Brexit & Aviation 109

Preposterous isn’t a big enough word to sum up what’s going on in respect of the UK Government’s approach to the UK Parliament.   Having entirely messed-up during the special session on Saturday last, the UK Prime Minister (PM) has tried to ask the same question again of the House of Commons (HoC) and been sent packing.  Therefore, it stands that the HoC has not approved the Withdrawal Agreement (WA) and has called for the PM to secure an extension under Article 50(3) of the Treaty on European Union until at least 31 January 2020 for the purpose of holding an early General Election (GE) before the end of the extension period.   Will this happen?  We have yet to see.

In conversation, I find that even amongst those who avidly follow the progress of Brexit there’s an incorrect notion.   It’s that the WA represents a deal between the EU and UK that defines their future relationship.  That’s not so.  The WA can be described as a divorce settlement and thus needs to be binding.  That said, the accompanying document, titled Political Declaration (PD), setting out the framework for the future relationship between the EU and the UK is not binding.  The PD is essentially a starting point for the next even more complex and difficult negotiation.

Rushing these historic and complex texts through the legislative process is causing concern.  There has been more than 3-years of ups and downs and backwards and forwards, but the final legal text has only just been put in front of Members of Parliament.  The European Union (Withdrawal Agreement) Bill is not an easy read.

Industry continues to highlight the importance of avoiding a No Deal Brexit, but there’s some relief that the text on regulatory cooperation on aviation safety is positive[1].  The text is vague about close cooperation between the EU’s EASA and the UK’s Civil Aviation Authority (CAA) but at least they are both explicitly mentioned.

Today, high standards of aviation safety are achieved by having common standards and sharing technical expertise and experience.  As the two parties separate there’s a considerable need to keep a close eye on new arrangements and any tendency to diverge for political reasons and not technical ones.  Cooperation doesn’t just happen ad-hoc.  It requires a dedicated effort and active mechanisms to make it work.  Confidence building initiatives take time when different means are used to get to the same outcome.

[1] https://ec.europa.eu/commission/publications/revised-political-declaration_en

Brexit & Aviation 108

After a day of drama, Britain awakes this Sunday with no clear view of what happens next.  The clock keeps ticking and, if deadlines mean anything, then the next one is 11 days away.

It’s true that under no circumstances was disentangling the UK from a 40 years relationship with the European Union (EU) going to be easy.  Are we heading towards a new postponement?  It seems highly likely regardless of the UK Prime Minister’s (PM) latest letter[1].  It seems that PM Johnson is taking advice from P G Wodehouse: “It is a good rule in life never to apologise. The right sort of people do not want apologies, and the wrong sort take a mean advantage of them.”  We could argue about who’s right and who’s wrong but let’s look at what’s on the table instead.

One of the biggest changes that is evident in the new Withdrawal Agreement (WA) concerns the “level playing field”.  That is that the binding commitments for the UK to maintain minimum standards in the areas of social and environmental policy, tax, competition and State aid have been removed from the WA.  The detailed discussion has been put off to the post-Brexit EU-UK negotiating phases.  A closer future relationship means more obligations and a looser relationship means less and this will be linked to the level of market access.   A framework for the future relationship is set out in a new Political Declaration[2].

Looking at the House of Common (HoC) business for Monday, 21 October 2019, several motions for approval of Statutory Instruments (SIs) are to be agreed.  The reality for Brexit is that much existing European regulation is being incorporated in UK law[3].  Many of the proposed changes are to align the text with the appropriate UK institutions as opposed to the European ones.

Therefore, whatever future changes there may be to the “level playing field” and this applies to aviation as much as anything, at least initially both EU and UK will be pretty much aligned.  The political direction post-Brexit will greatly depend on the outcome of a pending UK General Election (GE).  That must come given that the UK Government trying to do all this has no majority in the UK Parliament and a record of loosing votes.

We are in a fast-moving and unpredictable environment.  It’s a good idea not to make too many knee-jerk reactions or draw too many conclusions.  PM Johnson has, in a half-hearted manner applied for an extension to the Thursday, 31 October 2019 end date.  We will soon see if this is granted by all the parties involved.  Ongoing political and economic uncertainty may yet signal the end of the Brexit project.  The genuine technical reality of the benefits of working together for the common good in Europe remains.

[1]https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/840660/PM_to_Donald_Tusk_19_October_2019.pdf

[2] Political Declaration setting out the framework for the future relationship between the European Union and the United Kingdom;

[3] https://publications.parliament.uk/pa/cm201920/cmagenda/ob191021.htm#_idTextAnchor005

Brexit & Aviation 107

Remarkable as it may seem we are just 18 days to UK Prime Minister Johnson’s artificial Brexit deadline of 31st October 2019[1].  Whatever happens next, we know relative to the UK’s current EU Membership, Johnson’s proposals are substantially negative[2].

We know the opinion polls are showing that the British public has turned against Brexit.  Brexit means bureaucracy, debt, less choice, loss of influence and perpetual turmoil.  Why on earth would anyone still want it?  Even those who might want it are likely to say they don’t want what’s on offer.  For example, the DUP in Northern Ireland has already rejected the notion of a “double customs” solution[3].

Next weekend, hundreds of thousands of people will take to the streets to demand a People’s Vote in what will be one of the largest protests in British history.  There’s still someway to go before this matter is settled.  Clearly, the European Union (EU) wants to avoid a disorderly Brexit and establish as close a future relationship as possible with the UK.  I hope that that wish is reciprocated.

In aviation, about 1 in 10 UK pilots think Brexit is positive[4].  I don’t know if cabin crew, air traffic controllers or engineers have been surveyed on the same subject.  That said, I’d be surprised if the result was different for any of the aviation professions.

Civil aviation has a well-established system for reporting what happened when things go wrong.  There’s a mature system under REGULATION (EU) No 376/2014[5] that states the rights and responsibilities of people in the European aviation system.  This is a way of sharing aviation safety information between authorities in the EU.

It’s vital.  Let’s say an aircraft has an undercarriage failure in Spain.  Then weeks later a similar type of aircraft has a similar failure in Finland.  It’s vital to join the dots to ensure the authorities fully understand what’s going on in day-to-day operations.  Much of this safety information is shared via the European Central Repository (ECR) called into being by EU legislation.  As a non-EU State and not being a member of EASA, the UK will lose direct access to the ECR[6].  Yes, information can be requested from the ECR through a written procedure but that’s no substitute to having direct access to the database.  I expect this is one of the many important issues associated with data sharing that are just waiting to pop out of Brexit.

[1] https://interactive.news.sky.com/2017/brexit-countdown/

[2] https://ukandeu.ac.uk/wp-content/uploads/2019/10/The-economic-impact-of-Boris-Johnsons-Brexit-proposals.pdf

[3]https://www.repubblica.it/esteri/2019/10/12/news/dup_s_nigel_dodds_rejects_double_customs_brexit_solution_it_cannot_work_-238366257/?refresh_ce

[4] https://www.balpa.org/Media-Centre/Press-Releases/Only-one-in-ten-pilots-think-Brexit-will-be-positi

[5] https://eur-lex.europa.eu/legal-content/EN/TXT/PDF/?uri=OJ:JOL_2014_122_R_0002&rid=24

[6] https://info.caa.co.uk/brexit/ocurrence-reporting/

Brexit & Aviation 105

The title of this Government’s Brexit proposals could be called: I’m Sorry I Haven’t A Clue.  But that title has been taken by a long-running BBC Radio comedy series.  And I do mean long-running.  The last series was number 71.  If you listen to this clip of “The Uxbridge Dictionary[1]” it might mask the Brexit murk for a minute or two.  By the way, Uxbridge is the Parliamentary Constituency of the Prime Minister.

Here’s a point to clarify.  I keep seeing references to the global aviation regulator ICAO.

Now, as I have mentioned before, ICAO is the International Civil Aviation Organisation.  It’s the organisations 75th birthday this year and that’s good reason to celebrate.  It brings together 193 of the world’s States.  However, ICAO is not a “regulator”.  It does not issue approvals, licences or certificates.  It does not have enforcement powers, like a CAA.  I was going to say that it does not investigate aviation accidents but, I believe it has in one or two special cases.

A key technical role of ICAO is to set Standards and Recommended Practices.  From that the States develop their own framework of legislation that empowers their organisations, sometimes called Agencies or Authorities or Administrations or Directorates to do the regulatory work.

It must be like this given that there’s a great range of different legal systems across the globe.  In fact, those who created ICAO recognised this reality from day one and it’s enshrined in the Convention on International Civil Aviation, also known as the Chicago Convention[2].   The Convention is explicit about the complete and exclusive sovereignty of contracting States.  Although as I learned last week there’s one or two exceptions to this exclusivity.

The European Union (EU) is recognised as a regional organisation at ICAO.  Nevertheless, each European State has, or shares a delegation at ICAO’s HQ in Montreal.   When it comes to making policy for international civil aviation the EU Member States work together.  Coordination is vital to make an impact inside a multinational and multicultural organisation like ICAO.

Yet, its unclear how Brexit will change this arrangement, or if it will change at all.  The opportunity to work together on common interests is always possible.  On issues, like climate change it’s highly likely that Europe and the US will have more in common than say; China, India and Russia.

Where difficulties are more likely are when technical standards in Europe and the US differ.  Then the possibility of competition to set international standards might present awkward choices.

[1] https://www.bbc.co.uk/sounds/play/p00vm9vk

[2] https://www.icao.int/publications/pages/doc7300.aspx

 

Brexit & Aviation 103

This week, I have had the great pleasure of being in Canada and I mean that without hesitation or reservation.  Here in Montreal the sun shines one day and then the next the rain comes thundering down.  Flowers are still blooming, and the leaves are just contemplating leaving the trees.  All in all, it’s a perfect time to be in the city.

The last time I participated in the International Civil Aviation Organisation’s (ICAO’s) 3-yearly Assembly was 6-years ago.  That was the 38th Assembly and this one is the 40th.  It’s noticeable how much less paper there is this time and how much more reliance there is on Apps[1], phones and tablets.  During Assembly Sessions, ICAO’s complete work programme in the technical, economic, legal and technical cooperation fields are reviewed[2].  Over 2000 people took part in the event.

In international aviation several of the major subjects under discussion are forever with us.  Reminding delegates of one of the biggest subjects all work stopped on Friday.  The biggest climate change march in Canada took place here in Montreal.  An estimated half a million people paraded through the city with serious intent but in an altogether carnival atmosphere.

Being here as an observer reminds me how much effort is required to get agreement between the 193 States of ICAO.  It’s a huge credit to the organisation’s secretariat that the Assembly runs like clockwork even when changes are made at the last minute.  EU Member States play a significant part in the proceedings of the Assembly.  Each as a sovereign State but acting together with a common purpose.  The UK is part of that European team.

The ICAO Assembly completed its selection of the 36 States that will oversee its work over the next period.  This is a complex voting arrangement that engages the States’ delegations for the first part of the Assembly.  The UK is one of those States selected to sit on the organisation’s Council[3].

Now, with Brexit I wonder what will happen in 3-years’ time.  Perhaps it’s less wise to speculate on that question than it may have been even a couple of weeks ago.  The situation is so turbulent as each party makes a final push to achieve their ends.

One truth is clear.  If people are serious about tackling global issues, like climate change, then organisations like ICAO have a pivotal role to play.  The more fragmentation of views there is in the world then the harder it will be to coordinate effective actions.   It’s hard enough now.

[1] https://www.icao.int/Meetings/a40/Pages/mobile-app.aspx

[2] https://www.icao.int/Meetings/a40/pages/default.aspx

[3] https://twitter.com/icao/status/1177957655299538946?s=20

 

Brexit & Aviation 102

UK Prime Minister (PM) Johnson’s Brexit meeting with the European Union’s Juncker was said to be “constructive” and contact between the two sides will now be stepped up.  I must wonder with amassment at this summary given that there are only 44 days left on the clock.  Whatever has been said, there’s been no change over the few days on the likelihood of the UK leaving the EU with or without a deal on 31 October.  In probability terms it looks highly likely.

Meanwhile the PM insists he did not mislead the Queen over suspending Parliament.  As of today, that questionable matter is in front of the highest Court in the land.

We are facing a situation where all the existing Agreements and Regulations derived from EU Treaties will fall on 31 October.  Yes, a new Regulation does address basic contingency measure that will be available for a short period[1] after Brexit day but then it’s the land of the completely unknown.

The implications of Brexit for Britain’s aerospace and aviation sector are looked at by the Royal Aeronautical Society and it doesn’t make for happy reading[2].  Yet, Brexit supporters will continue to talk loudly of scaremongering and so called “project fear”.

Let me not paint a picture that everything in the UK is chaos and everything in the EU is fine and dandy.  The hard facts are that we all have the same problems to confront.  A recent exchange between the European Parliament (EP) and the Executive Director of the European Aviation Safety Agency (EASA) on aviation safety showed serious challenges for us all[3].  At least in Brussels, MEPs get to ask questions on aviation safety.  Currently, with a suspended UK Parliament that’s not possible for UK MPs in the UK.

On another subject, commercially Brexit is looking like a bad dream.  Thomas Cook has blamed Brexit uncertainty and the weather for lower bookings and people are now on alert over the airlines possible collapse[4].

If you are a Licensed Engineer and have an EASA Part-66 Licence issued by the UK Civil Aviation Authority (CAA), be sure to check the guidance on whether you will be eligible to work on EU Member State registered aircraft in the event of a No Deal Brexit.

Wouldn’t it be nice to have some good aviation news for a change?  With the Brexit clock ticking to the point of 40 days and 40 nights maybe a change of biblical proportions is coming[5].

[1] Commission considers that this Regulation does not prejudge the nature of the future relationship with the United Kingdom in the area of aviation and that the exercise of competence in the Regulation is temporary and strictly limited to its period of validity.

[2] https://www.aerosociety.com/news/at-brexits-cliff-edge/

[3] http://www.europarl.europa.eu/committees/en/tran/home.html

[4] https://www.thetimes.co.uk/article/42d537c0-d719-11e9-b098-ed106f659f8a

[5] Jesus fasted for 40 days and nights in the Judaean Desert. During this time, Satan came to him and tried to tempt him.

Brexit & Aviation 101

The implications of the prorogation of the United Kingdom (UK) Parliament and the inevitability of a UK General Election (GE) are difficult to fathom.  Factor in the flexibility with which rules and procedures are being interpreted and the mix is ever more complex.  It’s becoming clear that the hard Brexit deadline of 31st October 2019 isn’t a formula for a restoration of clarity, consistency and stability in the manner UK Government Ministers have been saying.

Let’s remember that a GE was scheduled for May 2022 and the last snap GE in 2017 did nothing to ease the pain of Brexit.  Moving the deck chairs around doesn’t stop the bad-tempered political rows that have become part of the daily news diet.

Although the general public had little interest in the subject until around 2015, the European question has become the defining political issue of our time.  Geography and history make the UK a European nation.  The question is that social, economic and political ties are at a crossroads.  Over the next few weeks British politicians trot off to their respective annual conferences.  All the time the hard Brexit deadline of 31st October 2019 looms in the background.

Meanwhile adjustments are being made with respect of European aviation.  Regulations adopted by the European Union (EU) in early 2019 which were due to come into effect on 29th March 2019 are now being extended so that they don’t expire until 24th October 2020[1].

It’s taken 3-years for the impact of leaving the European Single Market to sink in.  So much of what we do on a day-to-day basis is dependent upon Just-In-Time movements of good backwards and forwards between the UK and the rest of Europe.  The level playing field that has been created within the EU has benefited everyone but may have been taken for granted given its transparent success.

For a while the standards of the European Aviation Safety Agency (EASA) will continue to apply in the UK[2].  However, the UK will lose its strong influence over the development of the EASA regulatory framework.  In consultations there’s no doubt UK technical experts will continue to offer comments on proposed rule changes.  Such comments will be considered by EASA as they are from any “Third Country”.  That said, the UK will lose its seat at the table when it comes to making major financial and policy decisions that will shape the future European regulatory framework.

My assumption above is that the UK’s membership of EASA is terminated with a No Deal Brexit.  That means all the tasks currently undertaken by EASA will need to be taken up by the UK Civil Aviation Authority (CAA).  To fully understand the implications of this change it’s to do more than a full reversal of what has been achieved since 29 September 2003.  That’s when EASA first took on responsibility for its allocated tasks.  A backward move that has no upside.

[1] https://www.gov.ie/en/news/2df90c-minister-ross-welcomes-aviation-and-transport-brexit-extensions/

[2] https://sites-herbertsmithfreehills.vuturevx.com/20/15504/landing-pages/3107e-brexit-legal-guide-22-aviation.pdf

 

Aviation & Brexit 100

One of the problems with using a tool like: risk assessment to apply to a big change is that of choosing a scenario that has a realistic likelihood.  I don’t know if the sale of crystal balls has increased during the last 3-years, but it is surely a good business to get into.  It’s been 1167 days since the UK European Union (EU) Referendum Vote.  This week has turned the domestic political world upside down as if we had been asleep for all those days.  The UK now has a Prime Minister at the head of a minority Government that could fall relatively quickly.

At the same time, the UK Government’s man with the fancy title; Chancellor of the Duchy of Lancaster has launched a massively expensive “Get Ready for Brexit” campaign.  This strangely assured act has not been lost on comedians and satirists.  Although the public campaign says you must get ready for 31 October 2019, the UK Parliament may have a different idea as it asserts control over the next phases of Brexit.

57 days to go and the risks of more upsets remain.  Whatever happens, be on day one or after a short stopgap, leaving the EU means that the UK will no longer be able to trade as it has for the last 40 years with the Continental Europe.

In the run up to the original Brexit deadline at the end of March 2019, UK manufacturers including aerospace companies took up stock-pilling.  That has been expensive and holding high levels of stocks undermines the efficiency of production and delivery systems[1].

The overall value of global aircraft deliveries to UK industry, so far this year is £17 billion[2].  However economic factors and the threat of a No Deal Brexit outcome has slowed production.  UK aerospace production fell 3.8 per cent in the first half of 2019, continuing a downward trend from 2018 as the impact of Brexit continues[3].

For the sake of balance, recent news is not all negative as the 2019 Aerospace Manufacturing Attractiveness report from the professional services firm PwC points out[4].  Although this report could be criticised for layering analysis on top of analysis.  Not only that but the historic data used derives from the status-quo being that the UK was in the EU.

It seems that reliable crystal balls are hard to come by.  Most of them tend to draw conclusions from past performance and look forwards on the basis that there’s a degree on linearity with respect to what happens next.  Unfortunately, that’s not so useful when disruptive forces act in random ways.  Brexit is a step change that is not amenable to simple thinking.

[1] https://thesiliconreview.com/2019/8/no-deal-brexit-threatens-aerospace/

[2] https://www.pesmedia.com/uk-aerospace-manufacturing-aircraft-deliveries-no-deal-brexit/

[3] https://www.adsgroup.org.uk/news/newsroom/uk-aerospace-production-slows-as-no-deal-fears-intensify/

[4] https://www.pwc.co.uk/industries/aerospace-defence/insights/2019-aerospace-manufacturing-attractiveness-rankings.html

 

Aviation & Brexit 99

A public petition that says: Parliament must not be prorogued or dissolved unless and until the Article 50 period has been sufficiently extended or the UK’s intention to withdraw from the EU has been cancelled, stands at over 1.6 million signatures.  It’s one indication of the level of public outrage that the UK Government has provoked by its latest actions.

Going back to the pre-referendum world, my years commuting back and forth between the UK and Germany had a few ups and downs.  Snow shutting runways, an engine failure, delays and boring evenings spent in departure lounges at Gatwick and Cologne airports.  That said, on average the experience was fine.  I got to know the interior of an Airbus A319 was well as anyone.  British Airways, EasyJet and Germanwings, now Eurowings use the aircraft.  It’s a fine modern aircraft for flights of around an hour.

So, what will routine business travel be like if Brexit goes ahead after the end of October?  Looking at what’s available, a November flight from London to Cologne can still be scoped up for under £100.  But it’s emerging that short work assignments to European Union (EU) Member States are not going to be so easy as in the past[1].

For a start checking your passport is an absolute must.  Gone are the days of jumping on a High-Speed Train with nothing more than a driver’s licence as ID.  I often travelled between Cologne and Brussels having left my passport at home.  Now, it’s essential to check you’ve got at least 6 months left on your passport from the start of any journey.

The EU has amended its regulations to allow visa-free travel for UK nationals for short stays of 90 days in any 180-day period.  Another Brexit effect is that UK nationals will no longer be able to use EU lanes at airports and ports.  Also, UK nationals may be asked about the duration, purpose of visit and their financial means when entering the EU[2].

There are official UK Government warnings about travel[3].  One of them concerns medical insurance.  UK nationals visiting the EU need to have private medical insurance after 31 October.  That may be difficult for those with pre-existing conditions who may be excluded from cover.   My free European Health Insurance Card (EHIC) will not be much use after Halloween[4].

EU leaders are due to meet for a summit in Brussels on 17 – 18 October, just a fortnight before the UK’s current withdraw date.  There’s a small chance that Brexit negotiations will bring about an agreement.  It is only a small chance.

[1] https://www.bloomberg.com/news/articles/2019-08-13/advice-for-london-bankers-in-no-deal-brexit-refundable-tickets?

[2] Assuming a No Deal disorderly Brexit and continuing uncertainty

[3] https://twitter.com/DHSCgovuk/status/1167436816405979137?s=20

[4] https://www.nhs.uk/using-the-nhs/healthcare-abroad/apply-for-a-free-ehic-european-health-insurance-card/#

 

Aviation & Brexit 98

It was all the way back on 29 March 2017 that the United Kingdom (UK) submitted the notification of its intention to withdraw from the European Union (EU).  Today, on 29 August 2019 the UK remains an EU Member State.

1162 days since the 2016 referendum.  63 days until the UK plans to withdraw.

The new UK Prime Minister faces the same constraints as his predecessor but is approaching withdrawal from the EU in a different way.  Mentioning the UK Government’s constitutional chicanery, to keep the UK Parliament quiet, is not what I’m going to do here.  That subject is so widely covered everywhere else.  It has left most people astonished.

It seems what we have now is not a game of chess between the UK and EU where logical rules prevail.  This is more like a game of high stakes Poker[1].  The problems with such an approach to international relations is the inevitable escalation that’s a part of the process.   Not only that but the inability or impossibility of a nation State and its politicians to maintain a Poker face.

In civil aviation, the reality is that we need logical rules to keep the planes flying.  It’s a complex technical system.  If the UK falls out of EU based regulatory systems for parts, products[2], organisations and personnel licences a massive amount of work will need to be done.  No amount of bluff can substitute for demonstrated competence.  Or if it does substitute then safety, security and sound business can be severally compromised.  International insurers will not cover a plane, pilot or engineer that doesn’t have a recognised and respected regulatory certification or approval.

At this unfortunate hiatus in the Brexit process a lot of people are pacing the floor wondering what will happen next and what contingency measure to best take.  Sound advice is in short supply.  Official sources often hedge their bets.

In the end, given that both the UK and the EU take great pride in what they do to be competent, there will have to be a return to a form of mutual respect and recognition.  If Brexit is overturned that should be straightforward.  If Brexit goes ahead with a withdrawal agreement and the UK becomes a third country[3] that should be possible.  However, if a No Deal or a disorderly outcome prevails all bets are off.

[1] https://bicyclecards.com/how-to-play/basics-of-poker/

[2]  “product” means an aircraft, engine or propeller.

[3] A third country is a country not member of the EU.