Revised Performance and Charging Regulations

1. Revised Performance and Charging Regulations Key changes

2. Revised performance and charging regulations • The Single Sky Committee gave on 8 March 2013 positive opinion on the revised performance and charging regulations • Although compromise text, on balance, significant improvements for implementing the performance and charging scheme • Binding performance targets in all four key performance areas (Safety, Environment, Capacity and Cost-Efficiency) • 'gate-to-gate' approach covering the entire chain of air navigation services

3. Revised performance and charging regulations • The Commission adopted the Regulations on 3 May 2013, which were then published in the Official Journal of the European Union on 9 May 2013 • Commission Implementing Regulation (EU) No 390/2013 of 3 May 2013 laying down a performance scheme for air navigation services and network functions, OJ L 128, p.1 • Commission Implementing Regulation (EU) No 391/2013 of 3 May 2013 laying down a charging scheme for air navigation services, OJ L 128, p.31 • Both Regulations enter into force on the 20th day following that of its publication (29 May 2013) • Regulations shall apply from RP2, though some provisions already applicable as of entry into force • Existing Regulations repealed as of 1 January 2015

4. Revised performance and charging regulations – details /1 • Performance planning on FAB level, with clear indication on FAB performance achievements • Clear link of new investments and major overhaul of systems to the EU ATM Master Plan, monitored and assessed by the Performance Review Body (PRB) • Preparation for large-scale restructuring of the sector under a controlled approach guaranteeing future benefits of restructuring and involving airspace users • The existing concept of uncontrollable costs is now ring-fenced with additional rights of control for the Commission and new requirements on transparency and justification

5. Revised performance and charging regulations – details /2 • Target setting on terminal charges as of 2015 (Union-wide target setting foreseen as of 2017) with terminal services included in the traffic risk-sharing mechanism (optional for smaller airports) as of 2015 • Commission will approve annually unit rates of charges. Important for stringent application of the performance and charging scheme and providing legal certainty • Mandatory financial incentive scheme on capacity targets with clear principles to avoid misuse

6. Revised performance and charging regulations – details /3 • Network Manager integral part of the scheme. Network Performance Plan requiring binding targets in all key performance areas. With close monitoring of evolution of the Eurocontrol budget, part of which finances the work of the Network Manager • Future performance plans entail higher degree of information on important aspects like investments, pension obligations, restructuring needs, or economic assumptions. Assessment and adoption of plans include now factors like return on equity and cost of capital

7. Revised performance and charging regulations – details /4 • Possibility to provide communication, navigation, surveillance services, meteorological services and aeronautical information services under market conditions, with strict Commission control (same for terminal air navigation services) • Clarification that revenues from regulated services cannot be used to finance commercial activities and all revenues to be used to finance service provision • Improved user consultation process through coordinated and facilitated approach (PRB)