PART IA LICENCES FOR SCHEDULED JOURNEYS
UNDER AIR SERVICES AGREEMENT |
2B.—(1) In this Part —| “air operator certificate” means an air operator certificate granted under paragraph 87 of the Air Navigation Order (O 2); |
| “air traffic right” means the right of an airline designated, nominated or otherwise authorised by the Government to provide air services on scheduled journeys from, to or over a country under an air services agreement, and includes the city to be served, the route on which the air services are to be provided, the type of traffic to be carried and the capacity to be provided; |
| “available air traffic right” means any air traffic right other than an air traffic right in respect of which a licence is in force; |
| “Chairman” means the Chairman of the Committee; |
| “licence” means a licence granted under this Part; |
| “licensee” means a person who holds a licence. |
| (2) A reference in this Part to the suspension of a licence by the Committee includes a reference to the suspension by the Committee of the right to exercise one or more air traffic rights conferred by the licence. |
| (3) A reference in this Part to the revocation of a licence by the Committee includes a reference to the revocation by the Committee of the right to exercise one or more air traffic rights conferred by the licence. |
| (4) A reference in this Part to the variation of a licence by the Committee includes a reference to the variation of one or more air traffic rights that may be exercised by a licensee under the licence. |
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| 2C. This Part shall apply only to the provision of air services on scheduled journeys under and in accordance with an air services agreement. |
| Air Traffic Rights Committee |
2D.—(1) For the purposes of allocating air traffic rights under this Part, there shall be established a Committee comprising a Chairman and not less than 3 other members, which shall be known as the Air Traffic Rights Committee.| (2) The Chairman and every other member of the Committee shall be appointed by the Minister for a period not exceeding 2 years and each shall be eligible for re-appointment. |
| (3) The Minister may at any time revoke the appointment of the Chairman or any other member of the Committee for any reason and may appoint any person to fill any vacancy which may arise in the Committee. |
| (4) The Chairman or any other member of the Committee may at any time resign from his office by notice in writing to the Minister. |
| (5) Subject to the provisions of this Part, the Committee may regulate its own procedure. |
| (6) The Authority shall provide administrative and secretarial support to the Committee in the performance of its functions. |
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2E. The functions of the Committee are —| (a) | to consider any application for the grant or renewal of a licence to provide air services which are the subject of any available air traffic rights, and to grant or renew such licence on such terms and conditions as the Committee may determine or to refuse to grant or renew such licence; [S 649/2011 wef 19/12/2011] | | (b) | to review any such licence, and to affirm, suspend, revoke or vary such licence pursuant to the review; and [S 649/2011 wef 19/12/2011] | | (c) | to consider any application for approval to transfer or assign any licence, and to approve the transfer or assignment of such licence subject to such terms and conditions as the Committee may determine or to refuse such approval. [S 649/2011 wef 19/12/2011] |
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| Application for grant or renewal of licence |
2F.—(1) An application for the grant or renewal of a licence to provide air services which are the subject of any available air traffic rights shall be made to the Committee.| (2) Except as otherwise provided in this regulation, the application shall be made in such form and manner as the Committee may require. |
(3) When an application is made to the Committee for the grant or renewal of a licence under this Part, the applicant must first submit to the Committee the information specified in Part I of the First Schedule unless —| (a) | the applicant already holds a valid Traffic Rights Application Certificate granted under regulation 2H(1)(a) relating to a network of air services that covers the air services that are the subject of the application; or | | (b) | the Committee specifies otherwise. [S 649/2011 wef 19/12/2011] |
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(4) After receiving a Traffic Rights Application Certificate under regulation 2H(1)(a), the applicant for the grant or renewal of a licence —| (a) | who is the holder of a valid air operator certificate; and | | (b) | whose application relates to air services within the network of air services that are the subject of the Traffic Rights Application Certificate, |
| must submit to the Committee the information specified in Part II of the First Schedule, unless the Committee specifies otherwise. |
[S 649/2011 wef 19/12/2011] |
(5) Unless otherwise allowed by the Committee, the application shall —| (a) | if it is an application for the grant of a licence, be made at least 6 months before the date on which the applicant proposes to commence the provision of air services that are the subject of the application; and | | (b) | if it is an application for the renewal of a licence, be made at least 6 months before the date of expiry of the licence. |
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| (6) The Committee may require an applicant to furnish such other documents and information as the Committee thinks fit and the applicant shall comply with such requirement. |
| (7) The Committee may reject an application without further consideration if the applicant does not comply with this regulation. [S 322/2011 wef 10/06/2011] |
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| Matters to be considered by Committee |
2G.—(1) The Committee may take into account the following matters when considering an application for the grant or renewal of a licence: | (a) | the nationality of the applicant or, if the applicant is a body corporate, the place of its incorporation and the nationalities of the persons whom the Committee considers hold substantial ownership and effective control of the applicant; | | (b) | the financial resources of the applicant and his ability to maintain adequate, satisfactory, safe and efficient air services; | | (c) | the applicant’s proposals for providing air services in terms of —| (i) | the network of air services the applicant intends to provide and the aircraft fleet to be used for those air services, including the proposed date of commencement of those air services; | | (ii) | the market segments targeted; | | (iii) | the branding for the air services to be provided; | | (iv) | the markets to be served under co-operative arrangements with other operators; and | | (v) | the viability of the applicant’s overall business model, including traffic forecasts of the air services to be provided by the applicant; |
| | (d) | whether there are available air traffic rights relating to the network of air services proposed to be provided by the applicant; | | (e) | the extent to which the applicant’s proposed overall network of air services will promote Singapore as an air hub; | | (f) | any other benefits that would accrue to Singapore by the applicant’s proposed overall network of air services; | | (g) | whether the applicant is the holder of an air operator certificate; | | (h) | the applicant’s proposals for providing air services in terms of — | (i) | the cities to be served; | | (ii) | the routes on which the air services are to be provided; | | (iii) | the aircraft types and configurations to be used; | | (iv) | the frequency, capacity and timetable of the air services to be provided; | | (v) | the types of traffic to be carried; | | (vi) | the tariffs to be charged and conditions of tariffs; | | (vii) | the expected load factors of passenger and cargo carriage; | | (viii) | the expected load factors of passenger and cargo carriage that must be achieved in order to avoid any financial loss in providing the air services concerned; | | (ix) | the date on which the provision of air services is to commence and the ability of the applicant to enter the air services market quickly; | | (x) | the nature of the air services to be provided, including any joint services, code-sharing and other arrangements to be entered into with one or more airlines with respect to the air services to be provided; | | (xi) | the applicant's business strategy (including the tariffs to be charged and conditions of tariffs, the proposed range and quality of services to be provided and the applicant’s explanation as to how the applicant intends to meet the commitments contained in his proposals); and | | (xii) | the international civil aviation requirements relating to operational and safety standards; |
| | (i) | the provision of air services by other airlines along the routes in respect of which the application is made; | | (j) | the demand for air services along the routes in respect of which the application is made; | | (k) | the applicant’s past performance in respect of any air services provided by him prior to the application; | | (l) | the extent to which tourism can be promoted if a licence is granted to the applicant or if his licence is renewed; | | (m) | the extent to which international trade can be promoted if a licence is granted to the applicant or if his licence is renewed; | | (n) | the extent to which Singapore can be promoted as an air hub if a licence is granted to the applicant or if his licence is renewed; | | (o) | the benefits that would ensue to the public if a licence is granted to the applicant or if his licence is renewed (including the availability of effective, efficient, economical and safe air services); | | (p) | the extent to which good relations and co-operation (particularly in respect of the provision of air services) with foreign governments can be fostered if a licence is granted to the applicant or if his licence is renewed; and | | (q) | any other benefits that would accrue to Singapore if a licence is granted to the applicant or if his licence is renewed. [S 322/2011 wef 10/06/2011] |
| (2) In addition to the matters referred to in paragraph (1), the Committee may also take into account any other matter which it considers relevant. |
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| Grant or renewal of licence |
2H.—(1) When an applicant for the grant or renewal of a licence under this Part, pursuant to regulation 2F(3), submits to the Committee the information specified in Part I of the First Schedule, the Committee may, after taking into account the matters referred to in regulation 2G(1)(a), (b), (c), (d), (e) and (f) and any other relevant matter under regulation 2G(2) —| (a) | issue a Traffic Rights Application Certificate to the applicant stating —| (i) | the network of air services which the applicant may provide; and | | (ii) | that the Committee is satisfied that the applicant satisfies such criteria upon which the Traffic Rights Application Certificate is issued; or |
| | (b) | refuse to grant or renew the licence. [S 649/2011 wef 19/12/2011] |
(2) When an applicant for the grant or renewal of a licence under this Part, pursuant to regulation 2F(4), submits to the Committee the information specified in Part II of the First Schedule, the Committee may, after taking into account the matters referred to in regulation 2G(1)(g) to (q) and any other relevant matter under regulation 2G(2) —| (a) | grant or renew the licence subject to such terms and conditions as it may determine; or | | (b) | refuse to grant or renew the licence, |
[S 649/2011 wef 19/12/2011] |
| (3) The Committee shall issue a Traffic Rights Application Certificate, stating the network of air services which may be provided, to every person who, immediately before 10th June 2011, is the holder of a licence granted under this Part. |
| (4) Any Traffic Rights Application Certificate issued under paragraph (1)(a) shall cease to be valid if the holder of the Traffic Rights Application Certificate does not provide any air services which are the subject matter of the Certificate for any period of one consecutive year beginning on or after the date of issue of the Certificate. |
(5) Without prejudice to any other ground on which the Committee may refuse to grant or renew a licence, the Committee may, in particular, refuse to grant or renew a licence —| (a) | if the applicant is not a citizen of Singapore, or not a company incorporated in Singapore which the Committee considers to be substantially owned and effectively controlled by the Government or citizens of Singapore or both; | | (b) | if the Committee is not satisfied that the applicant has sufficient financial resources to provide the air services in respect of which the application is made; | | (c) | if the grant or renewal of the licence would result in a contravention of the air services agreement in relation to which the application is made; or | | (d) | if the applicant does not hold a valid air operator certificate. [S 322/2011 wef 10/06/2011] |
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| Period and form of licence |
2I.—(1) A licence may be —| (a) | a Category A licence, which shall be valid for such period (not exceeding 10 years) as is specified therein and which, on each renewal, shall be valid for such further period (not exceeding 10 years) as is specified on such renewal; or [S 822/2013 wef 01/01/2014] | | (b) | a Category B licence, which shall be valid until it is cancelled, revoked or suspended under this Part. [S 128/2010 wef 01/03/2010] |
| (1A) The Committee may upon the application of a licensee convert a Category A licence to a Category B licence if the Committee thinks fit to do so. [S 128/2010 wef 01/03/2010] |
| (1B) An application under paragraph (1A) shall be made in such form and manner as the Committee may require. [S 128/2010 wef 01/03/2010] |
| (2) A licence shall be in such form as the Committee may determine. |
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| 2J.—(1) A licensee shall, for the duration of his licence, pay to the Authority on such date and in such manner as the Committee may determine an annual fee for each city in respect of which air services are provided under his licence, or a pro-rata amount of that fee if the period to which the licence relates is less or more than 12 months. [S 649/2011 wef 19/12/2011] [S 606/2013 wef 23/09/2013] (1A) The annual fee payable for each city under paragraph (1) shall be as follows:| (a) | where the licensee holds only a Category A licence —| (i) | if the air services are provided or to be provided any time between 1 April 2022 and 31 March 2023 (both dates inclusive), the sum of —| (A) | $1,617.75 for air services provided between 1 April 2022 and 30 November 2022 (both dates inclusive); and | | (B) | $895.07 for air services to be provided between 1 December 2022 and 31 March 2023 (both dates inclusive); or |
| | (ii) | if the air services are to be provided on or after 1 April 2023 — $2,700; |
[S 877/2022 wef 01/12/2022] | | (b) | where the licensee holds both a Category A licence and a Category B licence —| (i) | if the air services are provided or to be provided any time between 1 April 2022 and 31 March 2023 (both dates inclusive), the sum of —| (A) | $1,617.75 for air services provided between 1 April 2022 and 30 November 2022 (both dates inclusive); and | | (B) | $895.07 for air services to be provided between 1 December 2022 and 31 March 2023 (both dates inclusive); or |
| | (ii) | if the air services are to be provided on or after 1 April 2023 — $2,700; |
[S 877/2022 wef 01/12/2022] | | (c) | where the licensee holds only a Category B licence —| (i) | if the air services are provided or to be provided any time between 1 April 2022 and 31 March 2023 (both dates inclusive), the sum of —| (A) | $1,604.38 for air services provided between 1 April 2022 and 30 November 2022 (both dates inclusive); and | | (B) | $762.47 for air services to be provided between 1 December 2022 and 31 March 2023 (both dates inclusive); or |
| | (ii) | if the air services are to be provided on or after 1 April 2023 — $2,300. |
[S 877/2022 wef 01/12/2022] |
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| (2) Where there is in force an international agreement to which Singapore is a party pursuant to which any fees or charges are payable to the government of another country or any international organisation that are (whether directly or indirectly) connected with, incidental to or arising from the flight of an aircraft of a licensee over any territory or region as specified in the agreement, such fees and charges shall be borne by the licensee. |
| (3) Where the Government is required under the terms of the international agreement to pay any fees or charges referred to in paragraph (2), the Government may recover the amount of any payment to be borne by the licensee from the licensee, and the licensee shall reimburse the Government for that amount. |
| (4) Without prejudice to the Committee’s power to impose any other terms or conditions under regulation 2H(2)(a), the obligations imposed on a licensee under paragraphs (1) to (3) shall form part of the conditions of his licence. [S 322/2011 wef 10/06/2011] |
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| Licensee not exempted from other laws |
| 2K. The grant of a licence to a person does not exempt him from complying with the requirements of any law relating to air navigation or air transport. |
2L.—(1) The Committee may review any licence granted under this Part —| (a) | at any time on its own motion if the Committee believes that there are grounds for suspending, revoking or varying the licence; or | | (b) | upon the written application of the licensee to vary the licence. |
(2) The Committee may, having completed a review under paragraph (1) —| (a) | suspend the licence for such period as the Committee thinks fit; | | (b) | revoke the licence; | | (c) | affirm the licence; or | | (d) | vary the licence. |
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| Suspension, revocation, etc., of licence |
2M.—(1) The Committee may suspend, revoke or vary a licence on its own motion if —| (a) | the licensee is no longer —| (i) | a citizen of Singapore; or | | (ii) | a company incorporated in Singapore which the Committee considers to be substantially owned and effectively controlled by the Government or citizens of Singapore, or both; |
| | (b) | the licensee no longer holds an air operator certificate; | | (c) | the licensee or, in the case of a body corporate, any of its officers is convicted of an offence under the Act or these Regulations or any other written law relating to air navigation or air transport; | | (d) | the licensee contravenes or ceases to satisfy any provision or requirement of these Regulations or any term or condition of the licence; | | (e) | due to a change in circumstances, it is inevitable that the licensee will contravene or cease to satisfy any provision or requirement of these Regulations or any term or condition of the licence; | | (f) | the licensee —| (i) | does not commence providing the air services that the licensee was licensed to provide under a Category A licence on the date of commencement of the licence; or | | (ii) | does not provide all the air services that the licensee is licensed to provide under a Category A licence for any cumulative period of 2 months out of any 6 months period after —| (A) | the date of commencement of the licence, where the licence is granted on or after 15th July 2005; or | | (B) | 15th July 2005, where the licence is granted and is in force before that date; [S 338/2010 wef 01/07/2010] |
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| | (g) | the licensee provides the air services that the licensee is licensed to provide in a manner that contravenes, or is likely to contravene, the air services agreement in relation to which the licence was granted or renewed; [S 128/2010 wef 01/03/2010] | | (ga) | the air services agreement in relation to which the licence was granted is suspended or terminated; [S 128/2010 wef 01/03/2010] | | (gb) | after the transfer or assignment of the licence to the licensee, the licensee ceases to be related (within the meaning of regulation 2U(6)) to the transferor of the licence; [S 649/2011 wef 19/12/2011] | | (h) | the licensee had in his application for the grant, renewal, transfer or assignment of a licence furnished any information which is false or misleading; or | | (i) | it is in the interest of the public to suspend or revoke the licence or vary any term or condition of the licence. |
| (1A) Where a licence is issued to a licensee on or after 1st July 2010, the first of the 6-month period referred to in paragraph (1)(f)(ii) shall commence from the date the licence was issued. [S 338/2010 wef 01/07/2010] |
| (1B) Where a licence is issued to a licensee before 1st July 2010 and the licensee has not, as at that date, contravened paragraph (1)(f)(ii) in force immediately before that date, the first of the 6-month period referred to in paragraph (1)(f)(ii) shall commence from 1st July 2010 in respect of that licence. [S 338/2010 wef 01/07/2010] |
| (2) In addition to the grounds specified in paragraph (1), the Minister may direct the Committee to revoke, suspend or vary any licence if it appears to the Minister that the continued holding of the licence by the licensee, or the holding of the licence on the terms or conditions subject to which it was granted, is or is likely to be detrimental to the interests of Singapore, and the Committee shall comply with such direction. |
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| Notice of suspension, revocation, etc., of licence |
2N. If the Committee proposes to suspend, revoke or vary any licence on its own motion, it shall —| (a) | serve a notice on the licensee not less than 7 working days before the date on which the suspension, revocation or variation is to take effect —| (i) | informing the licensee of the proposed suspension, revocation or variation; and | | (ii) | stating the ground on which the licence is to be suspended, revoked or varied; and |
| | (b) | consider such written representations as the licensee may have made to the Committee before the expiration of the notice. |
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| Application for variation of terms and conditions of licence |
2O.—(1) A licensee may at any time apply to the Committee to vary a licence.(2) The application shall —| (a) | be in writing and be in such form as the Committee may require; | | (b) | specify the variation being requested; and | | (c) | contain such documents or information as the Committee may require. |
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| (3) Where the Committee approves the transfer of a licence from a licensee (referred to as the transferor) to another (referred to as the transferee), the licence held by the transferor shall remain valid but varied to the extent that the Committee has approved the transfer of the authorisation to provide air services under that licence to the transferee. [S 649/2011 wef 19/12/2011] |
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2P.—(1) A licensee may at any time surrender his licence to the Committee for cancellation.| (2) If a licensee applies to the Committee for a new licence in substitution for the current licence, he shall, if a new licence is granted to him, surrender the current licence for cancellation on or before the date from which the new licence is to take effect. |
| (3) Upon the Committee approving the assignment of a licence from a licensee to another, the licensee shall without delay surrender the licence in its possession to the Committee for cancellation. [S 649/2011 wef 19/12/2011] |
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2Q.—(1) Any person who is aggrieved by a decision of the Committee —| (a) | to refuse to grant or renew a licence; | | (aa) | to refuse to approve a transfer or an assignment of a licence; [S 649/2011 wef 19/12/2011] | | (b) | to suspend or revoke a licence; or | | (c) | to vary or refuse to vary a licence, |
| may, within 14 working days of receipt of a notification of such a decision, appeal to the Minister. |
(2) Every appeal to the Minister shall —| (a) | be in writing; | | (b) | state the decision of the Committee in respect of which the appeal is sought; and | | (c) | specify the grounds on which the appeal is made. |
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| (3) The Minister may require the applicant to furnish such documents or information as the Minister considers necessary to enable him to make a determination on the appeal. |
| (4) The appeal shall be considered and disposed of in such manner as the Minister thinks fit and the decision of the Minister shall be final. |
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| Delegation of power in respect of temporary variations and excess air traffic rights |
2R.—(1) The Committee may, subject to such conditions as it thinks fit, delegate, in writing, to any person the power of the Committee to vary, upon the application of a licensee, the licence in respect of —| (a) | the cities to be served; | | (b) | the routes on which the air services are to be provided; | | (c) | the frequency and capacity of services to be provided; and | | (d) | the types of traffic to be carried. |
| (2) The Committee shall not under paragraph (1) empower any delegate (other than the Chairman) to allow any variation which is effective for more than 7 months. |
| (3) The Committee may, subject to such conditions as it thinks fit, delegate, in writing, to the Chairman the power to grant or renew a licence to provide air services which are the subject of any available air traffic rights for which one or more applications for a licence are made where there are sufficient air traffic rights. |
| (4) For the purposes of this Part, the exercise of the power of a delegate to vary a licence under paragraph (1) or to grant or renew a licence under paragraph (3) shall be deemed to be the exercise of such power by the Committee. |
| (5) For the purpose of this regulation, there are sufficient air traffic rights if the air traffic rights in respect of which one or more applications are made can be allocated to all the applicants without depriving any applicant of any of the air traffic rights in respect of which he has made his application. |
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2S.—(1) Notwithstanding any provision in this Part, where a person has been providing scheduled air services in respect of any air traffic rights immediately before 3rd October 2003, the Minister shall, upon application by the person, grant to the person a licence to provide the air services in respect of the air traffic rights that the person has been exercising at any time from 1st January 2003 to 3rd October 2003 (both dates inclusive).| (2) An application made under paragraph (1) shall be made in such form and manner as the Minister may determine. |
| (3) A licence granted under paragraph (1) shall be valid for a period of 10 years and shall be subject to such terms and conditions as the Minister may determine. |
| (4) A licence granted under paragraph (1) may be renewed by the Committee subject to such terms and conditions as the Committee may determine. |
| (5) The provisions of this Part, other than regulation 2I(1), (1A) and (1B), shall apply to a licence granted under paragraph (1) as if the licence were granted by the Committee. [S 128/2010 wef 01/03/2010] |
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| Reduction, waiver or refund of fees |
| 2T. The Minister may in any particular case reduce, waive or refund any fee payable under this Part. |
| Transfer and assignment of licences |
2U.—(1) Where the holder of a licence (referred to in these Regulations as the transferor) desires to transfer or assign the licence to another person (referred to in these Regulations as the transferee), any joint application by them under regulation 19 to the Committee for approval to transfer or assign the licence must, in addition to such requirements as are specified in regulation 19 —| (a) | be made no later than 6 months before the date on which the licence is proposed to be transferred or assigned, as the case may be; | | (b) | be accompanied by the information specified in the Second Schedule; and | | (c) | be accompanied by an application by the transferee for the grant of that licence, |
| and the applications may be summarily refused if this paragraph is not complied with. |
| (2) The Committee shall consider any joint application for approval to transfer or assign a licence together with the transferee’s application for the grant of a licence, and regulations 2F, 2G and 2H shall apply to and in relation to the transferee’s application for the licence with such modifications as are necessary. |
| (3) Notwithstanding regulation 19(5), the Committee shall not approve the transfer or assignment, as the case may be, of a licence from a transferor to a transferee if the transferor and transferee are not related and the application is made in circumstances other than those described in regulation 19(3). |
| (4) Where the Committee refuses to approve the transfer or assignment of a licence that is the subject of an application under regulation 19, the Committee must without delay inform the transferor and the transferee of its decision. |
| (5) Upon an approval of any assignment of a licence, the transferor shall cease to be a licensee but shall remain liable for any act or omission done, caused, permitted or made by the transferor before the assignment. |
(6) For the purposes of these Regulations, a transferee is related to the transferor, and vice versa, if —| (a) | the transferee is the wholly-owned subsidiary of the transferor; | | (b) | the transferor is a wholly-owned subsidiary of the transferee; or | | (c) | the transferor and the transferee are each wholly-owned subsidiaries of the same holding corporation, |
| and “wholly-owned subsidiary” has the same meaning given in the Companies Act (Cap. 50). |
[S 649/2011 wef 19/12/2011] |
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