The European Regions Airline Association (ERA) raises concern following the Transport, Telecommunications and Energy Council’s agreement on its position for revising the Passenger Rights Regulation, EU261.
Regional airlines operate under unique conditions, often using smaller aircraft, flying to less trafficked destinations, and managing extremely tight schedules with limited backup resources. The ERA highlights that the updated regulation, which raises the compensation threshold from three to four hours for short-haul delays, still falls short of addressing the realities on the ground. The association had hoped for a five-hour delay threshold, a proposal it argues is better suited to the challenges regional carriers face.
Legal Clarity Brings Limited Relief
One of the few positive developments in the revised EU261 regulation is the introduction of a binding list of “extraordinary circumstances” that exempts airlines from paying compensation under specific scenarios. This move brings long-requested legal clarity to a regulation that has often led to inconsistent interpretation across the EU.
However, according to the ERA, this legal improvement is undermined by other provisions that impose burdens on regional carriers without considering their economic fragility. Notably, Public Service Obligation (PSO) routes—lifeline connections for isolated communities—were not granted any special exemptions. These flights operate on razor-thin margins, and the increased financial obligations could render them unsustainable.
Key Concerns Raised by ERA
- Delay compensation threshold only raised to 4 hours (not 5) for short-haul flights
- No exemptions granted for PSO routes, despite their public necessity
- Compensation increase from €250 to €300 per passenger
- Automatic reimbursements and rebooking rights increase financial strain
- Passengers allowed to self-reroute, claiming up to 400% of ticket value
ERA’s Director General Montserrat Barriga expressed concern that the regulation’s revisions overlook how regional carriers function within Europe’s aviation ecosystem. “This was a chance to strike a fair balance between protecting passengers and safeguarding the regional air services that so many rely on,” she said. “Yet regional airlines have been overlooked.”
Barriga further warned that the current framework could “damage the financial sustainability of regional operations and, by extension, the connectivity of Europe’s regions.”
Implications for European Connectivity
Regional air services play a vital role in maintaining Europe’s social and economic cohesion, linking smaller cities, rural areas, and islands to major hubs. These routes are often not served by other modes of transport and are crucial for medical, educational, and business access.
By failing to differentiate between large network carriers and small regional operators, the regulation risks undermining Europe’s air transport diversity. Uniform compensation rules may seem fair on paper, but in practice, they disproportionately affect carriers with fewer resources and lower economies of scale.
The ERA argues that placing additional economic burdens on regional carriers jeopardizes the future of these essential services. With limited capacity to absorb rising costs, many routes could be reduced or eliminated altogether, leaving communities disconnected.
Next Steps in the Legislative Process
The European Parliament will now examine the revised text. The ERA is urging lawmakers to adopt a more nuanced approach that reflects the diversity of the European air travel landscape.
Key policy recommendations from ERA include:
- Raising the delay threshold for short-haul flights to at least 5 hours
- Exempting PSO routes from increased compensation requirements
- Providing flexibility for rebooking and reimbursement options
- Recognizing the structural limitations of regional airlines in legislation
The association stresses that a “one-size-fits-all” regulatory model is ill-suited to the complex and varied nature of the aviation industry in Europe. A tailored solution is necessary to preserve air connectivity while ensuring passengers are treated fairly when disruptions occur.
As discussions continue in Brussels, the ERA continues to advocate for changes that would align the regulation with the operational and economic conditions of regional aviation. Policymakers are being asked to consider not just the rights of passengers, but also the sustainability of the services that connect them.
