The Committee on Economy, Finance and Budget has proposed to the Parliament to adopt amendments to the Law on Air Transport, which propose the introduction of public service airlines - PSO (Public Service Obligation) into domestic legislation, which is applied by most European Union (EU) member states in accordance with European directives.
The amendments to this law were proposed by the Democratic People's Party (DNP) parliamentary group through amendments to Article 37 of the current Air Transport Law. The reason for proposing the introduction of PSO is better air accessibility of the country and further development of tourism.
DNP MP Dragan Bojović emphasized that they initiated changes to the law in agreement with the Ministry of Transport, in order to improve the accessibility and quality of services, and that this change concerns increasing the accessibility of Montenegro. He pointed out that they received a positive opinion from the Government on these changes.
PSO is an arrangement in which the state offers subsidies to airlines through public procurement, so that the airline that wins the tender is obliged to operate air transport on precisely specified routes for a certain period of time, for a certain fee. There are clearly defined conditions that a route must meet in order to be considered a route of public interest.
"The Government is allowed to declare certain routes of public interest when there is no commercial interest in operating traffic by airlines and, through legal procedures and tenders, to enable air carriers to apply and provide access to a destination that is strategically important. This is a mechanism that many EU countries use, so this is a type of harmonisation with EU regulations, and it is important for us to enable us not to have to go to Tirana, Istanbul and Vienna, and connect via those airports, but to have direct lines to places that are important to us as tourists," Bojović stressed.
He pointed out that bylaws will also be adopted to explain the procedures in detail.
The President of the Board, Boris Mugoša, stated that there are destinations that should not be viewed solely from a commercial perspective, and that competition in the region is strong, so solutions must be found because tourists do not want to have to make three transfers in one trip.
They also increase the responsibility of carriers.
The Committee also gave the green light for amendments to the Law on Obligatory Relations and Fundamentals of Property-Legal Relations in Air Transport.
Transport Minister Maja Vukićević explained that in April 2021, the Government tasked the Ministry of Capital Investments, in cooperation with the Civil Aviation Agency (CAA), to submit this law. She pointed out that it contains three key amendments, the first of which relates to harmonizing the liability limits of air carriers with the Montreal Convention based on the recommendations of the International Civil Aviation Organization, i.e. increasing the liability limits of carriers in the event of damage.
The second, he says, relates to the protection of passenger rights in cases of flight delays and cancellations, i.e. it regulates the manner and deadlines for submitting complaints, while the third introduces inspection and control, which will be carried out by the Ministry of Transport and the CAA.
"The passengers themselves will benefit the most from these changes, as some new mechanisms are being introduced, so that passengers can obtain compensation more quickly if their rights are violated in some way by the carrier. Supervision will be carried out by inspectors, in accordance with the current regulations relating to inspection supervision," Vukićević pointed out.
Mugoša asked what support Montenegro receives from the Transport Community. Vukićević pointed out that they have intensive cooperation with the Transport Community, and that they provide technical support for the Bar-Boljare highway, the reconstruction of the railway, accession negotiations...
She emphasized that since 2015, the Ministry's obligations have not been completed to the extent necessary.
Mugoša reiterated that the Government has not yet done its part of the work when it comes to candidates for the Fiscal Council, even though they have had the list since December last year. He once again appealed for the process to be completed so that the Board can do its part of the work.
Mugoša also said that the letter was from the Association of Municipalities because the Constitutional Court is in the process of assessing the constitutionality of the articles of the Law on Real Estate Tax, while the municipalities are concerned and want the final decision to be postponed. He stated that the municipalities fear that they could incur large costs, so they should consider forming a working group for that case.
Deputy Speaker of the Assembly Zdenka Popović also stated that she agreed to hold a thematic session on concessions, and that she would familiarize herself with the letter from the Association of Municipalities, and that a hearing should be held for the candidates for the Central Bank Council. Mugoša stated that three candidates have been proposed for the Council, but that this body needs four members.
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