Brussels,

Aviation Internal Market

MOBILITY & TRANSPORT

The internal market has significantly transformed European air transport into a key economic pillar. With over 100 airlines, 400 airports, and 60 air navigation service providers, the sector not only employs 1.4-2 million people directly but also underpins 4.7-5.5 million jobs indirectly, contributing over €110 billion to the European GDP.

The creation of a Single Aviation Market in the 1990s marked a radical departure from the previously highly regulated industry dominated by national carriers and state-owned airports. This market liberalization removed commercial constraints for EU airlines, allowing unrestricted intra-EU flights, route choices, and fare settings. The outcomes are evident: significant fare reductions, innovative business models, and notably enhanced route options.

This transformation, guided by European policy, has fostered competition while ensuring service quality and paramount safety standards. The Regulation 1008/2008 sets the economic framework for air transport within the EU, detailing rules for operating licences, market access, aircraft registration and leasing, and more since 1 November 2008.

Additionally, the 2014 Aviation Guideline clarifies how state aid can be granted to airports and airlines, reflecting a commitment to fair competition and state support regulations within the aviation sector. This comprehensive approach has yielded increased activity, new routes and airports, more choices, reduced prices, and an overall uplift in service quality, benefiting consumers, airlines, airports, and employees alike.

Licensed European Airlines

In the European Union, airlines are required to obtain an operating license to ensure compliance with safety, financial, and operational regulations.

European airlines - Airline licenses are issued by the national civil aviation authorities of each member state. Each EU country has a regulatory body responsible for ensuring that airlines comply with safety, financial, and operational regulations. Additionally, the European Union Aviation Safety Agency (EASA) plays a significant role in setting common safety regulations across Europe and supports national authorities in their oversight and regulatory duties.
The licensing process is stringent and includes assessments of the airline's financial health, ownership structure, and operational setup, ensuring a high standard of safety and reliability in air transport. European airlines operate in a highly competitive and regulated environment, fostering efficiency, innovation, and consumer choice.

List of active licenses issued by EU Member States
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Non-European airlines - These airlinesaiming to operate in European skies must obtain a specific authorization called "Third Country Operator (TCO) Authorization". This process is overseen by the European Union Aviation Safety Agency (EASA). The airline must meet stringent safety and operational compliance standards that align with EU regulations. This ensures that all airlines, regardless of their origin, adhere to high safety and security standards when operating within Europe.

For a comprehensive list of licensed European airlines or detailed information about specific carriers, please refer to the official websites of national aviation authorities or the European Union Aviation Safety Agency (EASA). 

List of non-european approved organisations

Computerised Reservation Systems

​The air travel booking market in Europe is dynamic and competitive, shaped by a mix of traditional airlines, low-cost carriers, and an array of online travel agencies and booking platforms. Consumers have a wide range of options to choose from when planning their trips, including direct booking with airlines or using third-party services that compare prices and offer package deals.

The market is also characterized by seasonal trends, with peak travel times during holidays and summer months. Airlines and booking services often respond to these trends with dynamic pricing strategies and special promotions.

While the COVID-19 pandemic impacted the market heavily, leading to reduced flight capacities and stricter travel regulations, there's a gradual recovery and adaptation, with increased focus on flexibility, safety, and sustainable travel options.

Technological advancements have significantly influenced the market, with mobile apps and online platforms offering convenient booking, check-in, and flight management services. Furthermore, European regulations ensure strong consumer protection rights, especially concerning flight cancellations and delays.

Computerised Reservation Systems (CRSs), also known as Global Distribution Systems (GDSs), serve as crucial intermediaries between airlines and travel agents, offering real-time data on flight availability and pricing. These systems enable both physical and online travel agents to make instant, confirmed bookings for their customers.

Given the significant influence of CRSs on consumer choices, the EU Regulation 80/2009 ensures that these systems display air services from all airlines in a non-discriminatory manner. The 2009 update simplified the legislative framework, reflecting technological advancements (like the rise of the internet) and market shifts (direct airline sales to consumers). It provided CRSs and airlines more leeway in negotiating booking fees and fare content while upholding safeguards against potential competitive abuses by airlines that own or control a CRS. Additionally, it introduced stricter rules for protecting passenger and personal data.
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In January 2020, there was an evaluation of the CRS Code of Conduct. This evaluation assessed the regulation's relevance and effectiveness against the backdrop of market and technological changes, including the near-complete divestiture of airlines in CRSs, increased internet penetration, and the emergence of alternative distribution channels. It raised questions about the continued appropriateness of the regulation in its current form.

General Aviation

​General aviation in the EU encompasses a vast array of activities, from leisure flying to business aviation and aerial work services. This sector, primarily composed of small and medium-sized enterprises or non-profit organizations, plays a crucial role in the EU's aeronautical industry. With its diverse aircraft, ranging from gliders to sophisticated business jets, general aviation caters to a range of high-value services, including emergency transportation and business door-to-door services.

Recent years have seen a shift in the EU's approach to general aviation. Traditionally, the sector didn't require much attention at the EU level, but the expansion of EU competences in aviation safety and security, advancements in the Single European Sky, and heightened environmental concerns have made EU involvement increasingly pertinent.

Recognizing the sector's limited resources to adapt to regulatory changes, the EU emphasizes the importance of proportional regulations for general aviation. On the industrial front, the EU general aviation industry is making significant strides into global markets, necessitating proper regulatory frameworks and innovation stimulation.

Despite its benefits, general aviation also faces challenges related to environmental impacts. To address these, the European Commission introduced the "An Agenda for Sustainable Future in General and Business Aviation" in January 2008 after extensive consultations.

The  European Aviation Safety Agency (EASA) has also restructured to better accommodate the needs of general aviation. In 2014, EASA established a dedicated General Aviation and RPAS Department and released the General Aviation Roadmap, aiming to simplify regulations, introduce flexible measures, and enhance safety promotion.