as defined for the purposes of the I.A.T.A., mail and supplementary freight—referred to as "normal scheduled services". Schedule B specifies the routes on which the Corporations will have the right to operate "all-freight" services. The terms of reference then continue:— "The Minister will be prepared to consider under these arrangements proposals for:— "(i) The operation by independent companies on any internal route of services which would not materially divert traffic from either B.E.A. on internal services or from independent companies already authorized to operate, under current Associate Agreements. "(ii) The operation by B.E.A. of services on any new internal route, not forming part of their approved network and not approved for an independent company under a current Associate Agreement, provided that such services would not materially divert traffic from independent companies authorized to operate under current Associate Agreements. "(iii) The operation by independent companies, to places outside the Eritish Islands, of 'normal scheduled services' on any route which is not specified in Schedule 'A' or for which another operator has not been already approved for such services or which is not designed to cater primarily for the same traffic areas as a route so specified or approved. "(iv) The operation by a Corporation to places outside the British Islands of 'normal scheduled services' on any new route not forming part of their approved network and for which no independent company has been authorized to provide 'normal scheduled services,' provided that such a service is not designed to cater primarily for the same traffic areas as a route so authorized. "(v) The operation of a 'Colonial coach' class passenger service by an independent company or by one of the Corporations along any route, whether included in Schedule A or not, provided the proposed service is of such a nature as to generate a new class of passenger traffic without material diversion of traffic from the 'normal scheduled services' of any other previously approved U.K. operator, and does not involve the right to pick up or set down passenger traffic in territories where relations with the U.K. are governed by bilateral Air Transport Agreements and/or where fares are subject to I.A.T.A. arrangements. For this purpose a Colonial coach-class service will have to be:— (a) a lower class of service than that of normal scheduled services, e.g. as regards type of aircraft, shorter stage lengths, passenger amenities, baggage allowance, etc., and (6) operated to a stated frequency closely related to the require ments of the new class of traffic in the territories in which rights may be exercised and at a fare not exceeding a fixed sum (with out rebates) low enough to ensure dependence on the new class of traffic. "(vi) The operation by a Corporation or by an independent company on any route (including those specified in Schedule A) of services con fined to the carriage of passengers who pay an inclusive charge for air transport and hotel accommodation, other than 'night-stop' accommo dation incidental to a normal scheduled journey, (i.e. Inclusive Tour services), provided that such services are not likely materially to divert traffic which would otherwise be carried by any operator already authorized for the route. "(vii) The carriage of freight traffic by a Corporation or by an inde pendent company either as an exclusive load, or as a supplementary load on services authorized under (v), (vi) or (viii), provided the position of any previously authorized operator is not likely to be undermined. "(viii) The operation of any route of vehicle ferry services which may also provide for the carriage of incidental passengers so limited in number as to avoid material diversion of passenger traffic from other authorized services. "(ix) The operation by a Corporation or an independent company on any route of a service from which a Corporation or independent company has withdrawn for other than temporary or seasonal reasons. "(x) The operation by a Corporation or by an independent company on any route of a helicopter service irrespective of the existence of a fixed-wing aircraft service." The terms of reference next go on to indicate the circumstances in which the Minister's approval would be given for an Associate Agree ment between an independent operator and one of the Corporations. They are subject to his being satisfied that the applicant's equipment, personnel, organization and operating standards are adequate to meet the requirements of the Civil Aviation Act, 1949; that there is no foreign investment or other foreign interest in the undertaking; and that the terms and conditions of employment of the applicant's staff are in accordance with national joint council agreements. In addition, on international services, the fares, freight rates, and so on must comply with agreements between the U.K. and other countries, rates for carriage of mail must be comparable with those charged by the Corporations, and the applicant must show that his financial resources are adequate to provide and maintain the requisite standard of services. On receipt of an application it is the task of the Air Transport Advisory Council to consider whether it fulfils or is likely to fulfil if approved by the Minister, the various conditions outlined in the above paragraphs, and if so, to recommend to the Minister whether or not he should approve it. The terms of reference indicate that, in considering applications, the Council should pay particular regard to the require ments of the public in the area concerned; the availability of ground and navigational facilities; the adequacy or otherwise of services already provided in the area; the period for which services have already been operated by the applicant or another operator; the applicant's previous record and probable ability to provide satisfactory services in respect of continuity, safety, regularity and frequency; the type of aircraft proposed for use; the amount of traffic and gross revenue on which the application is based; the suitability of the fares and rates proposed; and other relevant matters. It is, finally, the Council's job to recommend the period for which the Minister's approval of an application should be given. This will normally be for a maximum of seven years, or ten in exceptional circumstances. THE SCHEDULES Schedule A Part One covers B.O.A.C.'s routes. Most of these are well known, but they may be summarized as from London to Sydney, Tokyo, Hong Kong, Singapore, Johannesburg, Lisbon, Montreal, New York, Auckland, Nassau, Rio de Janeiro, Buenos Aires, Santiago, and all the recognized intermediate points on these routes, including (in Europe) Frankfurt, Zurich and Rome. Schedule A Part Two covers the routes of B.E.A. in Europe and to the Middle East:—London to Barcelona, Madrid, Gibraltar, Palma, Zurich, Geneva, Basle, Vienna, Paris, Nice, Deauville, Dinard, Le Touquet, Brussels, Dusseldorf, Berlin, Cologne, Hanover, Frankfurt, Amsterdam, Copenhagen, Stockholm, Oslo, Rome, Milan, Malta, Tripoli, Istanbul, Athens, Cyprus, Benghazi and Cairo. Both direct and stopping services to and between the cities are included. Schedule B, concerning freight routes for the Corporations, is as follows:—Part I—B.O.A.C.:—London to Nice, Tripoli, Cairo, Bahrein, Karachi, Delhi, Calcutta, Bangkok, Singapore. Part II—B.E.A.:— London to Amsterdam, Hamburg, Berlin, Copenhagen, Stockholm, Paris, Brussels, Hanover, Nice, Rome, Malta, Milan, Athens, Istanbul, Zurich, Vienna.
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