Open Skies - Key Open Skies Provisions

Key Open Skies Provisions

Most of the existing civil agreements include:

  1. Free market competition:
    No restrictions on international route rights; number of designated airlines; capacity; frequencies; and types of aircraft.
  2. Pricing determined by market forces:
    A fare can be disallowed only if both governments concur — "double-disapproval pricing" — and only for certain, specified reasons intended to ensure competition.
  3. Fair and equal opportunity to compete:
    For example:
    • All carriers—designated and non-designated—of both countries may establish sales offices in the other country, and convert earnings and remit them in hard currency promptly and without restrictions. Designated carriers are free to provide their own ground-handling services—i.e., "self-handling"—or choose among competing providers. Airlines and cargo consolidators may arrange ground transport of air cargo and are guaranteed access to customs services.
    • User charges are non-discriminatory and based on costs; computer reservation system displays are transparent and non-discriminatory.
  4. Cooperative marketing arrangements
    Designated airlines may enter into code-sharing or leasing arrangements with airlines of either country, or with those of third countries, subject to usual regulations. An optional provision authorizes code-sharing between airlines and surface transportation companies.
  5. Provisions for dispute settlement and consultation
    Model text includes procedures for resolving differences that arise under the agreement.
  6. Liberal charter arrangements
    Carriers may choose to operate under the charter regulations of either country.
  7. Safety and security
    Each government agrees to observe high standards of aviation safety and security, and to render assistance to the other in certain circumstances.
  8. Optional seventh freedom all-cargo rights
    Provide authority for an airline of one country to operate all-cargo services between the other country and a third country, via flights that are not linked to its homeland.

Read more about this topic:  Open Skies

Famous quotes containing the words key, open, skies and/or provisions:

    Woe unto you, lawyers! for ye have taken away the key of knowledge: ye entered not in yourselves, and them that were entering in ye hindered.
    Bible: New Testament Jesus, in Luke 11:52.

    Do you have to open graves to find girls to fall in love with?
    John L. Balderston (1899–1954)

    The skies they were ashen and sober;
    Edgar Allan Poe (1809–1849)

    Drinking tents were full, glasses began to clink in carriages, hampers to be unpacked, tempting provisions to be set forth, knives and forks to rattle, champagne corks to fly, eyes to brighten that were not dull before, and pickpockets to count their gains during the last heat. The attention so recently strained on one object of interest, was now divided among a hundred; and, look where you would, there was a motley assemblage of feasting, talking, begging, gambling and mummery.
    Charles Dickens (1812–1870)