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Other Key Points
1. Transport & sustainability - Developments on the legislations relevant to achieving the EU's climate targets
Multimodal Digital Mobility Services Postponed
GBTA takes part in high level event at the European Parliament
David Frangeul Senior Director, Global Air & Ground Practices leader at Advito and Fulvio Origo, regional lead, GBTA Italy representing GBTA and the business travel industry at the European Parliament.
On October 10, 2023, the Global Business Travel Association (GBTA) helped organise a high-level event to discuss the upcoming Multimodal Digital Mobility Systems Regulation (MDMS), which aims to make multimodal travel in Europe easier for passengers, improving efficiency and sustainability. The event, The MDMS Regulation: Can it make travel easier and greener? was hosted by MEPs Oetjen and Dalunde in the European Parliament and showcased the numerous stakeholders representing the full mobility ecosystem, including consumers, rail, business travellers and environmental experts supporting the MDMS Regulation. David Frangeul Senior Director, Global Air & Ground Practices leader at Advito, spoke on behalf of GBTA and
business travellers.
Implementing a robust MDMS is seen as a challenge, but the benefits of increasing rail options and passenger rights to offer more sustainable choices are strong. However, the Commission’s proposal has been delayed (more information below), and there is uncertainty about its future during this parliamentary term. MEPs at the event called on the European Commission to present a legislative proposal on MDMS before the European Parliament election in 2024, but the Commission did not confirm a timeline. Industry experts discussed obstacles to the development of multimodal ticketing services and how MDMS could encourage a shift towards more sustainable transport modes. They emphasised the need for clarity on liability in case of delays or cancellations and on the sharing of content with resellers.
GBTA and other stakeholders are calling on European policymakers to prioritise the MDMS Regulation in EU transport policy. You can read more about the meeting here.
GBTA and other representatives issued a joint statement calling on European policymakers of all institutions to continue supporting the MDMS Regulation and to make the MDMS proposal a key priority in EU transport policy.
Why is the MDMS initiative postponed?
More broadly, MEPs requested a clear timeline from Executive Vice President of the Commission, Maroš Šefčovič on the Multimodal Digital Mobility Services (MDMS) plan during his parliamentary confirmation hearing in early October, but his response did not provide one. Šefčovič, who succeeded Frans Timmermans as the head of the Green Deal, outlined schedules for important Green Deal initiatives in early 2024, but the MDMS plan was notably absent.
The MDMS plan was initially hailed as a significant Commission initiative to promote sustainable travel options by simplifying the process of comparing and booking multimodal trips online. However, it has encountered obstacles in its development, including a negative assessment by the regulatory scrutiny board, casting doubt on its eventual realisation.
Šefčovič's response mentioned that preparations for the MDMS plan would continue but did not specify a timeline. In the meantime, the Commission is focusing on enhancing multi-modal transport by revising multimodal travel information services by the end of the year, aiming to improve services for passengers, including real-time information on arrivals and departures and the option to bring bicycles on board.
Additionally, Šefčovič' did promise that the Commission would release an updated version of combined transport rules in November. This update, which has faced delays, has been eagerly anticipated by rail groups, particularly following the introduction of the executive's freight-focused environmental package in July.
RefuelEU Aviation adopted - European Parliament Approves Mandatory Sustainable Jet Fuel Blend to Reduce Aviation Emissions
The European Parliament has given its approval to new regulations aimed at increasing the use of sustainable jet fuel in flights departing from EU airports, under the name RefuelEU Aviation. The law mandates a progressive increase in the blending of green jet fuel with kerosene, starting at 2% in 2025 and reaching 70% by 2050.
All flights from EU airports, regardless of their destination, will be required to use a sustainable aviation fuel and kerosene blend. The European Commission will also create an environmental performance label for flights to inform passengers about the climate impact of their journeys. The sign-off by MEPs to introduce a sustainable aviation fuel mandate got broad support from NGOs and airlines. GBTA welcomed the new regulation when it was announced in April as it sends a clear signal on the need to support the uptake of sustainable aviation fuels in Europe. GBTA believes that the EU should go one step further and complement the new rules with financial support under the Net Zero Industry Act to incentivise the production of SAF and bring its
price closer to conventional jet fuel. The RefuelEU aviation legislation was officially adopted by the Council of the EU on the 9th of October and will apply for the most part from the 1st of January 2024.
Net Zero Industry Act updates
The European Commission’s initial proposal for the EU’s Net Zero Industry Act NZIA, (Europe’s flagship industrial policy initiative that aims to increase support for the development of net-zero industries) does not include Sustainable Alternative Fuels in the main list of “strategic net-zero technologies” list that will be granted the most benefits but on a second list of “net-zero technologies” that will get only some advantages. The European Parliament’s Industry Committee (ITRE) wants to change this by merging the two lists and granting the maximum advantages to all types of technologies mentioned, including Sustainable Alternative Fuels. In the meantime, EU countries have not yet agreed on a common position, mainly due to differences between France and Germany on whether nuclear should be considered a “net-zero technology”, with the former strongly
supporting it and the latter opposing it.
2. Other updates
European Travel Information and Authorisation System (ETIAS) postponed to 2025
The European Union has delayed the launch of ETIAS, with the new expected launch date set for May 2025. This postponement means that British passport holders can continue to travel to Schengen Area countries, Bulgaria, Cyprus, and Romania without the need for the online travel authorisation.
The delay is attributed to issues with the implementation of the Entry/Exit System (EES) by third parties, which is a prerequisite for launching ETIAS. An EU official stated that it is impossible for ETIAS to become operational without EES. Several Member States, including France, have confirmed the postponement.
France has been advocating for the delay of EES and ETIAS due to the Paris Olympic Games scheduled for the summer of the following year. France aims to avoid long queues and chaos at border crossings and international airports as it expects a significant number of third-country nationals to attend the event. The delay also addresses concerns about potential delays at the UK-France border due to EES.
While British authorities have expressed dissatisfaction with their inclusion in the EU's ETIAS system since Brexit, the UK is developing a similar scheme called the UK Electronic Travel Authorisation (ETA). The UK ETA will become effective for Qatari nationals in October and will be expanded to include nationals from visa-free countries, including EU nationals, in the future. This means that EU nationals will also soon be subject to this requirement when traveling to the UK.
Be aware – there are several fake websites sharing misinformation. Please ensure you source information from the official website.
Call for new rules on carry-on luggage in Europe
MEPs are advocating for the elimination of carry-on baggage fees to simplify airfare pricing and make it easier for passengers to avoid hidden charges when flying with different airlines. They have passed a resolution urging airlines to ensure that passengers can bring reasonably sized cabin baggage on board without additional charges. The resolution also calls on countries to enforce a 2014 ruling by the European Court of Justice regarding hand luggage.
Furthermore, the resolution suggests that EU legislation on air passenger rights should be updated to provide a comprehensive solution to this issue, ultimately aiming to create a more transparent and passenger-friendly air travel experience.
The Commission said the issue is “currently being examined” as part of an impact assessment on the Air Services Regulation, which manages a range of issues involving the industry. That assessment has been in the works since 2019.
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